Bankruptcy Blogs

New Frontiers in Foreclosing on Banks

07/17/14

Trust-preferred creditors have forced two indebted bank holding companies into involuntary bankruptcy this summer. Secured lenders may soon follow their lead and start foreclosing on bank stock collateral.

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Creditors’ Lawyers Press Archdiocese of Milwaukee to Pay Up

07/17/14

The Archdiocese of Milwaukee has been running a tab when it comes to professionals working on its Chapter 11 bankruptcy case, and lawyers for unsecured creditors—chiefly survivors of sexual abuse—say it’s time to pay the bills.

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The Most Important FHLB Reform Has Already Happened

07/17/14

A recent article by Thad Woodard proposed slashing the number of Federal Home Loan Banks in order to free up funds for community lending. But the Home Loan Banks' member institutions are already empowered to push for consolidation any time they choose, writes the FHLBanks' Steven F. Rosenbaum.

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The Daily Docket: Love Culture Enters Bankruptcy

07/17/14

Teen-focused clothing retailer Love Culture Inc. sought Chapter 11 protection Wednesday, citing an overexpansion that left the chain with weakened finances. Read the Daily Bankruptcy Review article here.

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Morning Scan: B of A, DOJ Battle on Settlement; Fed Pressured to Raise Rates

07/17/14

Receiving Wide Coverage ...

Deal or No Deal: Bank of America and the Justice Department are at odds over how much the Charlotte, N.C., bank should pay to settle charges that it sold shoddy mortgage-backed securities in the run-up to the financial crisis. According to the Wall Street Journal, DOJ lawyers rebuffed B of A's offer to pay $13 billion in cash and consumer relief in a Tuesday meeting. The Financial Times' sources say Bank of...

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Which Crumbs Locations Could Reopen?

07/16/14
Melanie Cohen

Since emerging last week as Crumbs Bake Shop

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The Next Big Thing in Banking Will Be a Firm We've Never Heard Of

07/16/14

Startups that focus on person-to-person payments or peer-to-peer lending may well be the future heavyweights of the financial services industry. Banks must either band together to create viable alternatives or risk losing relevance.

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Read My Competitor: Fifth Circuit Holds That Bankruptcy Court Retains Jurisdiction Over Foreclosure Proceeds

07/16/14
The Weil Bankruptcy Blog has a good posting on Goldsby v. 804 Congress, LLC, No. 12-50382 (5th Cir. 6/23/14).    In short, this was a case where the Court lifted the automatic stay and a third party bid in more than the amount of the debt.  The bank and the substitute trustee argued that they should be allowed to distribute the funds as provided by the deed of trust, while the Debtor contended that the Bankruptcy Court had authority over the funds.
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How Smaller Banks Can Avoid Volcker Rule Headaches

07/16/14

Even activities permitted under the Volcker Rule may not be worth the legal and compliance costs for small and mid-sized banks, according to three attorneys at Bass, Berry & Sims.

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Morning Scan: Yellen Links Jobs, Rates; B of A to Improve Junior Staffer Conditions

07/16/14

Breaking News This Morning ...

Earnings: Bank of America, PNC, US Bancorp Receiving Wide Coverage ...

Yellen Ties Labor Market, Rate Hikes: Federal Reserve Board Chair Janet Yellen told the Senate Banking Committee the improving employment picture could lead to interest rate hikes. The Washington Post led with her views on the labor market, although it also mentioned the Fed's plans to continue to cut back on its bond purchases and how that affects interest rates and the...

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