Federal Court Upholds Client’s Arbitration Agreement, Finds It Is Enforceable and Not in Conflict with Bankruptcy Code

In a recent decision, a bankruptcy court in Georgia enforced the arbitration agreement contained in a South Carolina consumer loan, holding that it is valid and enforceable, and that enforcement of it did not create an inherent conflict with the purposes of the Bankruptcy Code. 

Filed under:
USA, Arbitration & ADR, Insolvency & Restructuring, Litigation, Jenner & Block LLP, Debtor, Federal Arbitration Act 1926 (USA)
Authors:
Andrew W. Vail , Landon S. Raiford , Kevin J. Murphy
Location:
USA
Firm:
Jenner & Block LLP
U.S. Supreme Court Bankruptcy Update

The U.S. Supreme Court handed down three bankruptcy rulings to finish the Term ended in July 2024. The decisions address the validity of nonconsensual third-party releases in chapter 11 plans, the standing of insurance companies to object to "insurance neutral" chapter 11 plans, and the remedy for overpayment of administrative fees in chapter 11 cases to the Office of the U.S. Trustee. We discuss each of them below.

U.S. Supreme Court Bars Nonconsensual Third-Party Releases in Chapter 11 Plans

Filed under:
USA, Insolvency & Restructuring, Litigation, Jones Day, Bankruptcy, Internal Revenue Service (USA), Supreme Court of the United States
Authors:
Corinne Ball , Christopher Dipompeo , Gregory M. Gordon , Kevin J. Murphy , Dan B. Prieto
Location:
USA
Firm:
Jones Day