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3rd Circuit

Oil and Gas Royalties Never Become Estate Property in Colorado

The Third Circuit gave royalty owners a constructive trust over royalties improperly paid to secured creditors. The circuit court did not rule on remedy.

3rd Circuit

Whether a Fraudulent Transfer Claim Is ‘Direct’ or ‘Derivative’ Depends on Point of View

A D&O policy covering securities claims doesn’t provide coverage for a claim resulting from a fraudulent transfer, the Delaware Supreme Court rules.

3rd Circuit
Delaware

Actual Damages Not Required to Recover Attorneys’ Fees for a Stay Violation

Judge Goldblatt slaps creditors with $665,000 in damages for violating the automatic stay.

3rd Circuit
Delaware

Lawyer Must Disclose a Client’s Misconduct, Even When It’s ‘Uncomfortable’

Lawyers aren’t guarantors for a client’s misconduct, but they may be sanctioned for a coverup.

3rd Circuit
Pennsylvania
Pennsylvania Western District

Judge Goldblatt on the Imputation of Fraudulent Intent to a Delaware Corporation

The fraudulent intent of an individual who controls a corporation can be imputed to the corporation itself, even if the board is unaware of fraud.

3rd Circuit
Delaware

It’s Ok for Lenders to ‘Manufacture’ a Favorable Venue, Delaware Judge Says

A Delaware opinion states that debtors can’t reincorporate to manufacture venue, but it’s permissible for lenders to do so.

3rd Circuit
Delaware

Bankruptcy Judge Hints: Third Circuit Precedent on Public Records May Be Too Broad

Delaware’s Judge Goldblatt seems to be recommending that the Third Circuit close a loophole in confidentiality agreements.

3rd Circuit
Delaware

A Settlement Term Sheet Signed After Mediation Was an Enforceable Contract

The state law standards for creation of a contract governed enforceability of a term sheet signed after mediation.

3rd Circuit
Pennsylvania
Pennsylvania Eastern District

Successorship Obligations Are Not Barred by Sales Free and Clear, Delaware D.J. Says

Neither a sale ‘free and clear’ nor rejection of a union contract bars enforcement of NLRA successorship obligations, Delaware district judge rules in reversing the bankruptcy court.

3rd Circuit
Delaware

Supreme Court Will Soon Grant or Deny ‘Cert’ to Rule on Refunds for UST Overpayments

The bankruptcy court in Delaware sided with four circuits by directing the U.S. Trustee to give refunds for overpayment of fees that were not uniform throughout the country.

3rd Circuit
Delaware
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