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Bankruptcy Court Cannot Surcharge Credit Bidding Asset Buyer with Expenses of Sale

Explaining that the "bankruptcy court had no jurisdiction to take such action," the Fifth Circuit also vacated the district's court's improper ruling that the bankruptcy judge could enter a personal judgment against the asset buyer.

20 minute readMay 26, 2009 at 07:21 AM
By
ALM Staff
Law Journal Newsletters
Bankruptcy Court Cannot Surcharge Credit Bidding Asset Buyer with Expenses of Sale

The U.S. Court of Appeals for the Fifth Circuit held on March 25, 2009, that a bankruptcy court had improperly surcharged property in the hands of a credit bidding asset buyer with the expenses of the judicial sale.

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