Structured Finance Protects Tuition Payments from Fraudulent Transfer Suits
Children were the initial transferees of tuition payments, thus giving schools the ‘good faith’ defense to fraudulent transfers.
District Court Endorses Opt-Out to Confirm Substantive Consolidation Plans
Augie/Restivo problems are avoided by including opt-out provisions in a substantive consolidation chapter 11 plan.
Madoff Opinions Ease Pleading Requirements in Suits Against Subsequent Transferees
Bankruptcy Judge Vyskocil holds that alter ego need not be alleged to recover from a corporation’s sole shareholder as the beneficiary of a fraudulent transfer.
SIPA Bars General Unsecured Claims for Failure to Transfer Accounts Before Filing
The trustee for a bankrupt broker can ignore an individual customer’s request to transfer securities to a solvent broker and may instead transfer customer accounts in bulk.
Court May Depart from the Code When the Debtor Consents and No One Objects
Unique facts were again the basis for a result seemingly at odds with the statute.
Flip Clauses in Swaps Held Enforceable by District Judge in New York
For swaps, the Section 560 safe harbor overrides the anti-ipso facto provisions in the Bankruptcy Code.
Which Court Has a Better Claim to Jurisdiction in Successive Bankruptcies?
Yet another example of how hard cases make bad law.
Plan Confirmation Cuts Off Adverse Claims to Ownership of Debtor’s Property
Res judicata is flexibly applied again to bankruptcy cases.
The GM Creditors’ Trust Opens a Can of Worms by Nixing a Settlement
Bankruptcy judge finds bad faith for walking out on a fully documented but unsigned settlement.
The Proper Role of an Expert on Willful Blindness in a Fraudulent Transfer Suit
Madoff spawns more law, this time on expert testimony about the good faith defense to a fraudulent transfer with ‘actual intent.’