Archives for November 2022

5th Circuit Court’s Interpretation Continues to Moot 363 Appeals

Admin on November 25, 2022 Posted in Bankruptcy Law, Blog

Recent decisions from the United States Court of Appeals for the Fifth Circuit and the corresponding lower bankruptcy courts have highlighted the Circuit’s expansive interpretation of the Bankruptcy Code’s Section 363(m), which guards bankruptcy sales. Hence, the sales are not subsequently overturned on appeal.  In a September opinion in the case of In re Royal, the District […]

Growing Split Among Circuit Courts About Exculpation Under Chapter 11

Admin on November 18, 2022 Posted in Bankruptcy Law, Blog

Countless Chapter 11 reorganization plans include provisions acknowledging the release of claims connected to stakeholders in bankruptcy cases. Excluded from this, however, are claims that allege various types of misconduct like bad faith, gross negligence, or fraud. These exculpatory statements are a valuable tool in motivating parties to play a role in bankruptcy cases without […]

Fifth Circuit Issues “Solvent-Debtor Exemption” Ruling

Admin on November 11, 2022 Posted in Bankruptcy Law, Blog

Bankruptcy courts throughout the country are in disagreement about whether “make-whole” premiums that become effective as a result of a bankruptcy petition should be refused as interest that is unmatured. Additionally, bankruptcy courts are in disagreement about whether the exception for “solvent-debtors” that requires the payment of interest after bankruptcy petition to unimpaired unsecured creditors survives following […]