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I have many, many half-finished blog posts, but I saw this quote just now and thought that this is more important than anything I have to say right now.  Enjoy.

Read More from: Spiritually Bankrupt

2 days 4 hours ago

La Paloma Generating Company, LLC and two of its affiliates have filed petitions for chapter 11 bankruptcy relief in the United States Bankruptcy Court for the District of Delaware (Case No. 16-12700). The Debtor is the owner and operator of a natural gas-fired power generation facility based in California. The petition lists between $100 million and $500 million in assets and between $500 million and $1 billion in liabilities. According to the First Day Declaration, a challenging regulatory environment, mounting compliance obligations and substantial debt service requirements led to the commencement of these cases. Epiq Bankruptcy Solutions, LLC is the proposed claims agent. The Debtors seek joint administration of these cases. The petition can be found here. The Honorable Christopher S. Sontchi has been assigned to the cases.

Contact Norman L. Pernick and  Nicholas J. Brannick for more information.

2 days 9 hours ago

attorney Heather BanksAs many of you know, the mountain town of Gatlinburg, Tennessee caught fire on the night of November 28, 2016.  Due to high winds that moved in early that day, embers from an already burning 500 acre wildfire near the Chimney Tops in the Great Smoky Mountains were lifted and set several small fires in addition to downed power lines that sparked fires.  This area has been in a severe drought for months.  It has been reported that in less than 30 minutes, the flames blazed toward Gatlinburg and Pigeon Forge.  A forced evacuation of nearly 14,000 residents and tourists was put in place.  By early Tuesday morning, some much needed rain had moved into the area and suppressed the flames.  As of Monday, December 5, 2016, the fires are mostly contained with some hot spots still out there.  It is estimated there have been 14 deaths, approximately 1700 structures damaged or destroyed and over a hundred who sustained injuries.  There are still several residents who are unaccounted for in the aftermath.  The latest reports indicate the much needed rain received in the last week helped tremendously.  The Chimney Tops fire is about 42% contained and has burned approximately 17,000 acres;  and the Cobbly Nob fire is about 53% contained

Read More from: Bonds & Botes, P.C.

2 days 10 hours ago

My own conflicted thoughts on Jevic, over at Dealb%k.

Read More from: Credit Slips

2 days 12 hours ago

Although he has since walked-back his original pledge to deport 11 million people, if President-elect Donald Trump attempts to fulfill his campaign promise, the damage to the housing industry would be substantial.

Read More from: BankThink

2 days 12 hours ago


On November 14, 2016, the United States Court of Appeals for the Sixth Circuit held that courts in chapter 9 cases lack authority to order a municipal debtor to provide services to its constituents. Affirming the bankruptcy court’s dismissal of customers’ claims arising from the termination of their water service by the Detroit Water and Sewerage Department, the Sixth Circuit held that section 904 of the Bankruptcy Code prohibits a chapter 9 court from entering orders that “interfere” with a municipality’s “political [and] governmental powers.” In re City of Detroit, Mich., No. 15-2236, 2016 WL 6677715 (6th Cir. Nov. 14, 2016).


The City of Detroit filed for chapter 9 relief in July of 2013. A year later, the plaintiffs, 10 Detroit residents and four organizations claiming to represent residential customers of the Detroit Water and Sewerage Department, filed an adversary proceeding seeking declaratory and injunctive relief (including a temporary restraining order) to stop the DWSD from shutting off water service and to force it to restore water service to all customers. Among other things, the plaintiffs asserted that the denial of water services violated their due process and equal protection rights. Defendants filed a motion to dismiss the complaint.

2 days 13 hours ago

Rather than address systemic risk with impractical capital requirements, regulators can make a few subtle changes that will force the shrinkage of the largest banks gradually over time.

Read More from: BankThink

2 days 14 hours ago

Large financial services firms are right to fight data-aggregation access, but they'll lose this fight to arguments based on innovation and "inclusion" if they do not quickly enhance their own value proposition.

Read More from: BankThink

2 days 17 hours ago

Receiving Wide Coverage ...

Ho hum: World financial markets mostly shrugged off the results of Italy's constitutional referendum, which went down to defeat on Sunday, although the country's banks and its economy remain in serious trouble as a result. Wall Street Journal, Financial Times, New York Times

Carson appointment assailed: As expected, President-elect Trump formally nominated retired neurosurgeon Ben Carson as HUD secretary, but critics were quite vocal. Carson "has a brilliant mind and is passionate about...

Read More from: BankThink

2 days 18 hours ago

An old-time courtroom — hanging onto the past

By: Donald L. Swanson

I’ve been asked many times for the number of bankruptcy court districts who, (i) HAVE adopted local rules on mediation, and (ii) HAVE-NOT adopted such rules.

–The have-not courts, it seems, are hanging on to the past — for reasons that are unknown . . . and not readily apparent.

In response, I’ve offered information on what I’ve recently read — that its, roughly, a 50/50 split.  But such information isn’t satisfactory.

So, I asked a legal assistant in our office, Sarah O’Callaghan, to do the research and come up with a list of districts that HAVE and HAVE-NOT adopted local mediation rules.

Read More from: Mediatbankry

2 days 18 hours ago

debtors duties after filing Chapter 13Much has been written on this site and others about the information you need to gather to help your lawyer prepare your Chapter 13 case. You have also learned about mistakes to avoid during the weeks and months prior to your Chapter 13 filing.

Read More from: Bankruptcy Law Network

2 days 21 hours ago

Couple of student loan stories out today that caught

student loan debt trap
Spider web – like student loan debt trap

my eye.

