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ABI Journal

Practice and Procedure

A Seemingly Final Order in a Larger Contested Matter Isn’t Final, Ninth Circuit BAP Says

Bankruptcy Judge Christopher Klein explains appellate jurisdiction, finality, cumulative finality and mislabeled motions for reconsideration.

Supreme Court Likely to Tackle 2018 U.S. Trustee Fee Increase

The circuits are now split 2/2 on whether the 2018 increase in U.S. Trustee fees violated the Bankruptcy Clause because the increase didn’t apply immediately in bankruptcy administrator districts.

Over-the-Top Allegations of Stay Violation Bring $10,000 Sanction for Violating Rule 11

Counsel sanctioned $10,000 for making allegations about an intentional or malicious stay violation without having performed an investigation to justify the claims.

Surety Bonds Aren’t Executory Contract and Can’t Be Assumed, District Judge Says

An irrevocable surety bond isn’t executory because it gives the bonding company no further obligations to the debtor.

On an ‘Involuntary,’ Denial of Summary Judgment Doesn’t Mean the Claim Is Disputed

The Iqbal and Twombly standards don’t apply to involuntary petitioners who are required to use Official Form 105.

A Claim Objection Can Head Off Election of a Permanent Chapter 7 Trustee

A creditor can’t elect a trustee to pick its adversary in a lawsuit, Bankruptcy Judge Gunn says.

Objections to Priority Claims May Follow Confirmation of a Chapter 13 Plan

Confirming a chapter 13 plan on the assumption that a claim was entitled to priority didn’t bar the debtors from later objecting to the priority of the claim.

Time Limits for Effecting Service of Process Can Be Flexible, Eleventh Circuit Says

Under unusual circumstances, a two-year delay in completing service of process was not fatal in the Eleventh Circuit.

Estate Claims Can’t Be Sold for Trivial Recovery by Unsecured Creditors

Had the purchaser of estate claims offered to waive its own unsecured claim, the sale might have been approved.