State Court Is the ‘More Appropriate Forum’ to Divide Marital Property
The bankruptcy court can divide marital property, but just because it can doesn’t mean it should, Judge Thuma says.
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Fourth Circuit: State Law Claims for Discharge Violations Are Not Preempted
The Fourth Circuit declined to follow the First and Sixth Circuits on preemption of automatic stay violations by expanding the ban to redress for discharge violations.
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A Suit to Impose a Prepetition Policy Didn’t Violate the Automatic Stay, District Judge Says
Seeking attorneys’ fees from the debtor did not by itself make a postpetition lawsuit subject to the automatic stay.
Another Article III Judge Won’t Let Bankruptcy Stop Suits Against Nondebtors
The same day the Supreme Court decided to hear Purdue, a district judge on Long Island, N.Y., sent dozens of long-stayed sexual abuse cases back to state court where the debtor is not a named defendant.
Second Circuit Nixes Nationwide Class Actions for Discharge Violations
The Second Circuit split with the First Circuit, which had permitted nationwide class actions because the discharge injunction is statutory.
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J&J’s ‘Baby Powder’ Chapter 11 Case Dismissed a Second Time: No Financial Distress
Bound by the Third Circuit’s first LTL decision, the bankruptcy court found that LTL’s rejiggered second filing suffered from the same defect: no immediate financial distress.
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Lack of Creditor Opposition Isn’t Grounds for Extending an Expiring Automatic Stay
A repeat filer in chapter 13 must show ‘clear and convincing evidence’ of improved financial condition to warrant an extension of the automatic stay under Section 362(c)(3)(B), Chief Judge Taddonio says.
A Bankruptcy Petition Automatically Stays the Filing of an Appeal or a Cross Appeal
When the debtor files bankruptcy before the time has elapsed for a creditor to file a cross appeal, the cross appeal is deemed timely when filed within 30 days after the stay terminated, the Tenth Circuit held.
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