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    Can default interest and late fees be excluded from secured claims? … Maybe, maybe not
    2012-09-06

    In re 785 Partners LLC, 470 B.R. 126 (S.D.N.Y. Bankr. 2012) –

    Filed under:
    USA, New York, Banking, Insolvency & Restructuring, Litigation, Troutman Pepper, Debtor, Interest, Default (finance), Secured creditor
    Location:
    USA
    Firm:
    Troutman Pepper
    How to reclaim something that isn’t there: a creative way around § 546(c)
    2011-07-12

    Back in the mists of time, a seller that had a valid reclamation claim but was denied the return of its goods was entitled to an administrative expense claim (a claim with a higher priority than a general unsecured claim and thus a better chance of getting paid) or a lien on the debtor’s assets. The 2005 amendment to § 546(c) of the Bankruptcy Code changed all that by stripping away those alternative remedies.

    Filed under:
    USA, Nebraska, Insolvency & Restructuring, Litigation, Troutman Pepper, Debtor, Unsecured debt, Interest, Covenant (law), Mortgage loan, Right of first refusal, Title 11 of the US Code, Uniform Commercial Code (USA), United States bankruptcy court
    Location:
    USA
    Firm:
    Troutman Pepper
    United States Bankruptcy Appellate Panel of the Tenth Circuit upholds provision in LLC agreement prohibiting filing of bankruptcy
    2011-01-04

    In nearly every bankruptcy proceeding there is some constituency that ends up having its claim or interest impaired. Not surprisingly, therefore, these same constituencies would like to avoid that outcome by restricting the debtor’s ability to commence bankruptcy in the first place.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Troutman Pepper, Bankruptcy, Debtor, Injunction, Limited liability company, Foreclosure, Condominium, Bad faith, Default (finance), Choice of law, United States bankruptcy court, Bankruptcy Appellate Panel, Tenth Circuit
    Authors:
    Francis J. Lawall , Evelyn J. Meltzer
    Location:
    USA
    Firm:
    Troutman Pepper
    NY Court Blocks Mezzanine Lender’s UCC Foreclosure Sale in Light of COVID-19 Pandemic
    2020-07-07

    On June 23, the New York County Supreme Court issued a rare preliminary injunction temporarily halting a mezzanine lender’s UCC foreclosure sale of the Mark Hotel in New York City because the procedures for the foreclosure sale were not commercially reasonable in light of conditions caused by the COVID-19 pandemic (D2 Mark LLC v. Orei VI Investments LLC, 2020 WL 3432950 (2020)).

    Filed under:
    USA, Corporate Finance/M&A, Insolvency & Restructuring, Litigation, Troutman Pepper, Due diligence, Non-disclosure agreement, Coronavirus
    Authors:
    Deborah J. Enea
    Location:
    USA
    Firm:
    Troutman Pepper
    Stay Relief Orders Denied With Prejudice Immediately Appealable
    2020-02-06

    A critical bankruptcy litigation issue has finally been resolved by the U.S. Supreme Court. Until recently, litigants had been faced with the dilemma of whether to immediately appeal a denial with prejudice of a request for stay relief or wait until the underlying matter had been fully adjudicated. Given the uncertainty, parties remained unsure if they risked losing the ability to challenge the denial of stay relief by a bankruptcy court if they waited to appeal. Now it is clear that they will. In Ritzen Group v. Jackson Masonry, 589 U.S.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Troutman Pepper
    Authors:
    Francis J. Lawall
    Location:
    USA
    Firm:
    Troutman Pepper
    Supreme Court Decides the Appropriate Standard for Determining Whether a Creditor Has Violated the Bankruptcy Code’s Discharge Injunction
    2019-06-07

    It is well settled that the purpose of filing a bankruptcy petition is to “give[] the honest but unfortunate debtor . . . a new opportunity in life and a clear field for future effort, unhampered by the pressure and discouragement of pre-existing debt.” Local Loan Co. v. Hunt, 292 U.S. 234, (1934). A debtor’s discharge in bankruptcy, and the corresponding injunction provisions of the Bankruptcy Code, are the two primary elements that effectuate this financial fresh start.Chapman v. Bituminous Ins. Co. (In re Coho Res., Inc.), 345 F.3d 338, 342 (5th Cir. 2003).

    Filed under:
    USA, Banking, Insolvency & Restructuring, Litigation, Troutman Pepper
    Authors:
    Richard E. Hagerty , David N. Anthony
    Location:
    USA
    Firm:
    Troutman Pepper
    N.D. Ill. Applies “Competent Lawyer” Standard to Dismiss FDCPA Claims Based on Collection Letter Sent to Consumer’s Attorney
    2018-10-26

    The Northern District of Illinois recently held that a collection letter sent to a consumer’s attorney seeking payment on a debt discharged in bankruptcy did not violate the Fair Debt Collection Practices Act based on the “competent lawyer” standard. The case is Grajny v. Credit Control, LLC, No. 18-C-2719, 2018 U.S. Dist. LEXIS 173682, 2018 WL 4905019 (N.D. Ill. Oct. 9, 2018).

    Filed under:
    USA, Illinois, Company & Commercial, Insolvency & Restructuring, Litigation, Troutman Pepper, Bankruptcy discharge, Fair Debt Collection Practices Act 1977 (USA), US District Court for Northern District of Illinois
    Location:
    USA
    Firm:
    Troutman Pepper
    Cannabis Industry FAQ
    2017-07-18

    Can marijuana businesses receive federal copyright protection?

    Yes. The requirements for registration with the U.S. Copyright Office are that the work is original, creative and fixed in some form of expression. These requirements do not prevent a marijuana business from registering its works, such as pamphlets, instructional videos or even artwork.

    Can marijuana businesses receive any patent protection?

    Filed under:
    USA, Banking, Company & Commercial, Copyrights, Healthcare & Life Sciences, Insolvency & Restructuring, Patents, Real Estate, Tax, Trademarks, White Collar Crime, Troutman Pepper, Financial Crimes Enforcement Network (USA)
    Location:
    USA
    Firm:
    Troutman Pepper
    Bailment: retaining funds received from a bankrupt bailee is not a slam dunk
    2015-05-27

    In re Mississippi Valley Livestock, Inc., 745 F.3d 299 (7th Cir. 2014) –

    A debtor sold cattle for the account of a cattle producer and then remitted the proceeds to the producer.  A chapter 7 trustee sought to recover the payments as preferential transfers.  The trustee lost in both the bankruptcy and district courts, and then appealed to the 7th Circuit.

    Filed under:
    USA, Construction, Insolvency & Restructuring, Litigation, Troutman Pepper, Debtor
    Location:
    USA
    Firm:
    Troutman Pepper
    Sale orders: ignore at your peril, even after the bankruptcy case is closed
    2015-02-27

    Bombart v. The Family Center at Sunrise, LLC, 520 B.R. 300 (S.D. Fla. 2014) –

    Filed under:
    USA, Florida, Insolvency & Restructuring, Litigation, Troutman Pepper, Bankruptcy, Debtor, Injunction, United States bankruptcy court
    Location:
    USA
    Firm:
    Troutman Pepper

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