ATexasBankruptcyLawyersBlog

Supreme Court Rules Debtor Entitled to Funds Remaining Upon Conversion of Chapter 13 Case

05/19/15
Acknowledging that the statutory language "does not say expressly" what should happen, the Supreme Court nevertheless ruled that undistributed funds held by the Chapter 13 trustee should be returned to the debtor following a conversion.   The Court described its result as "the most sensible reading of what Congress did provide."   Justice Ginsberg wrote the opinion for an unanimous Court.   Harris v. Viegelahn, No. 14-400 (5/18/15).
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Supreme Court Says Denial of Confirmation Not Automatically Appealable

05/07/15
In a surprisingly casual opinion, the Supreme Court, led by Chief Justice Roberts, has ruled that denial of confirmation of a chapter 13 plan does not give rise to a final order which can be appealed as a matter of right.    Bullard v. Blue Hills Bank, No.
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Fifth Circuit Report: March 2015

04/14/15
The big decision out of the Fifth Circuit this month was a Ponzi scheme case against The Golf Channel.
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Fifth Circuit Reverses Pro-Snax

04/10/15
In a unanimous decision, the en banc Fifth Circuit Court of Appeals walked back a prior precedent which mandated an identifiable, tangible and material benefit before professionals employed in bankruptcy cases could be compensated.   No. 13-50075, Barron & Newburger, P.C. v. Texas Skyline, et al (5th Cir. 4/9/15).    You can read the opinion here.
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As Oil Prices Fall, Oil & Gas Bankruptcies Rise

03/11/15
While a new report from the Administrative Office of the U.S. Courts shows a 46% decline in chapter 11 filings from 2010 to 2014, there appears to be an uptick in energy related filings, especially by Texas-based companies.
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Fifth Circuit Report: February 2015

03/09/15

February's bankruptcy opinions revolve around the common theme of not doing things right.   There is the case of an attorney who didn't pay a sanctions order and incurred more liability, an assignee from a bankruptcy debtor who wasn't in existence at the time and a buyer who didn't read his title commitment.    They did not find any satisfaction at the Court of Appeals.

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Energy Resources Remains Viable for Allocation of Tax Payments

02/27/15
Twenty-five years ago, the Supreme Court held that a Bankruptcy Court had the authority to order the IRS to allocate payments made "voluntarily" by a Debtor when necessary to effectuate a successful reorganization.    United States v. Energy Resources Co., 495 U.S.
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Exemptions Continue to Feel Frost's Bite

02/22/15
The rift in the bankruptcy universe created by Viegelahn v. Frost (Matter of Frost), 744 F.3d 384 (5th Cir. 2014) continues to widen, drawing more exemptions into its vortex in seeming disregard of Supreme Court precedent.   The latest opinion to come down is  In re Hawk, 2015 Bankr. LEXIS 309 (Bankr. S.D. Tex. 1/30/15) which holds that the Debtor in a chapter 7 proceeding forfeited his IRA exemption when he liquidated the account after the deadline to object had expired.   
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Recovering Attorneys' Fees in Dischargeability Litigation

02/19/15
A new opinion from Judge Tony Davis answers some interesting questions about recovery of attorneys' fees in dischargeability litigation.   Schwertner Backhoe Services, Inc. v. Kirk (In re Kirk), Adv. No. 11-1239 (Bankr. W.D. Tex.
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