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ABI Journal

506

Judge Isgur Sides with the Third Circuit and Allows Makewhole Premiums

Creditors are entitled to ‘default interest’ when the debtor is solvent.

Hot Consumer Topics

Bankruptcy Code

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Ninth Circuit Narrowly Reads Section 506(d) on Voiding Liens After Claim Disallowance

A claim must be disallowed based on the invalidity of the debt before the associated lien can be voided under Section 506(d), the Ninth Circuit ruled in upholding the BAP.

First Circuit Issues a Landmark Opinion on Valuation of Disputed Claims

The value of a disputed claim is proven by showing the likely validity of the claim and the likelihood of recovery, not just by establishing the possible damages.

In the Minority, 8th Circuit BAP Disregards Equitable Considerations in Allowing Default Interest

As long as the rate is legal under state law, considerations of equity will not allow a court to disallow default interest to an oversecured creditor under Section 506(b).

Diminution in Value Claims

Bankruptcy Code
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A Re-Examination of the Rules of Property Rights and Post-Petition Gifting in Bankruptcy

Winter

2020

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