Court Holds Subtenant Rent Payments Not Part of Farmer Jack Bankruptcy Estate
The Michigan Court of Appeals recently addressed the bankruptcy estate of Borman’s, the company connected with the now defunct Farmer Jack grocery store chain. In Ashley Livonia A&P v. The Great Atlantic & Pacific Tea Co., et al. (Case No....
Trump Trumps Trump
The United States Bankruptcy Court for the District of Delaware recently held that the Trademark License Agreement between Trump AC Casino Marks, LLC (“Trump AC”) and Trump Entertainment Resorts, Inc. and certain of its affiliates (“Trump...
Sixth Circuit Holds that Law v. Siegel Limits Bankruptcy Court Authority to Disallow Exemptions
In Ellmann v. Baker (In re Baker), 2015 U.S. App. LEXIS 11437 (6th Cir. 2015), the Sixth Circuit Court of Appeals held that Law v. Siegel, 134 S. Ct. 1188 (2014), limits a bankruptcy court’s power to disallow claimed exemptions. The debtors had...
U.S. Supreme Court Overrules Debtors’ Ability to Void Underwater Junior Mortgages
In Bank of America, N.A. v. Caulkett, 575 U.S. __ (2015), the United States Supreme Court overruled the longstanding ability of a debtor to void a junior mortgage under 11 U.S.C. § 506(d) when the debt owed on a senior mortgage exceeds the value of...
U.S. Supreme Court Holds Bankruptcy Lawyers Not Entitled to Compensation for Defending Fees
In Baker Botts v. Asarco, 576 U.S. __ (2015), the United States Supreme Court held that Section 330(a)(1) of the Bankruptcy Code does not permit a bankruptcy court to award attorney’s fees for work performed in defending a fee application in...
"Convoluted" UCC Financing Statement Collateral Description Not "Seriously Misleading"
The United States Bankruptcy Court for the Western District of New York recently held that a collateral description in a UCC financing statement was not "seriously misleading," even though it was "needlessly convoluted." In Ring...
District Court Reviewing Bankruptcy Court’s Proposed Findings of Fact and Conclusions of Law Need Not Accept Additional Evidence
In an unpublished opinion, the Sixth Circuit Court of Appeals held in Waldman v. Stone that a district court is not required to receive additional evidence when reviewing a bankruptcy court’s proposed findings of fact and conclusions of law....
Business Social Media Accounts Are Property of the Bankruptcy Estate
A bankruptcy court recently held that a business’s Facebook and Twitter accounts were property of the estate. In In re CTLI, LLC, Case No. 14-33564 (S.D. Texas April 3, 2015), a former owner of a Chapter 11 corporate debtor refused to relinquish...
Seventh Circuit Holds Free Exercise of Religion Is Not a Shield against Avoidance Actions
The Seventh Circuit Court of Appeals held that the First Amendment and the Religious Freedom Restoration Act (RFRA) do not protect religious organizations from avoidance actions brought by unsecured creditors’ committees. Listecki v. Official...
