Fifth Circuit Receivership Opinion Raises Questions About the Automatic Stay
Fifth Circuit says that the court must have obtained personal jurisdiction over a third party in a receivership to enforce an injunction. Is the same true for the automatic stay and the discharge injunction in bankruptcy? Is there no injunction before there’s personal jurisdiction?
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Fifth Circuit Tells Us What Ritzen and Travelers Mean and Don’t Mean
To revisit denial of a lift-stay motion, the prior order denying modification of the stay isn’t required to say ‘without prejudice.’
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Enjoining a Prepetition Policy Doesn’t Violate the Automatic Stay, Fifth Circuit Says
Seeking attorneys’ fees from the debtor for a postpetition civil rights violation does not by itself make a postpetition lawsuit subject to the automatic stay.
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First Nixing $240,000 for Contempt, Fifth Circuit Approves $450,000 for Civil Contempt
Having previously set aside a $240,000 sanction as criminal contempt, the Fifth Circuit affirmed $450,000 in civil contempt against the same contemnor in the same bankruptcy case.
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Payments Made with Insurance Nevertheless Were Preferences, District Judge Says
Payments from insurance must be properly structured to avoid preference liability.
Three Years Is the ‘Default’ Duration for a Subchapter V Plan, Judge Robinson Says
The Code doesn’t contain any rules specifying when a Subchapter V plan should have a five-year duration rather than three years.
Sub V Trustee Lacks Standing to Pursue an Adversary Proceeding for the Debtor
Bankruptcy Judge Eduardo Rodriguez of Houston opined on the limited powers of a Subchapter V trustee.
Amending a Claim After Confirmation Requires ‘Compelling Circumstances’
The Fifth Circuit joins two other circuits in requiring ‘more’ to amend a proof of claim after confirmation of a chapter 11 plan.
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Fifth Circuit Draws ‘Person Aggrieved’ into Question for Appellate Standing
The Bankruptcy Code dropped ‘person aggrieved’ as the standard for appellate standing. Did it survive nonetheless?
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Sub V Plan Doesn’t Require Automatic Increases Based on Actual Disposable Income
Bankruptcy Judge Christopher Bradley disagreed with a district court in Florida that required a ‘true up’ if actual disposable income in Sub V exceeds projected disposable income.