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10th Circuit

A Former Officer Was Not ‘Disinterested’ but Could Be Retained as a Professional Person

Judge Dale Somers adopted a ‘liberal’ construction of Section 1107(b) to retain a professional person who had been an officer of the debtor.

10th Circuit
Kansas

A Decision About What’s Equitable Is Difficult to Overturn on Appeal, Circuit Says

The district court shouldn’t have substituted its own judgment for the bankruptcy court’s conclusion about what’s equitable, Tenth Circuit says.

10th Circuit

BAP Holds that Nondischargeability for Actual Fraud Requires Justifiable Reliance

The Tenth Circuit BAP inferred a requirement of justifiable reliance on nondischargeability for actual fraud.

10th Circuit

Avoidance of ‘Impairment’ Liens Can’t Be Delayed until Discharge in Chapter 13

If a ‘13’ case is dismissed after confirmation, the holder of an avoided lien retains remedies under state law, Judge Rosania says.

10th Circuit
Colorado

What Are ‘7’ Trustees Paid When the Case Converts to ‘13’ Before Distributions?

Courts have at least six theories about compensation for chapter 7 trustees for valuable services rendered when the case converts to chapter 13 before the trustee has made any distributions.

10th Circuit
New Mexico

10th Circuit BAP Judges Survey the Appealability of Contempt Orders and Sanctions

The BAP judges disagreed over whether the amount of sanctions had to be fixed before there could be an appeal from an order declaring that the injured party was entitled to an award of attorneys’ fees for the contemnor’s contempt.

10th Circuit

A ‘13’ Debtor Can’t Dismiss After Conversion to ‘7,’ Tenth Circuit BAP Says

A 14-day stay under Rule 7062 might have saved the chapter 13 debtor’s right to dismiss under Section 1307(b).

10th Circuit

BAP Won’t Recharacterize a Loan and Guarantee and Found No Fraudulent Transfer

The debtor’s payment on a personal guarantee was no fraudulent transfer because the debtor had received reasonably equivalent value in the forms of salary and ownership in a business that ended up being worth nothing.

10th Circuit

Modifying the Stay Doesn’t Relinquish Jurisdiction Entirely over the Dispute

In bankruptcy proceedings, formal notice isn’t required if there is actual notice, the Tenth Circuit says.

10th Circuit

Bankruptcy Judge Chops a Fully Secured Lender’s Fee Request by 60%

A fully secured lender’s lawyer doesn’t have a ‘blank check’ to overwork a case, Bankruptcy Judge Kimberley Tyson says.

10th Circuit
Colorado
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