College Cost Too Much

Uh, yeah.  Lots have written about how the flood of student loans from the government the last decade plus has pushed college costs up way higher then the inflation rate.

Read More from: Discharge Student Loan

3 days 1 hour ago

This article can be found in the New York Law Journal Corporate Restructuring and Bankruptcy.

Amidst the sometimes dramatic fluctuations in commodity prices that buffet the oil and gas industry, investors generally relied on one segment of the market to be safe and stable: so-called “midstream” companies that own the pipelines that transport oil and gas. The rationale was that the oil and gas had to travel, and the fare had to be paid, regardless of the commodity price – not to mention that “take or pay” contracts were the norm in the industry. Investors’ perception of the safety of investments in midstream companies – i.e. the owners of the pipelines – was shaken by a March 2016 decision out of the Southern District of New York Bankruptcy Court permitting a bankrupt oil exploration company to reject its midstream service contracts. In re Sabine Oil & Gas Corp., (No. 15-11835 SCC) (Bankr. S.D.N.Y. March 8, 2016, ECF No. 872) (“Sabine”). Sabine set the stage for several heated battles over a debtor’s ability to reject midstream contracts, and, in the process, introduced concern regarding midstream companies’ cash flows. These conflicts arise at the intersection of the core bankruptcy tool of contract rejection, centuries-old state property law, and how the financing that supported the recent expansion of domestic oil and gas production was structured.

Read More from: Hughes Hubbard & Reed

3 days 9 hours ago

What is an authorized user?

Attorney Mary PoolAn authorized user is someone who has been “authorized” to use a credit card that is in someone else’s name.  For example, parents will sometimes add their children as an authorized user to help build their child’s credit or use while they are away at college.


Establish or improve your credit score:  For an authorized user without credit, being added as an authorized user to an existing credit card account that has an impeccable pay record, may help establish or improve credit fairly quickly since the credit card holder will likely report the debt on your credit report.  To get this benefit, it is important that you confirm with the credit card provider that they will report the pay history data of the credit card account to the credit report agencies for the authorized user and that that the credit card owner does, if fact, have an impeccable pay history.  NOTE:  Authorized user status has a smaller impact on credit scores than it had many years.

Read More from: Bonds & Botes, P.C.

3 days 11 hours ago

There is at least one thing that both President-Elect Donald Trump and Senator Elizabeth Warren claim to agree on:  restoring the Glass-Steagall Act.  Senators John McCain and Bernie Sanders are on record in agreement, as well.  This strange collection of bedfellows in support of reviving a depression-era law gives simultaneous reason for optimism and suspicion that restored legislation will be achieved.

The Glass-Steagall Act is the common reference to Sections 16, 20, 21, and 32 of the Banking Act of 1933, which separated commercial banking from investment banking.  In particular, the Glass-Steagall Act:

Read More from: Hughes Hubbard & Reed

3 days 13 hours ago

Jeffrey Scholnick was recently elected to the Board of Latino Provider Network.   He was introduced to the entire membership as the newest Board member on Nov 26, 2016.

Jeffery it was a pleasure for the Board and I to sit and get to know you a little better.  The Board and I discussed the great things you bring to the table, your expertise, commitment to the community and language skill set [studying Spanish] are assets to the board.

Jeffery for these reasons the board members, present yesterday voted unanimously on having you on the board.

The Latino Provider Network is the largest network of individuals and businesses servicing the Baltimore Hispanic Community with approximately 100 members.


If you do business with the Baltimore Latino community then you really need to join two organizations, the Latino Providers Network and the Maryland Hispanic Chamber of Commerce.


The excellent President of the Maryland Hispanic Chamber, Jorge Castillo  has written wonderful articles about the Chamber.  But, I want to tell you why you should join the Latino Providers Network.  I have been a member for about 4 years now.


Read More from: Scholnick Law

3 days 16 hours ago

Limitless Mobile, LLC, successor to Keystone Wireless, LLC, has filed a petition for relief under chapter 11 in the United States Bankruptcy Court for the District of Delaware (Case No. 16-12685).  According to the First Day Declaration, Limitless, which is headquartered in Harrisburg, Pennsylvania, was formed in 2013 to provide broadband and wireless telecommunication services in nine rural counties in central Pennsylvania, and is part of a worldwide corporate family referred to as the Limitless Group.  The Debtor intends to wind down its retail-side business and emerge from bankruptcy as a viable wholesale operator.  Rust Consulting/Omni Bankruptcy is the proposed claims agent.  The Honorable Kevin J. Carey has been assigned to the case.

Contact Norman L. Pernick and  Nicholas J. Brannick for more information.

3 days 17 hours ago

President-elect Trump faces legal questions over his idea to hold remittances ransom to fund a wall in Mexico, but the industry should take the threat seriously.

Read More from: BankThink

3 days 17 hours ago



At the end of your Chapter 13 case, you don’t have to wonder where you stand with your mortgage lender.

  • Are you really, fully current with the mortgage?
  • Are there fees and charges that you don’t know about?
  • Are you ready to emerge from bankruptcy 100% paid up?
  • Is the lender really poised to start foreclosure?

Starting December 1, 2016, your Chapter 13 trustee is required to flush out any surprises that lurk in your home loan servicer’s accounts.

And a federal judge stands by to sort it out.

When my client’s case was through, she was $62,000 better off than she would have been otherwise.

Let’s hear it for Bankruptcy Rule 3002.1.

3 days 17 hours ago