4th Circuit

Appeal Heads Toward the Fourth Circuit on Arbitration of Discharge Violations

Eventually, the Supreme Court will decide whether bankruptcy is a unique exception to the general rule that arbitration agreements are rigorously enforced.

Subchapter V Trustee Barred from Routine Retention of Counsel

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

Setoff Rights of the IRS Prevail over a Debtor’s Attempt to Exempt a Tax Refund

Fourth Circuit answered a question of first impression where the lower courts disagreed.
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Statutory Basis Explained for Deferring Rent in Response to the Coronavirus

Section 365(d)(3) doesn’t contain a remedy for failure to pay rent on time, Judge Huennekens says.

Currently Conducting Business Isn’t Required to Qualify for the SBRA

Dealing with the debt left over from a defunct business is enough to qualify as a small business debtor under the new subchapter V of chapter 11, Judge Burris rules.

Judge Kahn Finds No Constitutional Infirmities in Applying the SBRA Retroactively

Because the SBRA’s foundation is chapter 11, the new statute may be applied constitutionally to rights or property interests arising before enactment.

Incorporating AAA Rules by Reference Won’t Work with Consumers

Courts are split on the question of whether the incorporation of AAA rules by reference allows arbitrators to decide threshold questions of arbitrability and validity of an agreement to arbitrate.

Treasury Offset Program Can’t Be Used After Bankruptcy, District Judge Says

Now on the district court bench, then-Bankruptcy Judge Frank Volk was upheld in a tricky case involving the government’s right of setoff.

Supreme Court Grants ‘Cert’ to Decide Whether Inaction Violates the Automatic Stay

Virginia case highlights the damage that will be done to debtor protections if affirmative action is required for a stay violation.

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