Creditors' Sidebar
Bankruptcy, Insolvency and Creditors’ Rights
“THE WORLD WILL NOT END IN FIRE, OR ICE, BUT IN A BANKRUPTCY COURT” – WELLNESS INTERNATIONAL NETWORK, LTD. v. SHARIF
In a six to three majority decision, the Supreme Court limited the impact of Stern v. Marshall, 564 U.S. 2 (2011) by holding in Wellness International Network, Ltd. v. Sharif, 575 U.S.___(2015) ( decided on...
Statute of Frauds Prevents Borrower From Modifying Modification Agreement Orally
In Parker v. Kentucky Housing Corporation, the Kentucky Court of Appeals affirmed an order of sale in a foreclosure action. Mrs. Parker first defaulted on her obligations in 2001 and again in 2004. Kentucky Housing...
Indiana Bankruptcy Court Sanctions Creditors For Being Bad at Math
Adding to the apparent deluge of issues surrounding the Eleventh's Circuit decision in Crawford v. LVNV Funding, LLC, the Bankruptcy Court for the Northern District of Indiana has sanctioned two creditors for not being able...
I DECLARE RESCISSION!!
Justice Scalia, writing for a unanimous Court, concluded that to effect rescission under the Truth in Lending Act a debtor need only notify the creditor, in accordance with the CFPB's regulations of his intention to...
It’s Not Purdy, But It’s Not A Per Se Security Agreement
In Sunshine Heifers, LLC v. Citizens First Bank (In re Purdy), 763 F.3d 513 (6th Cir. 2014), a divided Sixth Circuit reversed the bankruptcy court's finding that cattle leases were disguised security interests. Over the...
ABI Chapter 11 Reform Report Part I: Ten Early-Case Changes
On December 8, the American Bankruptcy Institute's Chapter 11 Reform Commission released its report, which was the product of a three-year comprehensive study of issues and trends in Chapter 11 as well as recommendations on...
BankBankruptcy: House Passes Financial Institution Bankruptcy Act
Yesterday, the House of Representatives passed H.R. 5421, the "Financial Institution Bankruptcy Act of 2014" or "FIBA." FIBA would amend the Bankruptcy Code (and certain sections of title 28) to create a Subchapter V to...
SCOTUS to Settle Chapter 7 Lien-Stripping Circuit Split
On November 17, the Supreme Court granted certiorari in the consolidated cases of Bank of America v. Caulkett (Dkt. 13-1421) and Bank of America v. Toledo-Cardona (Dkt. 14-163). At issue in these appeals is whether...