By Scott Riddle Posted in Miscellaneous Cases,News and CommentsIt is expensive to stay in Bankruptcy. Last month a Brown Rudnick lawyer tried to increase his hourly rate from $1,000 per hour to $1,500 per hour. Chief Judge Laurie Selber Silverstein in Delaware rejected the increase, “saying that no client would approve such a steep fee hike in the middle of a case.” See… Continue Reading
By Scott Riddle Posted in Miscellaneous Cases,Northern District CasesAn entire blog could be devoted to the intersection of Bankruptcy and divorce, but for this post we will look at what happens when a divorce decree (or final settlement agreement) requires that one of the spouses transfer his or her interest in real property to the other spouse, but before the actual transfer is… Continue Reading
By Scott Riddle Posted in Corporate & Fiduciary Litigation,Miscellaneous CasesIn Jay Alix, as assignee of AlixPartners, LLP v. McKinsey & Co., Inc., 2022 WL 163800 (2nd Cir., January 19, 2022) (click here for .pdf), two major competitors in the niche market of Bankruptcy advising to estates with a billion dollars or more of assets were in court against each other over lucrative consulting assignments.… Continue Reading
By Scott Riddle Posted in Consumer Bankruptcy Guide,Miscellaneous CasesIn In re Tingling, __ F3d __, 2021 WL 922448 (2nd Cir. March 11, 2021) (click for .pdf), the Debtor filed an adversary proceeding seeking discharge of her student loans. The Bankruptcy Court determined that the debtor failed to meet the Brunner Test, and the District Court affirmed. The Debtor appealed to the Second Circuit,… Continue Reading
By Scott Riddle Posted in Miscellaneous CasesOur neighbors to the north recently had a key, debtor-friendly, decision in a Chapter 7 case regarding what expenses may be used in the means test calculations. In In re Jackson, 2017 WL 59011, Ch. 7 No. 16-1358 (4th Cir., January 5, 2017) the debtors had used the entire amount allowed by the “National and… Continue Reading
By Scott Riddle Posted in Miscellaneous CasesQuite obviously, both immigration and the status of “undocumented” or “illegal” aliens currently in the United States is a hot topic now, and surely will be for a long time. One issue that shows up in Bankruptcy Courts, albeit rarely, is whether non-citizens, whatever their official status, have access to Bankruptcy Courts in the United… Continue Reading
By Scott Riddle Posted in Miscellaneous CasesFrom our neighbors to the west in Alabama, the issue before the Court in In re Atchison, 557 B.R. 818 (Bankr. M.D. Ala. 2016) was whether a debtor can modify the secured claim of a lender where the security is a manufactured home that serves as the debtor’s residence. Section 1322(b)(2) provides: “the plan may… Continue Reading
By Scott Riddle Posted in Miscellaneous Cases,News and CommentsNo, you have not accidentally stumbled upon the Georgia Criminal Law Blog, and I am not going to change my practice area just yet (though on the slow days I often think about it). I happen to come across this case today and thought it may be of interest, especially with the news we see… Continue Reading
By Scott Riddle Posted in Miscellaneous CasesOne hard and fast rule in Bankruptcy is that debts and claims are “set in stone” as of the petition date, or perhaps post-petition if added to the Chapter 13 plan. Bankruptcy Courts and Trustees do not normally police potential debts that may come up later. There are some exceptions to the general rule, and… Continue Reading
By Scott Riddle Posted in Miscellaneous Cases This opinion just seems a little crazy on the surface. The short version of the facts — The debtors paid for their daughter’s college education to the tune of almost $65,000, and the Trustee filed suit against the school, Sacred Heart University, to recover that amount as a fraudulent conveyance under §548 and the Mass.… Continue Reading
By Scott Riddle Posted in Consumer Bankruptcy Guide,Georgia State Cases,Miscellaneous CasesDid the Georgia Supreme Court effectively repeal the foreclosure confirmation statute by affirming the rights of lenders to include waivers in their standard loan documents for both borrowers and guarantors? That appears to be the case. In PNC Bank, NA v. Smith, No. S15Q1445, 2016 WL 690406 (GA 2016) (download .pdf), the U.S. District Court… Continue Reading
By Scott Riddle Posted in Corporate & Fiduciary Litigation,Miscellaneous Cases,News and CommentsBitcoin – currency, the equivalent of U.S. dollars, or a commodity more similar to a product or stock? (What is Bitcoin?). If a Trustee sues to avoid and recover a transfer of Bitcoin, is the claim amount for the value of the transfer at the time of the transfer, or increased (or decreased) value at… Continue Reading
By Scott Riddle Posted in Miscellaneous Cases,News and Comments“Believe it or not, the US Marshals Service in Houston is arresting people for not paying their outstanding federal student loans.” So says Fox 26 Houston reporter Isiah Carey. The problem is, this statement is absolutely false. Paul Aker owed student loans, and was apparently in default. Paul Aker was sued for the student loan… Continue Reading
By Scott Riddle Posted in Eleventh Circuit Cases,Miscellaneous CasesIn the last couple of years, claims against creditors for alleged violations of the Fair Debt Collection Practices Act (FDCPA) have become a hot item in Bankruptcy Courts. One such question is whether the filing of a proof of claim for a stale debt (i.e., one that has become unenforceable pursuant to the applicable statute… Continue Reading
By Posted in Georgia State Cases,Miscellaneous Cases,News and CommentsIn a case of first impression, the Georgia Court of Appeals has held that a foreclosure notice must identify both the secured lender and the "individual or entity who shall have full authority to negotiate, amend, and modify all terms of the mortgage with the debtor." Reese v. Provident Funding Associates, LLP, 2012 Ga. App. LEXIS… Continue Reading
By Posted in Miscellaneous CasesRitz Camera & Image, LLC, and Ritz Interactive, LLC filed Chapter 11 Petitions in Delaware today. The Ritz Camera case is Case No. 12-11868 (click here for Chapter 11 petition). The debtors have filed a Motion for Joint Administration under the Ritz Camera case number. Ritz operates several retail stores in Georgia under the Wolf… Continue Reading
By Posted in Corporate & Fiduciary Litigation,Miscellaneous Cases,News and Comments,Small Business BankruptcyThe Seventh Circuit Court of Appeals has issued the first published Circuit Court opinion on the question of whether trademarks are assignable in a Bankruptcy case. The opinion, authored by Judge Posner, is in the case of In re XMH Corp., Nos. 10-2596, 10-2597, 10-2598, 10-2599, 2011 U.S. App. LEXIS 15372 (7th Cir. July 26, 2011) (click… Continue Reading