Bankruptcy Blogs

A Rock and a Hard Place Await for Me

01/09/13

Some thoughts on the tough spot AIG's board finds itself in, and how it could have handled the PR angle better, over at Dealbook.

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Dodd-Frank Remains a Troubled Work in Progress

01/09/13

Giving regulators more levers to pull and buttons to push with respect to the financial system only creates a false sense of security. The new regulatory powers come with few meaningful accountability checks.

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Small Bank Exemptions

01/09/13

Community banks and credit unions are the darlings of Congress in the financial services industry. This is quite understandable--they play an important economic role in their communities and have a much greater civic presence than the big banks. The president of the local community bank is much more likely to be involved in major civic organizations than the Bank of America branch manager. As a result, a parallel regulatory system has developed for community banks and credit unions.

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ND Ga - Chapter 13 Debtor May Take "Marital Adjustment" For Non-Filing Spouse's Income

01/09/13

Chapter 13 cases, especially after 2005, are often a tightrope between being able to pay basic living expenses and contributing all disposable income to the plan.  Chapter 13 Trustees are often viewed as wanting to squeeze every penny from a debtor.  This case is an example of the posturing of the parties, and a victory for the debtor and her non-filing spouse.

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The Daily Docket: K-V Pharmaceutical Unveils Bankruptcy Plan

01/09/13

K-V Pharmaceutical Co. Monday unveiled a bankruptcy-exit plan that hinges on a $20 million rights offering and has already earned the support of a group of senior noteholders. Read the Daily Bankruptcy Review article here.

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Hackers, Bank Records, and Going Paperless

01/09/13

The traditional allocation of losses at a bank was first loss bank, second loss government, but never losses to insured depositors. To wit, if Willie Sutton robs a bank, the money lost is the bank's, not that of any particular depositor.  If bank fails, then the FDIC steps in pays out the insured depositors. It does so on the basis of the bank's books and records.  

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Raging Against Possible AIG Lawsuit; JPM Personnel Changes Continue

01/09/13

Receiving Wide Coverage ... Seriously, AIG?: We had a feeling the Internet was going to let out a collective groan once the news that AIG was considering a lawsuit against the federal government over its $182 billion bailout was picked up by news outlets and made the rounds on Twitter. (To summarize, the firm is being asked to join a suit originally launched by former CEO Maurice Greenberg, who claims the terms of the bailout were...

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Joint Tax Refunds Exempt Entireties Assets in Bankruptcy

01/09/13

Federal courts have permitted the IRS to levy upon a Florida taxpayer’s entireties account to collect taxes owed by one spouse filing an individual tax return. The entireties exemption does not protect the married taxpayer from the IRS. Does it follow that a joint tax refund from the IRS is also not protected entireties property in bankruptcy?

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