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An affiliate of Elliott Management wants to delay Relativity Media LLC ‘s sale hearing, Daily Bankruptcy Review reports via The Wall Street Journal. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”) Great Atlantic & Pacific Tea Co. won approval to sell the assets at 12 in-store pharmacies to Rite Aid Corp., DBR reports via WSJ. As DBR reports via WSJ, some state and federal agencies are balking at liability releases in for-profit educator Corinthian Colleges Inc.’s liquidation plan. DBR reports via WSJ on Caesars’ deal with senior lenders on a balance-sheet restructuring.

Read More from: WSJ.com: Bankruptcy Beat

5 days 13 hours ago
Dealing with subject access requests (“SAR”s) under the Data Protection Act 1998 is becoming a regular occurrence for many organisations, particularly banks and their advisors.  Processing such requests can take up significant manpower and the costs can be substantial.  Whilst designed to allow individuals to access personal data, determine its source, why it is held and who it is shared with, in reality SARs are frequently being used as a fishing exercise for prospective litigation and complaints against institutions such as banks.  The recent case of Dawson-Damer v Taylor Wessing LLP [2015] EWHC 2366 considered the proper use of SARs and the scope of the investigation required by the Act. SARs The provisions of the Data Protection Act 1998 which enable individuals to access data held about them were introduced to enable individuals to check what information was held about them by others and whether it was being processed unlawfully or in a way that affected their right to privacy.

Read More from: eSQUIRE Global Crossings

5 days 16 hours ago
Today’s Delavan real estate buyers are savvier than ever. This is mainly because Millennials are now of home buying age and they are the most internet friendly generation that home buyers have ever encountered. Millennials have grown up with access to infinite information at their fingertips via the internet. They search and review everything online before taking the next steps in the purchasing decision process. They love videos, photographs, and social sharing. Zillow has stated that Millennials will overtake baby boomers as the generation purchasing the largest number of homes this year. This makes their preferences more important than ever. How can you market your home to Generation Y? Below you will find 4 tips to assist you with selling your home to Millennials.   4 Tips to Sell Your Home in 2015 from our Delavan Real Estate Lawyer

Read More from: Wynn at Law, LLC

5 days 20 hours ago
Since the time of my last post, Alan D. Halperin, the Trustee of the FBI Wind Down, Inc. Liquidating Trust has filed 93 more preference complaints.  Because the Debtor filed for bankruptcy on September 9, 2013, the Trustee has only two more weeks to file any additional preference complaints. While we cannot be certain that these are the final preference complaints that will be filed in this case, the clock is ticking. Prior posts about FBI: Furniture Brands Files for Bankruptcy in Delaware Seeking to Sell Assets Furniture Brands International – Preference Litigation has Begun Furniture Brands International – Preference Litigation Update
6 days 16 min ago
When you’re getting ready to file for bankruptcy, whether you’re an individual or a small business owner, you have enough to worry about without your bank getting in on the act and taking your money. You come to an agreement with your lenders and expect that agreement to be honored. As part of your bankruptcy agreement, you may endeavor to negotiate allocation of some of your savings for your lifestyle essentials, such as clothing, food and medical care. More and more customers of Wells Fargo are finding out that this is not always the case and are having to battle unjust asset seizures pursuant to the institution’s bankruptcy program. The country’s fourth-largest bank recently lost a potentially significant decision in bankruptcy court when they seized the assets of a small business owner and his wife that they had set aside to keep their heads above water. As part of their bankruptcy agreement, the couple was able to keep about $7.000, which Wells Fargo seized shortly thereafter claiming they were required by the bankruptcy code to preserve estate funds and follow the trustee’s directions regarding the money. Following the decision, the judge proceeded to characterize Wells Fargo’s bankruptcy program as “inconsistent.”
6 days 7 hours ago
Greek bank bonds suffered heavy losses this week after Eurozone finance ministers agreed that senior bondholders would be bailed-in when Greece’s banks are restructured later this year. In our latest post from Kate Stephenson, Alex Wood and Andrew Wilkinson, we cover:
  • moves to restore the financial stability of Greek banks by bailing in senior bondholders (and sparing depositors);
  • a quick recap on the European Bank Recovery and Resolution Directive, which is being implemented into Greek law;
  • the new stress tests / asset quality reviews, which will form the basis of resolution measures;
  • areas of uncertainty regarding the potential resolution measures; and
  • some crumbs of comfort for stakeholders.
This post is particularly relevant for bondholders and shareholders of Greek banks. It is also relevant for stakeholders in other European credit institutions, as Greece will provide a test case for new EU rules on resolving failing banks. Click here to read the full article.
6 days 7 hours ago
Families that use state-issued EBT cards often face ATM fees that eat away at their already-meager incomes. Banks should waive those fees in order to ensure that all public assistance dollars go toward household needs.

