Bankruptcy & Insolvency

Practice Points

What you need to know in a quick-to-read format. Find all of the Bankruptcy & Insolvency Committee’s Practice Points in this archive.

2020

Don’t Hesitate to Appeal an Order Denying Relief from an Automatic Stay
By Susan Golden – March 6, 2020
The Supreme Court clarifies contradictory lower court decisions and upholds a 14-day time limit.

2019

Tales from the Front: the Perils of Claims Trading
By Andrew M. Toft – November 12, 2019
Learning to love reading the anti-assignment clause of promissory notes.

New Insights on Sanctions Imposed by Bankruptcy Courts
By Andrew M. Toft – April 9, 2019
Cautionary tales from two recent cases.

2018

Tips from a Junior Associate for Coping with Stress
By Matt Talmo – April 24, 2018
Four strategies for avoiding Big Law burnout.

Recent Ruling Extends Protections of the Barton Doctrine to Bankruptcy Trustee’s Counsel
By Andrew M. Toft – February 8, 2018
Lankford provides a succinct discussion of the doctrine.

2017

A Fee-Defense Provision in a Retention Agreement Can be Approved Under Section 328(a)
By Travis J. Cuomo – October 31, 2017
The New Mexico Bankruptcy Court rules in In re Hungry Horse, LLC.

You’re Going to Need to Quash That Subpoena Somewhere Else
By Robert C. Maddox – February 21, 2017
The Bankruptcy Court of Colorado rules in In re SBN Fog Cap II LLC, et al.

Evidentiary Objections in Bankruptcy Court: Part 2
By Manish Borde – January 4, 2017
To 403 or not to 403—that is the question.

2016

Evidentiary Objections in Bankruptcy Court: Part 1
By Manish Borde – November 30, 2016
The first part in this series on evidentiary objections of particular note in bench trials will focus on hearsay.

District Court of Delaware Decides on the Safe Harbor Provision's Applicability to State Fraudulent Transfer Claims
By Daniel J. DeFranceschi – June 1, 2016
The case is PAH Litigation Trust v. Water Street Healthcare Partners L.P.

Delaware Bankruptcy Court Holds Administrative Expense Claim Can Set Off Preference Liability
By Zachary I. Shapiro – June 1, 2016
The court further held that section 502(d) of the Bankruptcy Code is not applicable to administrative expense claims.

Eastern District of New York Goes Its Own Way on Dischargeability of Bar Review Loan
By Zachary I. Shapiro – June 1, 2016
Lenders should consider their options and students seeking loans should anticipate changes.

Eleventh Circuit Rules in Rosenberg v. DVI Receivables XIV, LLC
By Brett M. Haywood – May 31, 2016
The court held that a district court must apply Federal Rule of Bankruptcy Procedure 9015(c)’s 14-day filing deadline.

District Court Certifies Appeal Regarding Fee Claim to Third Circuit
By Rachel L. Biblo – May 31, 2016
The case is Wilmington Trust Company v. Tribune Media Company.

Delaware Bankruptcy Court Dismisses Adversary Proceeding in Hormel Foods Case
By Andrew M. Dean – May 24, 2016
The case is JLL Consultants, Inc. v. Hormel Foods Corporation (In re: AgFeed USA, LLC, et al.).

Bankruptcy Court for the District of Delaware Rules in Barry v. Santander Bank
By Andrew M. Dean – May 24, 2016
The case involved the bank's role in four allegedly fraudulent transactions.

SDNY Reiterates the Standards for Altering, Amending, or Granting Relief from a Judgement
By Alexander G. Najemy – May 9, 2016
The case is Perez v. Terrestar Corporation, et al. (In re Terrestar Corporation, et al.).

BAP of the Ninth Circuit Reiterates Higher Standard for Court-Initiated Sanctions
By Alexander G. Najemy – May 9, 2016
The case is In re Nakhuda.

2015

Illinois Bankruptcy Court Applies Fair Debt Collections Practices Act to Proof of Claim
By Brett M. Haywood – October 30, 2015
The case is Edwards v. LVNV Funding LLC and Resurgent Capital Servs. (In re Edwards)

Delaware Bankruptcy Court Issues Bench Ruling in In re Colt Holding Company, LLC
By Andrew M. Dean – October 20, 2015
In denying the request for derivative standing, Judge Silverstein noted that the debtors had taken steps to ensure the independence of the lease renewal process.

Third Circuit: Bad Faith Is Independent Ground to Dismiss Involuntary Petition
By Brendan J. Schlauch – October 20, 2015
The case is In re Revel AC, Inc.

Maine and Illinois Courts Disagree Over Fair Debt Collections Practices Act
By Curtis S. Miller and William M. Alleman Jr. – October 6, 2015
The case is Martel v. LVNV Funding LLC and Resurgent Capital Servs. (In re Martel).

Third Circuit: Bad Faith Is Independent Ground to Dismiss Involuntary Petition
By Brett M. Haywood – October 6, 2015
The case is In re Forever Green Athletic Fields, Inc.

The Apparent Conflict Between the Norris-LaGuardia Act and Section 362
By Alexander G. Najemy – September 22, 2015
The case is In re Trump Entertainment Resorts, Inc.

SCOTUS Rules in Baker Botts vs. Asarco
By Alexander G. Najemy – September 22, 2015
The case involved section 327(a) of the Bankruptcy Code and awarded fees.

In Wellness International, SCOTUS Approves Consent
By Landon S. Raiford – June 11, 2015
Article III of the U.S. Constitution is not violated when bankruptcy courts decide matters with the knowing and voluntary consent of the litigants.

PA Bankruptcy Court Rules in In re Merritt
By Marcos A. Ramos and David Queroli – June 10, 2015
The Honorable Jean K. FitzSimon recently declined to decide whether a chapter 13 debtor can be granted standing to prosecute a fraudulent transfer claim on behalf of its estate

Lawyer Cannot Discharge Client's Claim Based on Funds Stolen by Lawyer
By Marcos A. Ramos and David Queroli – June 10, 2015
The case is Northbay Wellness Group, Inc. v. Beyries.

Delaware Bankruptcy Court Denies Request for Fee Enhancement
By Robert C. Maddox – June 3, 2015
The case is In re FAH Liquidating Corp..

SCOTUS Rules in Bank of America v. Caulkett
By Marcos A. Ramos – June 3, 2015
A debtor in a Chapter 7 proceeding may not avoid a junior mortgage under section 506(d) of the Bankruptcy Code even where the debt owed on the senior mortgage exceeds the value of the debtor’s collateral.

Fifth Circuit Rules in Villegas v. Schmidt
By Marcos A. Ramos – May 29, 2015
The Barton doctrine applies irrespective of whether the underlying claims at issue are claims over which the bankruptcy court lacks final adjudicative authority under Stern.

Delaware Court of Chancery Revisits Creditor Derivative Standing
By Paul K. Rowe, William Savitt, Emil A. Kleinhaus, and Alexander B. Lees – May 20, 2015
In a significant decision, several proposed limitations on the ability of creditors to maintain derivative suits following a corporation’s insolvency were rejected.

Third Circuit Rules in In Re Allen
By Marcos A. Ramos and William A. Romanowicz – February 20, 2015
A debtor does not need to actually possess property recovered under Section 550 for such property to constitute property of the debtor’s estate under Section 541(a)(3).

Delaware Bankruptcy Court Rules in Antecedent Debt Case
By Marcos A. Ramos – January 27, 2015
The case is Stanziale v. DMJ Gas-Marketing Consultants, LLC.