Another judge follows statutory language that didn’t achieve the result Congress probably intended.
Reclamation creditors no longer have liens or administrative claims if a secured lender sucks up all the value in reclaimed goods.
The 2005 amendments to Section 546(c) departed from state law under UCC § 2-702 by creating a federal rule making reclamation claims subordinate to existing secured claims and DIP financing.
The Supreme Court has ducked the split twice in recent years but should tackle the question this time around.
Chapter 13 forces judges to micromanage the lives of debtors.