Read More from: BankThink

6 days 9 hours ago
On August 4, 2015, the Second Circuit weighed in for the first time on the circumstances in which the confirmation of a Chapter 11 plan could strip a secured creditor of its lien. In City of Concord, N.H. v. Northern New England Telephone Operations LLC (In re Northern New England Telephone Operations, LLC), the Second Circuit held that, although the general rule is that liens and security interests pass through bankruptcy unaffected, section 1141(c) of the Bankruptcy Code provides an exception where four factors are met: (1) the text of the plan does not preserve the lien; (2) the plan is confirmed; (3) the property subject to the lien is “dealt with” by the terms of the plan; and (4) the lienholder participated in the bankruptcy proceedings. The fourth factor requiring lienholder participation is not expressly mentioned in section 1141(c), but the Court concluded, relying on principles of equity, that the requirement “falls squarely within” section 1141(c) anyway. Lienholder participation is necessary if property can said to be fairly “dealt with” by a plan. Furthermore, it is the flip side of the coin with respect to section 506(d)’s preservation of certain liens where a lienholder does not participate in the bankruptcy.

Read More from: eSQUIRE Global Crossings

6 days 9 hours ago
John Rogers:
The Eastern District of Kentucky Bankruptcy Court opines that deficiency judgment liens, even for foreclosure deficiencies, can be avoided under the Code
Originally posted on Kentuckiana Bankruptcy Opinions: (E.D. Ky. Aug. 21, 2015) The district court affirms the bankruptcy court’s order avoiding the mortgage foreclosure deficiency judgment liens on the debtor’s residence. The creditor had obtained a deficiency judgment following foreclosure of its mortgage lien and filed a judgment lien for the deficiency, which encumbered the debtors’ residence. The debtors moved to avoid the lien under 11 U.S.C. § 522(f) and the bankruptcy court granted the motion. The creditor appealed, arguing that § 522(f)(2)(C), which provides that judgments arising out of mortgage foreclosures are not avoidable, applied to the deficiency judgment lien. The court recognizes the split in authority on the issue, but ultimately concludes that § 522(f)(2)(C) merely provides that judgments in foreclosure actions (i.e. sale orders enforcing the mortgage lien) cannot be avoided such that the mortgage lien is avoided. The section does not apply to deficiency judgment liens. Opinion below.
6 days 10 hours ago
“What is time? When no one asks me, I know.  If I want to explain it to someone who asks, I have no idea.” – St. Augustine, The Confessions “People assume that time is a strict progression of cause to effect, but, actually, from a non-linear, non-subjective viewpoint, it’s more like a big ball of wibbly-wobbly, timey-wimey stuff.” – Doctor Who
I know what time is. Time is my enemy. When I am struggling to draft something while the midnight electronic filing deadline draws closer, when I’m urging the kids to get ready and get out the door in the morning to get to school before the tardy bell rings, or even when I’m just trying to get to yoga class on time. My blood pressure rises. I get irritable. I want to escape. But there is no escape.

Read More from: Spiritually Bankrupt

6 days 10 hours ago
Some large U.S. banks are likely to be impacted by recent volatility in emerging markets like Brazil and China. But their opaque risk metrics make it difficult for investors to judge banks' level of exposure.

Read More from: BankThink

6 days 11 hours ago
Receiving Wide Coverage ... Global Market Crisis: The massive stock market sell-off that began on Friday (the Dow Jones Industrial Average's worst Friday in more than five years) continued Monday morning, with global markets tanking on a wide range of concerns. Time will tell whether comments made by traders are overblown, but a money manager in Germany told Bloomberg, "Everyone seems to be selling off, and there's panic. There's no rational choice anymore, no rational reaction."...

Read More from: BankThink

6 days 12 hours ago
Sometimes the most important question about discharging student loans in bankruptcy can be as small as whether you received the check. That’s what Tarra Christoff found when she filed for bankruptcy in Northern California. In 2002, Tarra Christoff applied to Center for Transformative Learning at Meridian University, a private university in California, with the goal of becoming a psychologist. As part of her financial aid package, the school offered Christoff $6,000 in financial aid to pay a portion of her first year tuition. For the second year, Meridian offered her $5,000 in financial aid. For both years, she signed a promissory note agreeing to repay the funds with interest. Christoff made a few payments after she left Meridian, then fell behind. Ultimately, the matter was submitted to arbitration and Tarra was ordered to repay the unpaid balance due plus interest. Had this been Christoff’s only debt then there’s a good chance she would have made payment arrangements to handle the loans. Unfortunately, the debts to Meridian were a tiny portion of what ultimately came to well over $200,000 in debt. Finally, she made the decision in 2013 to file for bankruptcy.
6 days 12 hours ago
A judge upheld a multimillion-dollar judgment against Renco Group and leader Ira Rennert, Daily Bankruptcy Review reports via The Wall Street Journal. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”) Caesars Entertainment Corp. reached a deal with the biggest lenders of its bankrupt unit, Caesars Entertainment Operating Co., Bloomberg reports. WSJ looks at the Sept. 1 deadline faced by Puerto Rico’s public utility to pay $8 billion in debt and the possible default it might face if it can’t come to a deal with creditors. Republic Airways is trying to avoid bankruptcy with a new contract offer to pilots, WSJ reports.

