Plan Confirmation

Judge Isgur Allows 401(k) Contributions in Chapter 13 Up to What the IRS Code Allows

Contributions to 401(k) plans are deducted from ‘projected disposable income,’ even though the debtor was not making contributions before filing

Later Developments Don’t Undo Subchapter V Eligibility, Houston Judge Says

In the Alex Jones corporate Subchapter V case, Bankruptcy Judge Christopher Lopez said that the later chapter 11 filing by Jones himself, with about $1.5 billion in debt, didn’t kick the corporate debtor out of Subchapter V and into ‘ordinary’ chapter 11.

Delaware Judge Explores the Theories Behind ‘Opt-In’ and ‘Opt-Out’ Chapter 11 Plans

Peculiar circumstance compelled a Delaware judge to depart from his usual approval of ‘opt-out’ plans that grant non-debtor releases.

Rebuffed in Bankruptcy Court, the Government Wins a Stay of Voyager’s Confirmation

The U.S. Attorney argued in district court that the Voyager plan would bar the government from enforcing federal regulations and criminal laws.

Delaware and New York District Courts Split on Permissibility of Non-Debtor Releases

Upholding confirmation of the Boy Scouts’ chapter 11 plan, the district judge in Delaware disagreed with his counterpart in New York who found no statutory power to impose non-consensual, non-debtor third-party releases.

June 2023

Renewing a Title Loan Just Before Chapter 13 Didn’t Make the Filing in Bad Faith

Ruling the other way would have barred chapter 13 filings after renewing title loans.