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ABI Journal

Administrative Expense Claims

Tuesday, June 28, 2016
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Supreme Court Will Review Jevic to Rule on Structured Dismissals and Gift Plans

Having avoided chapter 11 cases, the high court will tackle a major reorganization issue.

Supreme Court Likely to Decide Whether ‘Structured Dismissals’ Are Permissible

Justices may rule on whether bankruptcy settlements can disregard Section 507 priorities.

No Superpriority Claim for Fully Secured Lender’s Post-Petition Interest

Superpriority claim only ensures recovery of filing day interest and principal.

WARN Act Claims Entitled to Class Status

Arkansas district judge sides with workers on WARN claims from mass firings.

Baker Botts Held Not to Govern Defense of a Receiver’s Fee Request

Brooklyn judge limits Baker Botts to fee allowances under Section 330(a).

Courts Gravitating Toward Paying Lawyers on Chapter 13 Dismissals

Chapter 13 debtor lawyers are paid when cases dismiss rather than convert.

Mortgages Command Priority over Legal Fees in a Chapter 13 Plan

Plan can’t cause default on a home mortgage to pay a debtor’s lawyer first.

Paid in Full but Impaired, Lender Entitled to Pendency Interest at Default Rate

9th Cir. BAP precludes using ‘equitable discretion’ to lower lender’s interest rate.

Lawyers Beware: Fees Can’t Be Paid from PACA Trust Funds

Fifth Circuit agrees with Second Circuit on sanctity of PACA trust funds.