Rochelle's Daily Wire

A cramdown plan can reduce the collateral coverage for secured creditors.

Judge Christopher Klein parses the burdens of proof on conversion, dismissal and right to a discharge for an individual in chapter 11.

With deadlines already elapsed, Judge Grossman disagrees with three judges who allowed redesignation under subchapter V of chapter 11.

More than 600 cases have already been filed under the SBRA since subchapter V of chapter 11 became effective in February.

The SBRA can be used to extinguish a creditors’ committee previously appointed in a ‘traditional’ chapter 11 case.

Misconduct in the prior chapter 11 case barred debtors from proceeding as a small business reorganization under subchapter V of chapter 11.

Government often wins by arguing that the Small Business Act prohibits injunctions forcing the SBA to consider granting ‘PPP’ loans without regard to whether the applicant is a chapter 11 debtor.

In a rapid-fire appeal, the Fifth Circuit ruled that the Small Business Act bars bankruptcy courts from enjoining the SBA.

Courts still have no consensus about debtors’ right to receive PPP ‘loans’ under the Cares Act.

Bankruptcy Judge David Warren warns small business trustees that they won’t be compensated if they are “overzealous” or undertake “unnecessary or duplicative services.”