Violating a PACA trust does not result in ‘defalcation while acting in a fiduciary capacity’ that makes a debt nondischargeable, the Eleventh Circuit held in upholding Bankruptcy Judge Roberta Colton.
With little authority one way or the other, lower courts are split on whether Social Security benefits lose their exemption if withheld and later paid as a tax refund.
A shipment received by a debtor within 20 days of filing gives the creditor both an administrative claim and a new value defense to a preference, the Eleventh Circuit says.
The decision by the Supreme Court next term in Bartenwerfer will tell us whether debts can be automatically nondischargeable, even when the debtor is without fault.
Over a dissent, the Eleventh Circuit held that a 1995 chapter 11 plan discharged the liability of ‘related persons’ to pay health care benefits when a coal producer defaulted on the obligation in 2016.