Case Notes
September 02, 2015
Analysis of a case in which a 'missing' $20 million is at issue in two lawyers' divorce.
Advanced Payments Denied Priority
September 02, 2015
Advancement claims of executives are not entitled to priority over other claims against an entity in receivership, the Delaware Court of Chancery has ruled in a case of first impression.
<b><i> In Re Fairfield Sentry Limited</i></b>
September 02, 2015
<I>In re Fairfield Sentry Ltd.</I> is the first federal circuit court decision to address the application of Section 363 in a Chapter 15 bankruptcy case. Bankruptcy Code applicable as to matters within the United States. This article provides an in-depth analysis of what this means to bankruptcy practitioners.
Time to Revisit Equitable Mootness
September 02, 2015
Recently, Third Circuit Judge Cheryl Ann Krause urged the court to "consider eliminating, or at the very least reforming equitable mootness." Two recent decisions from the Third and Ninth Circuits confirm why Judge Krause is right.
Limiting Credit Bidding for 'Cause' Under Section 363(k)
August 02, 2015
Recently, the ABI Commission to Study the Reform of Chapter 11 released its 2012-2014 Final Report and Recommendations in which the Commissioners implicitly rejected the contrary reading of "cause" tendered by the Third Circuit in <I>In re Philadelphia Newspapers, LLC</I>, and both cited and seemingly applied, to some degree, in <I>In re Fisker Automotive Holdings, Inc.</I>
Payments to Investors in a Securitization Structure Protected from Avoidance
August 02, 2015
The Bankruptcy Court for the Northern District of Illinois recently held that payments made to investors in the two-tiered securitization structures commonly employed in commercial CMBS transactions are largely protected from fraudulent or preferential transfer claims by the securities contract safe harbor set forth in Bankruptcy Code section 546(e).
Does the 'Best Interests' Test Protect the Tardy?
July 02, 2015
While Chapter 11 is generally known as the reorganization chapter of the Bankruptcy Code, more recently, it has been used as a vehicle to manage the orderly liquidation of business entities through plans of liquidation. Whether such liquidations follow sales of a debtor's assets under ' 363 or monetization of assets of a debtor over time, the liquidating plan often provides for payments to the creditor body that generally follow the priority of distribution set forth in ' 726.