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Administrative Expense Claims

Circuit Split on U.S. Trustee Fees Likely Won’t Reach the Supreme Court Until Fall 2022

Judge Hoffman sets up Sixth Circuit to opine on the circuit split regarding the constitutionality of the 2018 increase in fees for the U.S. Trustee system.

6th Circuit
Ohio
Ohio Southern District

Being an ‘Officer’ Disqualifies Someone from a KERP, New York District Judge Says

Officers are presumptively disqualified from KERPs, “absent a strong showing that they do not perform any significant role in management,” a district judge in New York says.

2nd Circuit
New York
New York Southern District

Judge Sontchi Cuts Off U.S. Trustee Fees on Confirmation of a Chapter 11 Plan

Closing a chapter 11 case after confirmation to avoid U.S. Trustee fees won’t be necessary if the ruling by Judge Sontchi holds up.

3rd Circuit
Delaware

Blackjewel and Hartshorne: Overcoming § 1129(a)(9) Obstacles

Aug 2021

Bankruptcy Code
1129
Topic Tags
Administrative Expense Claims
Plan Confirmation
Business Reorganization

Increasing Debtor’s Profit or Revenue Isn’t Required to Establish an ‘Admin’ Claim

An administrative creditor isn’t a ‘guarantor’ of the success of the project, Delaware’s Bankruptcy Judge Goldblatt says.

3rd Circuit
Delaware

Circuits Are Now Split on the Constitutionality of the 2018 Increase in U.S. Trustee Fees

The Second Circuit split with the Fourth and Fifth Circuits by holding that the increase in fees for the U.S. Trustee system was unconstitutional because it was not imposed simultaneously in the two states with bankruptcy administrators.

2nd Circuit

Bankruptcy Treatment of Environmental Liabilities: A Refresher and Issues to Consider

July 2021

Bankruptcy Code
11 U.S.C. § 362
11 U.S.C. § 363
503
554
1141
Topic Tags
Administrative Expense Claims
Asset Sales
Automatic Stay
Claims
Bankruptcy Litigation
Business Reorganization
Govt. Claims/Sovereign Immunity
Real Estate

Benchnotes July 2021

July 2021

Bankruptcy Code
105
11 U.S.C. § 363(f)
Topic Tags
Administrative Expense Claims
Automatic Stay
Bankruptcy Litigation
Small Business

Another Circuit Upholds the 2018 Increase in U.S. Trustee Fees

Dissenters in the Fourth and Fifth Circuits evidently believe that the dual U.S. Trustee/Bankruptcy Administrator system is unconstitutional.

4th Circuit

A District Court Rules that the U.S. Trustee Fee Increase Isn’t Retroactive

California district judge sides with the dissenter in the Fifth Circuit in saying that the parallel systems of U.S. Trustees and Bankruptcy Administrators violates the Bankruptcy Clause of the Constitution.

9th Circuit
California
California Central District
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