Dishi & Sons v. Bay Condos LLC, 510 B.R. 696 (S.D.N.Y. 2014) –

In approving the sale of a Chapter 11 debtor’s assets, a bankruptcy court found that a tenant of the debtor was entitled to continue in possession of the leased portion of the sold property for the remainder of its lease.  The successful bidder at the sale appealed, arguing that the sale was “free and clear” of the tenant’s interests. 

Super Nova 330 LLC v. Gazes, 693 F.3d 138 (2d Cir. 2012) –

Bandi v. Becnel (In re Bandi), 683 F.3d 671 (5th Cir. 2012)

Rhiel v. Central Mortgage Co. (In re Kebe), 469 B.R . 778 (Bankr. S.D. Ohio 2012) –

Reprinted with permission from the May 6, 2011 issue of The Legal Intelligencer © 2010 ALM Media Properties, LLC. Further duplication without permission is prohibited. All rights reserved.

Over the last 12 months there has been a substantial increase in the number of preference recovery actions filed. The irony created by the current economic environment is that many such defendants are themselves financially distressed and unable to fully satisfy any judgment that might be rendered against them.