The collapse of Passaredo Linhas Aéreas (currently known as "VOEPASS") in the beginning of 2025 has exposed  a weakness, at the trial court level, in Brazil's legal framework for international aviation finance, revealing violations of both the Cape Town Convention and its Aircraft Protocol (together, the “CTC”) and the domestic bankruptcy law. VOEPASS is a regional airline that operated with ten leased ATRs aircraft in early 2025.

Introduction

In a comprehensive report issued last week, the American Bankruptcy Institute Commission on Consumer Bankruptcy proposed recommendations that would allow student loans to be easier to discharge in bankruptcy, citing the staggering $1.5 trillion in student loan debt held in the United States and the current difficulties with discharging this type of debt in bankruptcy.

Introduction

Introduction