5th Circuit

The ‘Insured vs. Insured’ Exclusion in a D&O Policy Doesn’t Apply to a DIP

When a DIP sues a former officer, the bankruptcy ‘exception’ in a D&O policy provides coverage when the ‘insured vs. insured’ exclusion would otherwise deny coverage.

To Defeat Summary Judgment, an Affidavit Can’t Be Contradictory, Fifth Circuit Says

A court can evaluate the credibility of an affidavit when deciding whether there’s a material issue of disputed fact to defeat summary judgment.
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Sub V Trustee May Be Discharged When the Debtor Makes Plan Payments

Bankruptcy Judge Larson administratively closed a Sub V case after substantial consummation.

Abandonment Usually Ends Section 1334(e)(1) Bankruptcy Jurisdiction, Circuit Says

For abandoned property, there is more likely to be bankruptcy jurisdiction under Section 1334(b) than Section 1334(e)(1), Fifth Circuit Judge King says.
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Houston Judge Confirms an ‘Opt-Out’ Plan with Nondebtor Releases

In the first opinion on the issue after Purdue, Bankruptcy Judge Christopher Lopez holds that Purdue did not change Fifth Circuit law where ‘hundreds’ of ‘opt-out’ plans have been confirmed with nondebtor releases.

Imputed Knowledge Kills the Good Faith Defense of a Subsequent Transferee, Circuit Says

Criminal activities of an agent don’t take the agent’s actions outside of the scope of authority.
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Fifth Circuit Receivership Opinion Raises Questions About the Automatic Stay

Fifth Circuit says that the court must have obtained personal jurisdiction over a third party in a receivership to enforce an injunction. Is the same true for the automatic stay and the discharge injunction in bankruptcy? Is there no injunction before there’s personal jurisdiction?
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Fifth Circuit Tells Us What Ritzen and Travelers Mean and Don’t Mean

To revisit denial of a lift-stay motion, the prior order denying modification of the stay isn’t required to say ‘without prejudice.’
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Enjoining a Prepetition Policy Doesn’t Violate the Automatic Stay, Fifth Circuit Says

Seeking attorneys’ fees from the debtor for a postpetition civil rights violation does not by itself make a postpetition lawsuit subject to the automatic stay.
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First Nixing $240,000 for Contempt, Fifth Circuit Approves $450,000 for Civil Contempt

Having previously set aside a $240,000 sanction as criminal contempt, the Fifth Circuit affirmed $450,000 in civil contempt against the same contemnor in the same bankruptcy case.
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