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ABI Journal

3rd Circuit

Plan Permitted to Stretch Out Redemption Payments Following a Tax Sale

Courts split on whether failure to redeem on time is fatal in a reorganization.

Complex Litigation Can Beat a Valid Forum Selection Clause

Enforcement of a forum selection clause is sometimes not mandatory, Delaware judge says.

Lender Can’t Use Corporate Structure to Waive a Company’s Right to File Bankruptcy

Delaware’s Judge Carey slams the door on waivers of the right to file chapter 11.

Each Third Party Release Must Be Economically Justified, District Judge Holds

Small case is making big Third Circuit law on confirmation of chapter 11 plans.

Recent Decisions Bar Cramdown on Mixed-Use Principal Residences

Newark and Buffalo judges read 1322(b)(2) narrowly and in favor of mortgage lenders.

Clark v. Rameker’s Gaping Loophole Allows Debtors to Retain Inherited IRAs

State law overrides ‘significant policy concerns’ in Supreme Court decision.

Plan’s Treatment of Secured Claim Trumps Failure to Redeem on Time

Courts split on whether failure to redeem on time is fatal in reorganization.

Third Circuit Insulates the IRS from Preference Claims for Trust Fund Taxes

Aggregation was not permitted to surmount the $6,225 minimum for preferences.

Third Circuit Tries to Synthesize Illinois Law on Veil Piercing and Unjust Enrichment

Third Circuit relies on a Seventh Circuit opinion to understand Illinois law.