» Business Bankruptcy

A lawsuit filed against a debtor after the bankruptcy petition is void. In Shoppingtown Mall, the court denied retroactive stay relief after the plaintiffs had constructive notice of the filing. Read More

A receiver must turn over estate property when the owner files chapter 11 unless the secured creditor proves creditors are better served by the receiver. A recent Western District of Louisiana decision shows how courts weigh that question. Read More

A recent Eastern District of New York decision approved a chapter 11 sale of a medical practice to the principal's son over an objection. The case shows how an independent fiduciary and robust marketing process survived heightened scrutiny. Read More

In In re A CAB, the Ninth Circuit BAP confirmed no per se rule bars Subchapter V debtors from deducting pass-through taxes when calculating projected disposable income. Guidance for debtors and creditors. Read More

Rejection of a lease by a debtor-landlord is a breach, not a termination. Section 365(h) lets tenants stay in possession and offset rent, but requires a prompt election—and in some circuits a free-and-clear sale can still cut off those rights. Read More

A transfer from an LLC account—even a single-member LLC—is not an interest of the debtor in property under section 544(b). Key takeaways from In re Samy for trustees and LLC members. Read More

Pre-petition payments under a later-assumed contract cannot be avoided as preferences. A new Iowa decision shows how this defense can defeat a trustee’s claim on a motion to dismiss. Read More

When a general partner files bankruptcy, its non-debtor partners often assume that state law or the partnership agreement removes the general partner automatically and immediately. Partnership statutes call this removal event “dissociation,R… Read More