In a recent decision, the U.S. Supreme Court held that the government was not required to refund millions of dollars paid by a Chapter 11 debtor pursuant to an unconstitutional fee scheme between the judicial districts.
Armed with two circuit-level decisions, creditors who lose at the bankruptcy court level may feel encouraged to appeal. As of now, no court in the Second Circuit has addressed the issue and it remains to be seen how other courts will react.
In In re Jughandle Brewing, a NJ Bankruptcy Court concluded allowance of an administrative expense claim is not automatic and also may not be the sole remedy for a debtor or trustee's failure to perform its post-petition obligations under a commercial lease.
Consumer and commercial bankruptcy filings have surged in the first six months of 2024 compared with the same period in 2023, a study said.
The LJN Quarterly Update highlights some of the articles from the nine LJN Newsletters titles over the quarter. Articles include in-depth analysis and insights from lawyers and other practice area experts.
Recent appellate decisions reflect a distaste for appeals from bankruptcy court sanction orders. A split Fourth Circuit even refused to hear such an appeal. Other courts tend to limit sanctions or, alternatively, accept a bankruptcy judge's findings under a stringent "abuse of discretion" standard.
The U.S. Supreme Court has issued its most anticipated bankruptcy decision in recent memory. In a 5-4 decision entered June 27, the Supreme Court struck down the nonconsensual third-party releases. Writing for the Court, Justice Neil Gorsuch ruled that nothing in the Bankruptcy Code authorized the nonconsensual release or discharge of claims of opioid victims against the Sacklers, who were not debtors themselves.
In a recent published decision, the U.S. Court of Appeals for the Ninth Circuit addressed a previously unresolved question in that circuit: whether a debtor's failure to properly schedule a debt in an "asset case" renders the debt nondischargeable.
This article discusses the value of prepackaged bankruptcy as an alternative route for addressing commercial mortgage defaults in high tax jurisdictions.
Rule 9031 of the Federal Rules of Bankruptcy Procedure prevents all bankruptcy judges, and, if broadly interpreted, any federal judge hearing bankruptcy cases and proceedings, from appointing special masters. The rule has not been amended since its adoption in 1983. It is outdated and should be repealed or amended to accord with the reality of today's complex Chapter 11 cases.
