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    Supreme Court Resolves Circuit Split on the Dischargeability of Debts Obtained by Oral Misrepresentations
    2018-06-14

    On June 4, the Supreme Court decided Lamar, Archer & Cofrin, LLP v. Appling, No. 16-1215, in a unanimous opinion by Justice Sotomayor. The Court affirmed the Eleventh Circuit and resolved a circuit split about the meaning of “statement respecting the debtor’s . . . financial condition” in section 523(a)(2) of the Bankruptcy Code.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP, Eleventh Circuit
    Authors:
    Jonah Wacholder , Daniel A. Lowenthal
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Second Department Finds Commercial Tenants Can Waive Their Right to a Yellowstone Injunction
    2018-03-06

    On January 31, 2018, the Appellate Division, Second Department affirmed,[1] in a 3-1 decision, the Kings County Supreme Court Commercial Division’s decision, denying 159 MP Corp. and 240 Bedford Ave Realty Holding Corp.’s (collectively the “Tenants”) motion for a Yellowstone injunction.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Real Estate, Patterson Belknap Webb & Tyler LLP
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Venezuelan Debt Crisis: Serious Financial Problems Plague the South American Country
    2017-11-16

    Perhaps this is one of the first articles you’re reading about the debt crisis in Venezuela. It won’t be the last. The situation there is bad and will get worse.

    Filed under:
    USA, Venezuela, Banking, Energy & Natural Resources, Insolvency & Restructuring, Trade & Customs, Patterson Belknap Webb & Tyler LLP, Debt
    Authors:
    Daniel A. Lowenthal
    Location:
    USA, Venezuela
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Commercial Division Declines to Use New York Debtor and Creditor Law to Enjoin a Defendant’s Asset Sale Without Evidence of Inadequate Consideration
    2017-07-31

    In Del Forte USA, Inc. v. Blue Beverage Group, Inc. et al., No. 518454/2016, 2017 BL 253248 (Sup. Ct. Jul. 17, 2017), New York Commercial Division Justice Sylvia G. Ash denied plaintiff Del Forte’s preliminary injunction motion that sought, pursuant to N.Y.

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP
    Authors:
    Muhammad U. Faridi
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    One Bankruptcy Court’s Analysis of a Motion to Dismiss Avoidance Claims: The Analytical Framework
    2021-11-11

    A federal judge recently allowed a trustee’s preferential transfer claim against a law firm to proceed but dismissed a constructivefraudulent transfer claim. The decision highlights the pleading standards and analytical framework for motions to dismiss such claims. Insys Liquidation Trust v. Urquhart(In re Insys Therapeutics Inc.), Case No. 19-11292, Adv. No. 21-50359, 21 Bankr.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP
    Authors:
    Daniel A. Lowenthal
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Bankruptcy Court Dismisses NRA’s Ch. 11 Petition
    2021-05-21

    United States Bankruptcy Judge Harlin Hale recently dismissed the National Rifle Association’s Chapter 11 petition as not filed in good faith. The decision leaves the 150-year-old gun-rights organization susceptible to the New York Attorney General’s suit seeking to dissolve it.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP
    Authors:
    Maxwell K. Weiss , Daniel A. Lowenthal
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Update: Supreme Court Resolves Circuit Split Regarding Pre-Bankruptcy Seizure
    2021-01-20

    In 2019, we began following a Circuit split regarding a secured creditor’s obligation to return collateral that it lawfully repossessed pre-petition after receiving notice of a debtor’s bankruptcy filing.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP
    Authors:
    Brian P. Guiney
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Computing Time for a Filing Deadline: Should You Count a Day When a Clerk’s Office is Closed?
    2020-09-14

    This post concerns computation of time under Bankruptcy Rule 9006. The specific issue addressed is whether a bankruptcy court — when computing a filing deadline — should count a day when its clerk’s office is closed, even if the electronic filing system is available. In a recent case, a federal district judge explained why in his view the day shouldn’t be counted. Labbadia v. Martin (In re Martin), No. 3:20-cv-939, 2020 WL 5300932, (SRU) (D. Conn. Sept. 4, 2020).

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP
    Authors:
    Daniel A. Lowenthal
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    Clarity Of Drafting And Reliance On A Spouse For Bankruptcy Protection - A Cautionary Tale
    2020-03-06

    The importance of clarity in drafting agreements can never be understated. And while there are strategies available to spouses of business owners to help protect a family in bankruptcy, it is imperative to properly plan and draft to receive such protection from the Courts. In re Somerset Regional Water Resources, LLC, _____________ F.3d ________________ (3rd Cir. 2020) (“Somerset”), recently decided by the Third Circuit Court of Appeals, offers a prime example of both cautionary concepts.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Tax, Patterson Belknap Webb & Tyler LLP
    Authors:
    Lance Kodish , Brian P. Guiney
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP
    A Bankruptcy Code Chapter 15 Primer: Decision in New York Addresses Key Issues of Jurisdiction, Recognition, Public Policy, and More
    2019-10-15

    Judge Martin Glenn last week issued a decision in two related chapter 15 cases, In re Foreign Econ. Indus. Bank Ltd. “Vneshprombank” Ltd., No. 16-13534, and In re Larisa Markus, No. 19-10096, 2019 Bankr. LEXIS 3203 (Bankr. S.D.N.Y. Oct. 8, 2019). The decision is chock full of case citations and offers a tutorial on chapter 15.

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Patterson Belknap Webb & Tyler LLP, Debtor, Title 11 of the US Code
    Authors:
    Daniel A. Lowenthal
    Location:
    USA
    Firm:
    Patterson Belknap Webb & Tyler LLP

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