Rochelle's Daily Wire

The decision by the Supreme Court next term in Bartenwerfer will tell us whether debts can be automatically nondischargeable, even when the debtor is without fault.

The Second Circuit says that an initial ‘recipient’ isn’t automatically an initial ‘transferee’ liable for an avoidable transfer under Section 550(a)(1).

Over a vigorous dissent, the First Circuit Joins the Ninth Circuit by holding that Section 106(a) waives tribes’ sovereign immunity.

The circuits are split on whether an innocent debtor’s liability is automatically nondischargeable when an agent or partner committed fraud.

The City of Chicago argued unsuccessfully that liens on cars are statutory because they arise automatically when the car is impounded.

Reliance on advice of counsel is not a complete defense to contempt citations.

Had Congress considered the facts that were before Bankruptcy Judge Elizabeth Brown, it surely would have written the statute differently, this writer believes.

The Eleventh Circuit explained how prudential (or ‘person aggrieved’) standing is a higher standard more difficult to meet than constitutional (or ‘Article III’) standing.

If a proceeding is sub judice when the defendant files bankruptcy, the plaintiff should figure out whether a decision after bankruptcy would violate the automatic stay.

Due process considerations mean it’s not harmless error if a debtor was denied standing improperly.