The Big Easy. A city overflowing with art, food, fun, and pride. A place where you can experience the immensity and power of a hurricane (both the rum-based libation and the coastal weather event). And home to one of the most popular travel destinations in the United States—the French Quarter. In this installment of the Weil Bankruptcy Blog, we take you to Bourbon Street and review a decision of the Fifth Circuit Court of Appeals resolving a dispute between two companies regarding (fittingly) the assumption of a lease for a saloon on Bourbon Street.
Do you serve on your condominium’s board as a fun way to meet your neighbors and test out your governance skills? What seems like a low-commitment diversion can balloon into a stressful time suck – or worse. You may be held personally liable for breaching fiduciary duties to your condo. And if you fall into really bad luck and end up in bankruptcy, you may not even be able to discharge debts for such liability, as a recent Fifth Circuit decision reminds us.
In Providence Hall Associates Limited Partnership v. Wells Fargo Bank, N.A., the Fourth Circuit denied plaintiff’s attempt to receive a second bite at the apple, finding that plaintiff’s lawsuit was appropriately dismissed by the district court on res judicata grounds.
In this day and age, there’s not much appetite for the artificial (whether it be artificial sweetener or feigned affection). We want our food, relationships, and clothing to be authentic and legitimate. Unfortunately, as demonstrated by a recent decision from the Sixth Circuit Court of Appeals, artificiality still manages to creep into certain chapter 11 plans and courtrooms in the form of “artificial impairment.” Artificial impairment refers to a scenario whereby a debtor, which may otherwise be capable of satisfying a class of claims in full, proposes to impair the claim
Rare is the decision finding that bid rigging occurred. Recently, though, the United States Bankruptcy Court for the District of Connecticut uncovered a bid rigging scheme in connection with the sale of property in a Canadian arrangement proceeding. In re Sagecrest II LLC, et al., Case No. 08-50754 (Bankr. D. Conn. Dec.
Technical Knock Out (“TKO”): a boxing term used to describe a situation where one boxer is deemed the winner after knocking the other down three times. In this case, a TKO can also be used to describe a recent ruling by the United States District Court for the District of New Mexico.
Section 109(a) of the Bankruptcy Code requires debtors to either reside or have a domicile, place of business, or property in the United States. A split of authority exists whether a foreign debtor seeking recognition of its foreign proceeding under chapter 15 of the Bankruptcy Code must satisfy these requirements.&nb
“[T]he automatic stay is automatic as applied to a debtor because that is what the statute says.
As to non-debtors, it is relief that is available, but it is not automatic.”
– Judge Brian M. Cogan (E.D.N.Y.), August 20, 2015
Providing notice to creditors of actions that could affect their interests is one of a debtor’s most important responsibilities. Absent proper notice, relief requested by a debtor that may be warranted could nonetheless be denied. Indeed, the Federal Rules of Bankruptcy Procedure set out pages and pages of rules regarding the time periods, form, and content of notices that a debtor, among others, must follow. As the United States Bankruptcy Court for the District of Colorado recently reminded us in the
“Startin’ to feel like there’s nothin’ left to talk about but the, money, money
Bill collectors keep comin’ . . . to get money, money”
-Curtis James Jackson, III – “Money”