Seventh Circuit: Transfers of Nonpublic Securities Are Protected by the 546(e) Safe Harbor
The Seventh Circuit adopted a broad reading of the Section 546(e) safe harbor to dismiss a fraudulent transfer suit attacking a sale of nonpublic securities.
Court:
Being a ‘Net Winner’ in a Ponzi Scheme Doesn’t Automatically Mean Nondischargeability
Alleging that a debtor realized an ‘impossibly high’ rate of return in a Ponzi scheme isn’t enough to state a claim of nondischargeability for ‘actual fraud.’
BAP Won’t Recharacterize a Loan and Guarantee and Found No Fraudulent Transfer
The debtor’s payment on a personal guarantee was no fraudulent transfer because the debtor had received reasonably equivalent value in the forms of salary and ownership in a business that ended up being worth nothing.
Court:
Former CEO of Jewelry Seller Linked to Bank Scandal Sued to Undo Real Estate Deal
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Benchnotes April 2024
Journal Issue:
Avoidance Actions Are Estate Property that May Be Sold, the Fifth Circuit Says
The Fifth Circuit answered one of the two questions being posed at this year’s Duberstein Moot Court Competition.
Court: