A hedge fund sued an investment bank for tortious interference based on its exclusion from participation in exit financing for a debtor. The bankruptcy court granted the investment banker’s motion to dismiss for failure to state a claim, and the hedge fund appealed.
The bankruptcy trustee of a property management company sought to recover money paid to a power company prior to bankruptcy as an avoidable preference. The Fifth Circuit agreed with both the bankruptcy court and the district court that the payments were settlement payments under a forward contract exempt from avoidance.
Crews v. TD Bank, N.A. (In re Crews), 477 B.R. 835 (Bankr. M.D.Fla. 2012) –
A mortgaged building was destroyed by fire prior to the mortgagor’s bankruptcy filing. In an earlier opinion the bankruptcy court held in that the mortgagee had an equitable lien on the fire insurance proceeds of $350,000. This opinion addresses the debtors’ attempt to avoid the equitable lien using their “strong arm” powers.
In re Grubb & Ellis Co., 478 B.R. 622 (Bankr. S.D.N.Y. 2012) –
Real estate agents who worked for Grubb & Ellis Co. prior to its bankruptcy sought allowance of their claims for commissions as an administrative expense. Grubb & Ellis addresses the question of whether a commission due for a sale that closes post-petition where the buyer was procured prepetition is entitled to treatment as an administrative expense.