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Venue/Jurisdiction

Circuits Split on Bankruptcy Jurisdiction for Social Security, Medicare Suits

Fifth Circuit rejects the ‘recodification canon’ to divest bankruptcy courts of jurisdiction over Social Security suits.
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Creditors of LPs or LLCs Can’t Sue for Breach of Fiduciary Duty

Creditors lack standing in Delaware and other states for derivative liability suits against officers and managers of LPs and LLCs.
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Appellate Jurisdiction Doesn’t Terminate on Dismissal of the Underlying Bankruptcy

New Orleans district judge finds discretion in Fifth and Ninth Circuit authority for jurisdiction over an appeal after dismissal of the underlying bankruptcy case.

Is a Notice of Removal Filed in Bankruptcy Court Ok? Courts Are Split

Judge in Mississippi remands a suit to state court because the notice of removal was filed with the bankruptcy clerk, not the district court clerk.

Sovereign Immunity Doesn’t Insulate States from Lien Stripping

For three independent reasons, Judge Taddonio rules that states are not immune from stripping down or stripping off tax liens.

Final Orders Allowed in Preference Suits Against Defendants Who Didn’t File Claims

Following dicta in Bellingham, Judge Collins finds no power to enter a final order in a fraudulent transfer suit against a defendant who did not consent.
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Courts Divided on Venue for Small-Dollar Avoidance Actions

Judges Pappas and Teel permit avoidance actions for small amounts to be prosecuted in the debtors’ bankruptcy courts.
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