In an appeal from the U.S. Bankruptcy Court for the District of Hawaii, the U.S. District Court for the District of Hawaii determined when the date of the transfer occurred for the purposes of a preferential transfer asserted by a trustee pursuant to 11 U.S.C. §547. See Coulson v. Kane (In re Price), Civ.
Avoidance
PA Court Finds Funds Returned to Debtor After an Actual Fraudulent Transfer Not Recoverable
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Recently, the U.S. Bankruptcy Court for the Eastern District of Pennsylvania clarified that funds returned to the debtor are not recoverable as intentional fraudulent transfers. See Holber v. Nikparvar (In re Incare, LLC), Adv. No. 14-0248 (Bankr. E.D.Pa. May 7, 2018).
The Debtor, Incare, LLC, was a medical care provider that provided services to…
The Safe Harbor Provision of the Bankruptcy Code Redefined
The United States Supreme Court recently issued a ruling in which it held that the Bankruptcy Code’s safe harbor provision § 546(e) does not prevent a trustee from clawing back transfers involving securities and financial institutions in circumstances when such institutions serve as mere pass-through entities for the transfer. The decision, Merit Management Group, LP …
Trustee Retains Right to Jury in Fraudulent Transfer Actions Even If Waived by Debtor Before Bankruptcy
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The Bankruptcy Court for the Southern District of Florida recently held that a chapter 7 trustee is not bound by a debtor’s pre-bankruptcy waiver of its jury rights for fraudulent transfer claims brought by the trustee under Section 548 of the Bankruptcy Code. In Bakst v. Bank Leumi, USA (In re DIT, Inc.), 575…