Earlier this week, the U.S. Court of Appeals for the Second Circuit revived 88 fraudulent transfer cases that were consolidated on appeal. In those actions, the trustee for the Liquidation of Bernard L. Madoff Investment Securities LLC sought to recover billions of dollars in funds transferred out of the U.S. to foreign investors, called feeder
Alert: Liquidation Trustee Awarded $17 Million Against Former CEO and Others
In a suit by the trustee of the liquidation trust of Green Field Energy Services, a defunct oil services business, against the debtor’s former CEO and others, the U.S. Bankruptcy Court for the District of Delaware found that the trustee can recover almost $17 million. See Halperin v. Moreno, et al. (In re Green Field
Trustee of Duane Martin and Tisha Martin Campbell’s Chapter 7 Case Brings Suit to Recover Property subject to Loan from Will & Jada Pinkett Smith’s Company
In entertainment and bankruptcy news, the chapter 7 trustee for the bankruptcy filed by former celebrity couple Duane Daniel Martin and Tisha Martin Campbell (the “Debtors”), brought suit against Roxe, LLC (“Roxe”) and others claiming that Roxe was formed by Martin and his brother (also a defendant to this suit) to conceal Martin’s ownership of
Bankruptcy Court Grants Motion To Dismiss Based Upon Affirmative Defense
Michael Temin writes:
When deciding a motion to dismiss a complaint pursuant to Federal R. Bankr. 7008, which incorporates Rule 12(b)(6), a court must accept all factual allegations in the complaint as true and construe all inferences from those allegations in favor of a plaintiff. It was, therefore, unusual when a Michigan bankruptcy court dismissed
Ninth Circuit Clarifies Point Center Decision — To Preserve Right to Appeal, there Must be Evidence in the Bankruptcy Record That Appellant was Appearing, Objecting or Represented
An opinion issued yesterday by the U.S. Court of Appeals for the Ninth Circuit reiterates the importance of filing written objections and appearing in the Bankruptcy Court to preserve rights to appeal. The opinion clarifies the Ninth Circuit’s recent opinion on this issue, which we covered in a recent blog post. In Reid and
For Fraudulent Transfer Statute of Limitations, Transfer of Real Property Occurred upon Recording of Deed, not Execution
A recently issued opinion by the U. S Bankruptcy Court for the District of New Mexico provides some guidance on the relevant date for the transfer of real property for purposes of the statute of limitations applicable to fraudulent transfer claims.
In Gonzales v. Sexton (In re Esquibel), Adv. No. 17-1042-j (Bankr. D.N.M. July
Hawaii Bankruptcy Appeal Serves as a Reminder on Preferential Transfers
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.
Ninth Circuit Finds Filing an Objection and Attending Hearing Not Prerequisites for Standing To Appeal a Bankruptcy Court Order
Yesterday a panel of the U.S. Court of Appeals for the Ninth Circuit issued an opinion reversing a district court order dismissing an appeal from the bankruptcy court for lack of standing. See Harkey v. Grobstein (In re Point Center Financial, Inc.), Bankr. No. 16-56321, D.C. No. 8:16-cv-1336-DSF (May 29, 2018, 9th Cir.).
The
PA Court Finds Funds Returned to Debtor After an Actual Fraudulent Transfer Not Recoverable
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