Preferences

Nov 2020

The Date of Service of a Writ of Garnishment Is the Date of Transfer of a Preference

Circuits are split on the date of transfer resulting from a garnishment.

New York Decision Shows that Merit Management Is a Dead Letter

The expansive definition of a ‘financial institution’ allows fraudulent transfers to be structured so that no one will ever be held liable.

Aug 2020

Beware: Closing a Case Quickly Can Preclude Filing New Avoidance Actions

Judge Thuma describes nonstatutory exceptions to the statutes of limitations in Sections 546(a) and 550(f).

BAP Didn’t See Barnhill as Prescribing the Date of Transfer from a Retirement Account

The First Circuit BAP evidently believes that a transfer occurred, even though an ordinary check wasn’t cashed.

Supreme Court Ducks Equitable Mootness and Third-Party Releases

The case from the Third Circuit was not a good vehicle for granting certiorari on either issue, even though there is a circuit split on nonconsensual, third-party releases.

New York Bankruptcy Judge Declines to Follow Enron Decision by SDNY District Judge

Claims traders are put on notice: Purchasing a claim doesn’t insulate the buyer from disallowance under Section 502(d).

July 2020

As an In Personam Claim, a Preference Can Be Barred by Discharge, Denver Judge Says

An IRA is not a legal entity separate from its owner, according to Bankruptcy Judge Elizabeth E. Brown of Denver