Third Circuit Decides Bankruptcy Case Addressing Sovereign Immunity
Bankruptcy courts have long been overwhelmed with the question of how to apply sovereign immunity. The United States Supreme Court has issued some rulings about sovereign immunity, but has yet to write...
View ArticleThe Issuers of Stock Held Liable for Double-Pledge
A Louisiana bankruptcy court, in the Karcredit LLC case, recently considered a case involving two lenders and one stock certificate. At the heart of the Karcredit case was a party who relied on a stock...
View ArticleBankruptcy Court Finds “Critical Vendor” Label Provides No Insulation from...
In what could likely end up an influential ruling, a Delaware court recently held that securing a “critical vendor” status in Chapter 11 commercial bankruptcy case ultimately offers no defense in...
View ArticleThird Circuit Holds Pre-Effective and Post-Confirmation Date “Claims” Can be...
Toward the end of 2021, a federal circuit court found for the first time that claims that became connected to a debtor’s case after a Chapter 11 plan was confirmed but before the plan’s effective date...
View ArticleRennaker v. Davis Highlights What Cannot be Discharged in Bankruptcy
The recent Rennaker case involved various claims addressing what is dischargeable under both 11 U.S.C. section 523 and section 727. The Judge’s decision, in this case, provides a detailed examination...
View ArticleDistrict Court Disrupts Purdue’s Reorganization Plan: Future Restructuring...
In December 2021, a Judge for a New York district court (NYDC) issued a decision in bankruptcy involving Purdue Pharma. The judge overturned a bankruptcy court’s confirmation of Purdue’s Chapter 11...
View ArticleNon-Consensual Releases of Third Parties Approved by Bankruptcy Court
In February 2020, as one of several decisions concerning third-party releases (TPRs), a bankruptcy court judge confirmed a reorganization plan and its associated debtor entities which include...
View ArticleCourt Rules Recoupment Requires Proof of Emotional Distress
In April, a bankruptcy court entered a judgment in favor of a national bank, determining that the plaintiff had failed to establish that he had experienced an injury involving economic or emotional...
View ArticlePotential Changes Looming With How Student Loan Debt is Handled During...
Advocates are currently urging the United States Supreme Court to provide clarification about what debtors must establish to eliminate student loan debt in bankruptcy. Erasing student loan debt through...
View ArticleThird Circuit Issues Notice of Publication Decision in Bankruptcy Case
One fundamental aspect of bankruptcy law is that debtors can receive new starts on establishing good credit after emerging from the bankruptcy process. A company’s capacity to discharge liabilities is...
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