Govt. Claims/Sovereign Immunity

Third Circuit Makes Strict Rules Before Subrogation Rights Kick In

There can be no question about whether the beneficiary of a surety bond has been ‘paid in full’ before the surety has subrogation rights.
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Objections to Priority Claims May Follow Confirmation of a Chapter 13 Plan

Confirming a chapter 13 plan on the assumption that a claim was entitled to priority didn’t bar the debtors from later objecting to the priority of the claim.

Split Heading to the Tenth Circuit on Sovereign Immunity for Section 544(b) Claims

The Tenth Circuit will likely take sides on a split between the Ninth and Seventh Circuits on Section 544(b) state-law claims brought by a trustee in the shoes of an actual creditor.
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Civil Penalties for Defrauding Consumers Weren’t Discharged Under Section 1141(d)(6)(A)

Reversing the bankruptcy court, a district judge in New York held that a civil penalty wasn’t discharged even though the fraud wasn’t committed against the government.

Sovereign Immunity Prevailed Because a Slot Machine License Isn’t ‘Property’

In Pennsylvania, a gaming license isn’t ‘property.’ It’s a revocable license that can’t be owned.
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