Rochelle's Daily Wire

Former Bankruptcy Judge David R. Jones disagreed with a colleague, who had held that a non-voting class is considered as having voted against a plan.

Judge Jacobvitz of New Mexico follows Judge Harner of Maryland in developing a standard for deciding whether a Subchapter V debtor may extend the time for filing a plan.

Another judge holds that dealing with debt from a defunct business satisfies the eligibility requirement for Subchapter V.

Neither a contract nor state law requiring exhaustion of administrative remedies can divest the bankruptcy court of ‘core’ jurisdiction, even after plan confirmation.

The Treasury rate and prime rate are both proper starting points for pegging post-petition interest rates, but starting with Treasurys requires a larger risk premium.

Future liability on a lease was counted as a liquidated, noncontingent debt in calculating whether the Subchapter V debtor had more than $7.5 million in debt.

Disputing the Fourth Circuit line by line and raising the possibility of a circuit split, the BAP and six bankruptcy courts have held that there’s no such thing as nondischargeability for corporate Sub V debtors.

Courts are split on whether the debt providing eligibility for Sub V must have arisen from a business that was active on the filing date.

Eighth Circuit BAP ‘at a minimum’ requires substantial changes in financial condition for a debtor to modify a confirmed chapter 12 plan.

The $7.5 million debt cap for Subchapter V doesn’t include the debt of affiliates who file later.