Where the trustee was unable to cite any Fourth Circuit authority showing the bankruptcy court erred in approving nondebtor releases, and there were persuasive out-of-circuit cases against the trustee’s positions, its motion for a stay pending appeal was denied because ...

Tagged with: Bankruptcy Judge David J. Novak U.S. District Court - Eastern District

Where the debtor failed to list a savings account on her Chapter 13 schedule, her case was dismissed with prejudice for 90 days because her failure was at least the product of a reckless disregard for the truth. Background This ...

Tagged with: Bankruptcy Judge Brian F. Kenney U.S. Bankruptcy Court

Where the trustee for LeClairRyan, a bankrupt law firm, brought claims against the firm’s former joint venture partner, and the partner asserted a right to money in the bankrupt estate, the adversary proceeding will remain in bankruptcy court because all ...

Tagged with: Bankruptcy Judge David J. Novak U.S. District Court - Eastern District

Where the United States trustee moved to stay the bankruptcy court’s disclosure statement and confirmation orders pending appeal, but failed to show irreparable harm if its motion was denied or a likelihood of success on the merits of its appeal, ...

Tagged with: Bankruptcy Judge Kevin R. Huennekens U.S. Bankruptcy Court

Where a dispute arose over whether a loan guarantee was forged and the lender’s practice was to scan and shred loan documents within a month of being signed, the documents here were executed/shredded in 2005 while the litigation did not ...

Tagged with: Bankruptcy Judge Rossie D. Alston Jr. U.S. District Court - Eastern District

Where the nondebtor’s finances were intertwined with the those of the debtors, but she could not file for bankruptcy protection because it could put her law license, and the only source of income for the debtor, at risk, there was ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court

Where the court previously dismissed with prejudice the bankruptcy filing of the debtor’s alter-ego, this case was the ninth filed by the alter-ego since 2010 and was filed during a prior bar to refiling, and neither the debtor nor the ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court

Although a 2017 amendment to the bankruptcy fees provisions may render it more expensive for some debtors in Virginia — as opposed to North Carolina or Alabama — to go through Chapter 11 proceedings, because the difference is a byproduct ...

Tagged with: 4th U.S. Circuit Court of Appeals Bankruptcy Judge Robert B. King

Where a proposed settlement would pay an unsecured creditor ahead of the Internal Revenue Service, which was a senior creditor, it violated the Bankruptcy Code’s priority schemes and was denied. Background In August of 2017, River House Enterprises LC obtained ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court

Where attorneys’ fees incurred by the oversecured creditor were reasonable and necessary to protect its interest in the bankruptcy cases, and the debtors agreed the rates were reasonable, the creditor was entitled to recover its fees under section 506(b) of ...

Tagged with: Bankruptcy Judge Kevin R. Huennekens U.S. Bankruptcy Court