Rochelle's Daily Wire

The Delaware district court affirmed Bankruptcy Judge Thomas Horan, who ruled that a creditor cannot sue a chapter 15 debtor in bankruptcy court on a prebankruptcy claim.

The Second Circuit shows how a properly structured leveraged refinancing avoids attack as a fraudulent transfer despite the Supreme Court’s effort at narrowing the ‘safe harbor.’

Judge Dale Somers adopted a ‘liberal’ construction of Section 1107(b) to retain a professional person who had been an officer of the debtor.

A court can evaluate the credibility of an affidavit when deciding whether there’s a material issue of disputed fact to defeat summary judgment.

The new J&J filing starkly raises the issue of venue-shopping. If the new case remains in Houston, the Texas court would not be bound by the Third Circuit’s ‘financial distress’ requirement.

Alter ego claims belong to the creditor, not to the bankrupt estate.

Bound by circuit precedent, the Eighth Circuit held that a prior receivership does not cleanse the bankruptcy estate of the in pari delicto defense.

A trustee has standing and a claim for fraudulent transfer just because a fraudulent transfer erodes assets of the bankrupt estate.

The opinion by Circuit Judge Thomas Ambro reads Jevic as animating the solvent-debtor exception to the disallowance of unmatured interest.

The Eighth Circuit had held that a debtor has an ‘inchoate’ property interest in avoidance actions before bankruptcy, but Judge Collins ruled that a lender can’t have a lien.