Business Reorganization

2nd Circuit May 8, 2019

Disclosing an Asset in the Wrong Place Won’t Invoke Judicial Estoppel, Circuit Says

Second Circuit won’t give a defendant a windfall if the debtor scheduled the lawsuit in the wrong place but told the trustee and the court.
9th Circuit May 2, 2019

Ninth Circuit Uses a Technicality to Keep a ‘Marijuana’ Case Alive

If a ‘marijuana’ case dodges a motion to dismiss, objecting to confirmation is too late, the Ninth Circuit says.
1st Circuit Apr 24, 2019

Equity Can’t Alter the Three Petitioning Creditors Requirement, First Circuit Rules

Even if a debtor has committed fraud, at least three creditors still must join an involuntary petition if the debtor has 12 or more creditors.
Supreme Court Apr 24, 2019

Supreme Court Hears Argument on Good Faith as Defense to Discharge Violation

In Taggart v. Lorenzen, the justices sounded largely noncommittal, except for the Chief Justice, who seemed in the debtor’s camp favoring a stricter standard for contempt of the discharge injunction.

Is a Notice of Removal Filed in Bankruptcy Court Ok? Courts Are Split

Judge in Mississippi remands a suit to state court because the notice of removal was filed with the bankruptcy clerk, not the district court clerk.
6th Circuit Apr 5, 2019

Is the ‘Accrual Test’ for the Existence of a Claim Alive and Well after Grossman’s?

Are there two tests for the existence of a claim, one test for claims against the debtor and another test for claims by the debtor?