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LJN Quarterly Update: 2024 Q2
July 24, 2024
The LJN Quarterly Update highlights some of the articles from the nine LJN Newsletters titles over the quarter. Articles include in-depth analysis and insights from lawyers and other practice area experts.
Appellate Courts Skeptical About Bankruptcy Court Sanctions
July 01, 2024
Recent appellate decisions reflect a distaste for appeals from bankruptcy court sanction orders. A split Fourth Circuit even refused to hear such an appeal. Other courts tend to limit sanctions or, alternatively, accept a bankruptcy judge's findings under a stringent "abuse of discretion" standard.
Supreme Court's Rejection of Purdue Pharma Settlement Redefines Releases In Chapter 11
July 01, 2024
The U.S. Supreme Court has issued its most anticipated bankruptcy decision in recent memory. In a 5-4 decision entered June 27, the Supreme Court struck down the nonconsensual third-party releases. Writing for the Court, Justice Neil Gorsuch ruled that nothing in the Bankruptcy Code authorized the nonconsensual release or discharge of claims of opioid victims against the Sacklers, who were not debtors themselves.
Ninth Circuit: Debt In Asset Case Is Nondischargeable If Debtor Fails to Properly Schedule the Debt
July 01, 2024
In a recent published decision, the U.S. Court of Appeals for the Ninth Circuit addressed a previously unresolved question in that circuit: whether a debtor's failure to properly schedule a debt in an "asset case" renders the debt nondischargeable.
Is the Rule Preventing Bankruptcy Judges from Appointing Special Masters Outdated?
July 01, 2024
Rule 9031 of the Federal Rules of Bankruptcy Procedure prevents all bankruptcy judges, and, if broadly interpreted, any federal judge hearing bankruptcy cases and proceedings, from appointing special masters. The rule has not been amended since its adoption in 1983. It is outdated and should be repealed or amended to accord with the reality of today's complex Chapter 11 cases.
Fourth Circuit Could Decide Fate of the 'Texas Two-Step'
July 01, 2024
An influential appellate court has agreed to take up a bankruptcy involving the controversial "Texas two-step," potentially deciding the merger tactic's fate in future Chapter 11 cases. The Fourth Circuit agreed to hear a petition to dismiss the bankruptcy of Bestwall, a subsidiary of Koch Industries-owned Georgia-Pacific, created through a "Texas two-step" to resolve 60,000 lawsuits over asbestos exposure.
Supreme Court: Prospective Parity Is Answer to Past Trustee Fee Disparity
July 01, 2024
The appropriate remedy for the past disparity in bankruptcy fees between federal Bankruptcy Trustee and Administrator districts is simply to ensure all the courts are charging the same going forward, the Supreme Court ruled on June 14.
LJN Quarterly Update: 2024 Q1
June 05, 2024
Highlights some of the in-depth analysis and insights from lawyers and other practice area experts from the nine LJN Newsletters titles over the first quarter of 2024.
Courts Split Over Requirement for Chapter 15 Jurisdiction In the U.S.
June 01, 2024
If a foreign debtor doesn't reside in, have a domicile or place of business in, or have property in the U.S., can the foreign representative of the debtor utilize Chapter 15 to obtain discovery to use in the foreign proceeding?
Guidance on the Enforceability of Lockup Provisions
June 01, 2024
A recent decision from Chief Judge Glenn of the Southern District of New York Bankruptcy Court provides clarity to creditors and debtors alike in cases where the parties' settlement negotiations include an agreement requiring a creditor to support the debtor's Chapter 11 plan.

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