Judge McAffee Agrees with Former Judge Sontchi on Authorized Corporate Actions
The automatic stay does not bar increasing authorized shares when the debtor is a minority shareholder.
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The PBGC Isn’t a ‘Triggering Creditor’ for a Section 544(b) Suit by a Trustee
If the government isn’t suing on a claim originally owing to the U.S., a trustee can’t use the six-year statute of limitations in the FDCPA.
Corporate Debtors in Subchapter V Can’t Discharge Nondischargeable Debts, Circuit Says
Both individuals and corporations in subchapter V of chapter 11 are barred from discharging debts that are nondischargeable under Section 523(a).
Fourth Circuit Rejects Frontal Assault on In Pari Delicto as a Bar to Suits by a Trustee
Circuit refuses to make an exception for trustees regarding the judge-made doctrine of in pari delicto.
Fourth Circuit Rules Emphatically that Taggart Applies to All Contempt in Bankruptcy
Reliance on advice of counsel is not a complete defense to contempt citations.
Texaco’s Plan in 1988 Wasn’t Grounds for Removal to Federal Court, Fourth Circuit Says
In a case that may be headed to the U.S. Supreme Court at least once more, the Fourth Circuit is subjecting 26 multinational oil companies to the tender mercies of the Maryland state courts.
‘Once a Creditor, Always a Creditor,’ Even if the Claim Is Paid, Judge Phillips Says
Being branded as a creditor is like a tattoo; it won’t ever come off.
Circuit Split Widens Sovereign Immunity for Section 544(b) Claims
The circuits are now split 2/1 on the waiver of sovereign immunity under Section 544(b) for lawsuits by a trustee based on claims that could have been made by an actual creditor.
The Concept of Bifurcated Fee Agreements Approved on Appeal in South Carolina
Reversing the bankruptcy court, the district court decided that a local rule did not bar bifurcated fee arrangements altogether.
Another District Judge Emphatically Rejects a Plan with Non-Debtor Third-Party Releases
A district judge in Virginia holds that third-party, non-debtor releases must be approved by district judge under Stern and must comply with the strictures of Federal Rule 23.