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ABI Journal

4th Circuit

The War Between National and Local Rates Continues in Eastern Virginia

Counsel run the risk of being paid lower local rates in ‘mega’ cases filed in the Eastern District of Virginia.

4th Circuit
Virginia
Virginia Eastern District

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.

4th Circuit
North Carolina
North Carolina Eastern District

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.

4th Circuit
North Carolina
North Carolina Western District

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).

4th Circuit

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.

4th Circuit

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.

4th Circuit

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.

4th Circuit

‘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.

4th Circuit
Virginia
Virginia Eastern District

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.

4th Circuit

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.

4th Circuit
South Carolina
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