Huge Liquidated Damages Held Unenforceable in an Aircraft Lease
Although the parties were sophisticated, New York judge finds that a liquidated damages clause was actually an unenforceable penalty.
Connecticut Joins New York on Fraudulent Transfers for Children’s Tuition
Student’s entitlement to a refund determines whether a parent’s tuition payments are constructively fraudulent transfers.
Court:
Judge Declines to Apply ‘Earmarking’ Defense to a GM Lien Avoidance
‘Old’ GM lenders lose again while attempting to avoid the consequences of a $1.5 billion mistake.
The Emily Litella Principle Governs the Withdrawal of Proofs of Claim
Withdrawing a proof of claim will not divest the bankruptcy court of jurisdiction to try an avoidance action without a jury, Judge Bernstein says.
Setoff Doesn’t Apply to Mutual Debts and Credits in Agricultural Commodities
Second Circuit interprets PACA to preclude setting off debts and credits from the sale of perishable agricultural commodities.
Court:
A Pending Sale Contract Doesn’t Obliterate a Homestead Exemption in Chapter 7
New York court delves into issues covered by the Fifth Circuit in Hawk and DeBerry.
Insurance Rehabilitation in Curaçao Given ‘Foreign Main’ Recognition in New York
Court supervision and participation by creditors aren’t required for recognition under chapter 15.
Tuition Payments for Adult Children Squarely Held to Be Constructively Fraudulent
New York judge allows insolvent parents to pay for a minor child’s expensive education.
Foreign Main or Nonmain Status Doesn’t Necessarily Follow Foreign Citizenship
Judge Chapman delves into the murky realm of an individual’s ‘COMI’ and ‘establishment.’
Safe Harbor Given Extraterritorial Effect to Benefit Madoff Feeder Funds Customers
Will the avoiding powers and the safe harbor both have extraterritorial effect? Stay tuned!