The recent Amendment on the Czech Insolvency Act (the “Amendment”) enters into force on 1 July 2017.
The Amendment states that a creditor is entitled to be satisfied from its security even when its contingent or future claim (such as bank guarantee) becomes actual after the start of the security provider’s insolvency.
(Bankr. S.D. Ind. April 24, 2017)
(W.D. Ky. April 25, 2017)
The new Amendment on the Czech Insolvency Act (the “Amendment”) will enter into force on 1 July 2017.
The Amendment introduces a “liquidity gap” test, which will be used when a debtor (entrepreneur) needs to determine whether it is considered insolvent or not. The liquidity gap is the difference between a debtor’s due debts and its readily available funds. A debtor will only be considered insolvent if the liquidity gap is higher than 10% of its overdue debts.
(6th Cir. B.A.P. April 17, 2017)
(6th Cir. B.A.P. April 17, 2017)
The Sixth Circuit B.A.P reverses the bankruptcy court’s order granting the U.S. Trustee a second extension of the deadline to file a nondischargeability complaint and reverses the subsequent judgment denying the debtor a Chapter 7 discharge. The court finds that the U.S. Trustee failed to establish sufficient cause for an additional extension under Bankruptcy Rule 4004(b). Opinion below.
Judge: Harrison
Attorneys for U.S. Trustee: Amy L. Good, Scott Robert Belhorn, Sharon Nollsch
Attorney for Debtor: Lee Raymond Kravitz
Issue 6 | April 2017 Disputes Digest 2 | Disputes Digest Corporate counsel’s guide to the key cases of 2016 (litigation) Corporate counsel’s guide to the key cases of 2016 (arbitration) Singapore targets effi ciency in investment arbitration proceedings Does the MasterCard class action mark the dawn of a new era in UK litigation?
(Bankr. S.D. Ind. Apr. 14, 2017)
The court grants the debtor’s motion for a hardship discharge under 11 U.S.C. § 1328(b)(1). The debtor had made 44 plan payments but was unable to make the 16 remaining payments. The court finds the recent change in the debtor’s economic circumstances warranted the relief requested. Opinion below.
Judge: Carr
Attorney for Debtor: Steven P. Taylor
(Bankr. W.D. Ky. Apr. 11, 2017)
(Bankr. S.D. Ind. Apr. 13, 2017)
Following trial, the bankruptcy court enters judgment against the debtor, finding the loan debt owed to the bank is nondischargeable under 11 U.S.C. § 523(a)(2)(B). The court finds that the debtor made false representations with respect to his ownership interest in real property and the existence of a debt owed, which representations were reasonably relied upon by the bank when making the loan. Opinion below.
Judge: Carr
Attorneys for Plaintiff: Riley Bennett & Egloff, LLP, Anthony R. Jost
Attorney for Defendant: KC Cohen