In Kaye v. Blue Bell Creameries (In re BFW Liquidation), 899 F.3d 1178 (11th Cir. 2018), the U.S. Court of Appeals for the Eleventh Circuit found that a liability for an allegedly preferential transfer may be reduced by the amount of new value given, regardless of whether that new value has already been repaid by the debtor before its bankruptcy filing.

This decision is significant to debt collectors and debt buyers who, according to the dissent, “have ‘deluge[d]’ the bankruptcy courts with claims ‘on debts deemed unenforceable under state statutes of limitations.’”

Selvam LLC, the Singapore Law Practice of Duane Morris & Selvam LLP, recently succeeded in securing the dismissal of a suit brought by a liquidator in the High Court of Singapore against a defendant director in Prima Bulkship Pte Ltd (In Creditors’ Voluntary Liquidation) and Another v Lim Say Wan And Another [2016] SGHC 283.

Singapore’s Ministry of Law has unveiled proposed amendments to the Singapore Companies Act to be made in 2017 to strengthen Singapore as an International Centre for Debt Restructuring (“the proposed amendments”). The Ministry of Law released the proposed amendments for public consultation from 21 October 2016 to 2 December 2016.

A Delaware bankruptcy judge recently ruled that information concerning the compensation and performance of “hand-picked” directors of a private equity firm’s portfolio company was discoverable in an action for breach of fiduciary duty against the private equity firm.

Add the Eight Circuit to a growing list of courts that have found that a plan of reorganization which proposes better treatment for creditors who have agreed to purchase any leftover securities in an offering (a “backstop agreement”) done pursuant to that plan does not violate the requirement that each claim within a class of creditors receive the same treatment under 11 U.S.C. § 1123(a)(4). In re: Peabody Energy Corp., --- F.3d --- (Docket No. 18-1302) (8th Cir. August 9, 2019).

The Peabody Plan

At a time when having groceries delivered to your front door is as easy as a couple of taps and swipes on your phone, it is tempting to rely exclusively on the Internet for solutions to all of our problems. However, convenience and adequacy do not always go hand-in-hand, especially when it comes to legal representation. Such is the case with UpRight Law, LLC, a “national consumer bankruptcy law firm.” UpRight relies heavily on non-lawyer “client consultants” who dispense legal advice to clients and help to farm out the cases to local attorneys.

In Mission Product Holdings Inc. v. Old Cold LLC (In re Old Cold LLC), 879 F.3d 376 (1st Cir. 2018), the First Circuit held that a sale in possible violation of the Supreme Court’s Jevic decision does not allow an appellate court to examine the merits of the sale when the sale-approval order otherwise is statutorily moot under section 363(m).

Fourth Circuit Authorizes Partial Dirt for Debt Plan

The Bankruptcy Code requires that secured creditors realize the indubitable equivalent of their claims as a condition to confirmation of a Chapter 11 plan of reorganization. In the case of Bate Land & Timber LLC, the Fourth Circuit addressed indubitable equivalence in the context of a partial dirt for debt plan where the debtor planned to covey several tracks of real property in partial satisfaction of its obligations to its secured creditor and pay the remaining balance owed in cash.

The Bankruptcy Protector

Back in September, the Bankruptcy Protector announced that was introducing a new periodic series: theJevic Files. As promised, we have published intermittent updates identifying cases where Jevic priority skipping issues are raised and adjudicated.

In this post, we attempt to provide a succinct summary of all cases decided post-Jevic.

How Courts Are Applying Jevic