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ABI Journal

2nd Circuit

How the Ordinary Course Defense Works When the Supplier Doesn’t ‘Hound’ for Payment

The ‘average-lateness’ test reveals payments that were not made in the ‘ordinary course.’

2nd Circuit
New York
New York Eastern District

‘13’ Trustees Are Paid Even if Dismissal Comes Before Confirmation, District Judge Says

A chapter 13 trustee is not a federal employee for the purposes of the Federal Tort Claims Act.

2nd Circuit
New York
New York Eastern District

Second Circuit Expands Standing to Ensure Integrity of the Bankruptcy Court

The U.S. Trustee is not the better or the only party to uphold the integrity of the bankruptcy court, the Second Circuit holds.

2nd Circuit

Purdue District Judge Authorizes Appeal to the Second Circuit on Non-Debtor Releases

The district judge who overturned confirmation of Purdue’s chapter 11 plan is requiring the debtor to expedite the appeal to the Second Circuit.

2nd Circuit

Creating a Split, Second Circuit Says that Section 363(m) Is Jurisdictional

The new decision from the Second Circuit is based on prior opinions where the appeals court said there was no “jurisdiction” when it would have been correct to say there was no “power.”

2nd Circuit

Third-Party, Non-Consensual Releases Nixed in the Purdue ‘Opioid’ Reorganization

Manhattan district judge vacated confirmation of Purdue Pharma’s chapter 11 plan because the court had no statutory power to impose non-consensual releases of creditors’ direct claims against non-debtors.

2nd Circuit

Chapter 15 Permits Discovery to Lay Groundwork for a Lawsuit, New York Judge Says

Judge Garrity wasn’t required to rule on whether Bankruptcy Rule 2004 applies in chapter 15 cases.

2nd Circuit
New York
New York Southern District

Another District Judge Rules that Tax Foreclosures Can Be Fraudulent Transfers

The circuits are split on whether the Supreme Court’s BFP opinion can be extended to bar fraudulent transfer attacks on in rem real estate tax foreclosures.

2nd Circuit
New York
New York Western District

A Purdue Suit Against Insurance Carriers Stays in Bankruptcy Court, for Now

Insurance coverage disputes are ‘routinely resolved in summary judgment,’ counseling against immediate withdrawal of the reference of a non-core lawsuit, district judge says.

2nd Circuit
New York
New York Southern District

On Student Loan Discharge, District Judge Requires Responses to Unasserted Defenses

New York district judge requires a student loan debtor to prove the reasonableness of living expenses when the lender never objected.

2nd Circuit
New York
New York Southern District
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