8th Circuit

Chapter 7 Estate Takes Post-Petition Appreciation on Conversion from Chapter 13

Joining the ‘slight minority,’ Judge Fenimore rules that post-petition appreciation in the value of a homestead goes to the chapter 7 estate when the chapter 13 case converts.

Transfer Occurs When Property Is Placed in Escrow or In Custodia Legis

When disbursement depends on subsequent court approval, the transfer still occurs beforehand when the deposit was made in custodia legis.

No De Novo Review of Discovery Sanctions After the Reference Is Withdrawn

An adverse inference sanction for spoliation of evidence is reviewed for abuse of discretion by the district court after withdrawal of the reference.

Bankruptcy Courts in Colorado and Minnesota Bar Bifurcated Fee Arrangements

Local rules require lawyers to prepare and fill all required chapter 7 papers regardless of whether the debtor pays the fee or agrees to pay the fee.

Eighth Circuit to Decide Whether Avoidance Actions Are Estate Property that Can Be Sold

Authorities are split on whether avoidance actions are estate property that can be sold or can only be prosecuted by the trustee.

FishDish Proves that Ending Equitable Mootness Didn’t End the World as We Know It

Curtailing equitable mootness will benefit the bankruptcy community by fostering appellate decisions that clarify the standards for confirmation of chapter 11 plans.

Split Widens on Dischargeability for Third Party’s Violation of Securities Laws

Circuits are split 2/1 on whether a debtor must have committed a securities law violation before a judgment is made nondischargeable under Section 523(a)(19).

Capped Landlord Claim Can Also Be Nondischargeable, Eighth Circuit Says

Retired Judge Kressel wrote the opinion in 2000 relied on by the Eighth Circuit.

Eighth Circuit Comes Near to Abolishing Equitable Mootness

Circuit Judge Loken predicts the Supreme Court will abolish equitable mootness if the lower courts don’t cut back and start reviewing the merits of confirmed chapter 11 plans.

Tribal Law Defined the Nature of a Tribe Member’s Property Interest in Gaming Revenue

Federal law allows tribes to determine whether a tribe member’s interest in distributions of gaming revenue will be estate property in bankruptcy, Judge Ridgway says.