Courts Split on Allowing a Late Claim if the Creditor Was Not Listed
Bankruptcy Judge Elizabeth Brown of Denver differs with Bankruptcy Judge Michelle Harner of Baltimore on the interpretation of Bankruptcy Rule 3002(c)(6).
%1
In Chapters 7 and 13, ‘Excusable Neglect’ Won’t Always Justify Filing a Late Claim
A creditor without knowledge of bankruptcy isn’t always entitled to file a late claim in chapters 7, 12, and 13, Judge Harner says.
Lawyer Sanctioned for Filing at the Last Minute when Title Had Passed Already
Lawyer was sanctioned under Rule 9011 for filing a petition when the lawyer should have known that title had already passed in a foreclosure sale.
First Circuit PROMESA Opinion Addresses the Automatic Stay and Trust Funds
Appeals court says that the bankruptcy court must always address the existence of a trust when ruling on a motion to modify the automatic stay.
BAP Decision Previews Issues Confronting the Supreme Court in Ritzen
Professing to follow Ritzen, Sixth Circuit BAP reverts to a more pragmatic approach to ‘finality.’
Chandler Speedway Auction Canceled after Late Bankruptcy Filing
Just before an auction was scheduled to take place yesterday for Movieland Speedpark, formerly Chandler Speedway, a judge canceled everything following a last-minute bankruptcy filing, TriStateHomePage.com. This is the second time an auction has been called off. Earlier this year, officials tried to auction the property to satisfy liens against it, but owner Reno Fontana stopped the auction when he filed for bankruptcy. That bankruptcy was rejected by a federal judge, and the facility was ordered to be sold again. Over the weekend, Fontana posted on Facebook that a proposed settlement was rejected and he wasn’t sure of his next move. Creditors are owed hundreds of thousands of dollars, and the court-ordered auction would have satisfied those debts. Fontana says that he offered to settle with Southeast Grinding with a two-week delay, but Fontana says they refused. According to auctioneer Andrew Wilson, the creditors filed for immediate relief to have the bankruptcy rejected. If that happens, Wilson said that the earliest the next auction would be is late October.