Read More from: WSJ.com: Bankruptcy Beat

6 days 14 hours ago
In the Boomerang Systems, Inc. bankruptcy proceeding (Delaware Bankruptcy Case No. 15-11729), a formation meeting has been scheduled for Thursday, August 27, 2015 at 10:00 a.m. (ET) at the J. Caleb Boggs Federal Building, 844 King Street, Room 2112, Wilmington, DE 19801.  Click Here for a copy of the Notice of Formation Meeting for Official Committee of Unsecured Creditors issued by the Office of the United States Trustee.  If you want to be considered for Committee membership, you MUST complete a questionnaire and return it to the U.S. Trustee no later than August 25, 2015 at 5:00 p.m. (ET). One way in which creditors can assert their interests is to attend the Formation Meeting and become a part of the creditors’ committee.  The creditors’ committee is one of the most active participants in a corporate bankruptcy, and has access to a significant amount of information not available to normal creditors.  There are, naturally, trade-offs to gaining access to this information (including limitations on a company’s ability to trade in securities of the debtor), but you will be far better informed of what occurs in the bankruptcy proceeding.
1 week 12 min ago
Puerto Rico is asking the U.S. Supreme Court to review the First Circuit decision that Puerto Rico's Recovery Act is preempted and thus unconstitutional. Here's the petition. In addition to parsing the legal issues, the petition is framed around Puerto Rico's financial emergency, the need for the Supreme Court to step in notwithstanding the lack of circuit split (or even a dissent to the First Circuit ruling). It makes sense that Puerto Rico would challenge a ruling making it harder for the Commonwealth, in a nebulous legal zone, to write laws to solve its problems. The difficulty with the financial crisis framing is that even if (1) the Supreme Court agreed to hear the matter, (2) heard the matter quickly, (3) decided the matter quickly, and (4) actually reversed the First Circuit - a chain of tough "even ifs"  - public corporations in Puerto Rico will not be able to start using the law because another formidable constitutional challenge is still alive: whether the Recovery Act can survive scrutiny under the Contracts Clause. That hotly contested fight would be fact intensive in a way that the preemption dispute was not.

Read More from: Credit Slips

1 week 1 day ago
In this Nov. 5, 2013, file photo, Jon Bon Jovi performs in concert with his band Bon Jovi on their Because We Can Tour 2013, in Philadelphia.
Owen Sweeney/Associated Press
Vancouver fans of Jon Bon Jovi will still get to see the singer Saturday despite the bankruptcy of a local concert promoter, the Globe and Mail reported. Paper Rain Performances filed for bankruptcy just days before the concert was scheduled to take place at Stanley Park in Vancouver, pulling the plug on the concert with it. But Mr. Bon Jovi’s manager (livin’ on a prayer, no doubt) on Wednesday secured a new concert venue: Rogers Arena. The arena even waived the rental fee and did “everything they possible could to reduce the cost substantially,” Paul Korzilius, Mr. Bon Jovi’s manager, told the Globe and Mail.

Read More from: WSJ.com: Bankruptcy Beat

1 week 2 days ago
Rapper 50 Cent exited a New York courthouse last month after testifying in a sex tape lawsuit.
Brendan McDermid/Reuters
Though he’s not exactly known for being shy about his wealth, 50 Cent will fight for some financial privacy in court on Wednesday. The 40-year-old rapper, whose real name is Curtis James Jackson III, is fighting a request from a woman who won a $7 million privacy lawsuit over a sex tape and who now wants Mr. Jackson to release additional financial information. Mr. Jackson’s lawyers said they’ve already provided plenty of financial details to Lastonia Leviston, who accused him in 2010 of violating her privacy by posting a sex tape of her online. The posting in 2009 escalated the “rap war” between the rapper and Rick Ross, Ms. Leviston’s ex-boyfriend.

Read More from: WSJ.com: Bankruptcy Beat

1 week 2 days ago
Payments made by a debtor within 90 days of a bankruptcy petition are generally avoidable as preferences under section 547 of the Bankruptcy Code.  Many exceptions and defenses exist, however, to ensure that creditors are not discouraged from conducting business with companies that may be at risk of filing for bankruptcy.  Section 547(c)(2) creates one such exception, exempting transfers made in the ordinary course of business from avoidance.  In the recent case of Jubber v. SMC Electrical Products Inc. (In re C.W. Mining Co.), the United States Court of Appeals for the Tenth Circuit weighed in on an open question regarding the exception: can a first-time transaction between a debtor and a transferee fall within the ordinary course of business exception?  The court held that it could, relying both on the language of the statute and the policy underlying exceptions to the avoidance power.  Background
1 week 2 days ago
Prepaid cards appeal to a growing percentage of the population like millennials and other 21st century consumers who want to manage their money without being tied down to bank locations.

Read More from: BankThink

1 week 2 days ago

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