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Fifth Circuit Follows Ninth Circuit, Allows Post-Bankruptcy Contract Rate Interest In Solvent Debtor Case Image

Fifth Circuit Follows Ninth Circuit, Allows Post-Bankruptcy Contract Rate Interest In Solvent Debtor Case

Michael L. Cook

"… [B]ecause Congress has not clearly abrogated the solvent-debtor exception," the U.S. Court of Appeals for the Fifth Circuit held that a reorganized solvent debtor had to "pay what it promised now that it is financially capable."

Features

Cybercrime and Bankruptcy: The Crypto Winter Image

Cybercrime and Bankruptcy: The Crypto Winter

Sean J. Coughlin & Vivian B. Isaboke

It comes as no surprise that the crypto winter has reinforced the perception of critics that digital currencies are "risky, flawed and unproven digital financial instruments." This article analyzes the state of the cryptocurrency market and examines the impact of cybercrimes and crypto bankruptcies on the current market.

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Sixth Circuit Adds Results-Based Contingency to Fee Payment Approval Image

Sixth Circuit Adds Results-Based Contingency to Fee Payment Approval

Charles M. Tatelbaum & Corey D. Cohen

A recent decision from the U.S. Court of Appeals for the Sixth Circuit may be creating a tsunami of concern to those that represent bankruptcy trustees. The decision, in essence, takes an hourly fee arrangement between the trustee and the trustee's attorneys and adds a results-based contingency to the approval of any fee payment authorization by the bankruptcy court.

Features

Upcoming Webinar: Reorganization Ethics and Fees Image

Upcoming Webinar: Reorganization Ethics and Fees

Michael Cook

A discussion on the ethical restraints on professionals imposed by the Bankruptcy Code, Bankruptcy Rules, and the ABA Code of Professional Conduct. Also, how the rules work and can affect your case.

Features

The Benefits of Subchapter V — But Are You Guaranteed to Stay? Image

The Benefits of Subchapter V — But Are You Guaranteed to Stay?

Sean C. Kulka

Although Subchapter V may create a clearer path to confirmation, debtors must be aware of, and (absent an extension by the court) comply with, the more stringent timing requirements, such as the requirement of filing a plan within 90 days after filing bankruptcy.

Features

Third Circuit Holds Ethical Screen Insulates Side-Switching Lawyer's New Firm Image

Third Circuit Holds Ethical Screen Insulates Side-Switching Lawyer's New Firm

Michael L. Cook

The Third Circuit recently affirmed a bankruptcy court's denial of a defendant's motion to disqualify the plaintiff's law firm in a large adversary proceeding, holding that it had not abused its discretion because the plaintiff law firm had "complied with" ABA Model Rule of Professional Conduct 1.10(a)(2).

Features

How to Avoid the Claim Cap Becoming a 'Claim Trap' Image

How to Avoid the Claim Cap Becoming a 'Claim Trap'

Sherry Millman & Genna Grossman

Commercial landlords should consider the steps they can take when drafting and negotiating their commercial leases to minimize the adverse impact of the claim cap in the event of a tenant bankruptcy and ensuing lease rejection.

Features

Fifth Circuit Weighs In on Scope of Releases and Exculpation Image

Fifth Circuit Weighs In on Scope of Releases and Exculpation

Francis J. Lawall & Nathaniel T. DeLoatch

In an important recent U.S. Court of Appeals for the Fifth Circuit decision, the court explored whether exculpation provisions protecting more than just the debtor and committee are appropriate.

Features

Are Voting Rights Provisions In Subordination Agreements Enforceable? Image

Are Voting Rights Provisions In Subordination Agreements Enforceable?

James H. Millar

Subordination agreements often contain an agreement by the subordinated creditor that, if the issuer is a debtor in a bankruptcy case, the senior creditor can vote the claim of the junior creditor on any proposed Chapter 11 plan. If given effect, such a voting provision can give a senior creditor significant power, relative to both the subordinated creditor and other creditors, to support or oppose confirmation of a plan.

Features

The Duty and Benefits of Technology Competence Image

The Duty and Benefits of Technology Competence

Tinamarie Feil

We all have experienced technology's dramatic effect on bankruptcy practice, particularly in the electronic filing of documents and in the electronic communication and sharing of information among parties.

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