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Debtors Benefit When Trust Law Meets Bankruptcy Law

A trust designed to defeat the claims of creditors can sometimes hold up in bankruptcy.
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Delaware & New York Courts Still Agree on Treatment Among Undersecured Creditors

Post-petition interest accruals aren’t counted in figuring distributions among undersecured creditors with liens on the same collateral.
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State Law, Not Filing Date, Governs Distributions to Co-Owners, Fifth Circuit Says

The distributive share to co-owners is not fixed as of the filing date under Section 363(j).
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