ABI Blog Exchange

Weekly News – April 14

Theater advertiser files for BK Cha Ching! FTX rolling in the dough FTX Interim Report Find it on Reorg here Well said! CRE in the news…. CMBS spreads have widened in recent weeks Morgan Stanley on CRE stress Goldman on CRE stress Tell us what you

Fear you’re going to lose your house? Debunking the top 10 bankruptcy myths

You’re drowning in debt, and you’ve been struggling to keep your head above water for months. Every time the phone rings, you feel a knot in your stomach, wondering if it’s another creditor demanding payment. And forget about bankruptcy. There’s no

SEC’s Proposed Conflicts of Interest Rule May Impede Hedging

Critics are warning that the SEC’s recently proposed rule (the “Proposed Rule”) prohibiting conflicts of interest in asset-backed securities (ABS) transactions may impede the ability of financial institutions, broker-dealers and others to enter into

How Do You Know When Your Chapter 13 Bankruptcy is Over?

A Chapter 13 bankruptcy case is a court-supervised repayment plan. Filing Chapter 13 does not necessarily mean that you repay all your debts. Some creditors might receive a percentage of the money you owe them instead of the total amount. Finishing

Avoiding Debt Obligations As Fraudulent Transfers? (Kartzman v. Latoc)

By: Donald L Swanson “The trustee may avoid . . . any obligation . . . incurred by the debtor, that was made or incurred“ with actual fraudulent intent or as constructive fraud. –From § 548 of Bankruptcy Code (emphasis added). Similar language is

What is the Bankruptcy Means Test and How Does it Work

Bankruptcy offers a way for people struggling with debt to eliminate some or all of the debt and get a fresh start. Unless the majority of your debt is business or tax debt, in order to be eligible to file a Chapter 7 Bankruptcy you must pass the

LTL 2.0: The Largest Fraudulent Transfer in History

Today was the first day hearing for LTL 2.0. An ad hoc committee of talc claimants (most of the members of the Official Committee from LTL 1.0) weighed in with an informational brief that blasted the bankruptcy filing as being...

Special Feature: Professor Ed Altman on Where We Are In The Credit Cycle

Edward I. Altman* There are certain times in our economic and financial environment when it makes sense to assess carefully and dispassionately where we are in the credit cycle and how this cycle relates to the business cycle. Now is one of those

Boy Scouts Plan Pays All Claims In Full—100%—And Is Affirmed On Appeal

By: Donald L Swanson Boy Scouts of American achieved a confirmed plan of reorganization in its bankruptcy. That confirmation is now affirmed on appeal by the U.S. District Court in Delaware[fn. 1]—and is heading to the Third Circuit Court of Appeals

The Lottery Curse: Are Lottery Winners More Likely To Declare Bankruptcy?

The Lottery Curse: Are Lottery Winners More Likely To Declare Bankruptcy? Unless you were born into an incredibly wealthy family, you’ve probably daydreamed about winning the lottery at least once or twice. A large windfall of cash could get you out

Small businesses are filing for bankruptcy at a higher rate than at the peak of the pandemic - and a looming credit crunch could make things worse

Yahoo Finance is reporting that Small businesses are filing for bankruptcy at a higher rate than at the peak of the pandemic - and a looming credit crunch could make things worse The article can be found at https://uk.finance.yahoo.com/news/small

Can You Chat Your Way to Relief from Stay?

Can You Chat Your Way to Relief from Stay?

Weekly News – April 7

Save the Date: June 27, 2023 J&J chapter 22! Virgin Orbit crashes Another liability management exercise Courts push back on aggressive liability management techniques Bausch decision Trial Court decision here Tell us what you think We always

How to Stop a Sheriff’s Sale in New Jersey

If you live in New Jersey, what do you do when a creditor is trying to proceed with a sheriff’s sale of your house? This question will be addressed under the context of bankruptcy law – that is, if you file a petition for relief in bankruptcy court

How Long After Bankruptcy Until You Can Buy a House in NJ?

Bankruptcy is a crucial tool that allows people to seek freedom from certain debts. While bankruptcy can reduce many peoples’ financial burdens, it can also create negative consequences for declarants. One of these negative consequences involves a

Pre-Petition Waiver Of Right To File Bankruptcy—Is It Enforceable? (In re Roberson)

By: Donald L Swanson Question: Can a creditor prevent its debtor from filing bankruptcy by pre-petition contract terms? Answer: No . . . according to In re Roberson Cartridge Co., LLC, Case No. 22-20192 in the Northern Texas Bankruptcy Court (03/07

What is the Difference Between Debt Relief and Bankruptcy in Pennsylvania?

Maintaining healthy finances is difficult and requires constant work. If your finances are not where they should be, you might be considering some type of debt relief program or filing for bankruptcy. Debt relief and bankruptcy might sound similar

LTL, Part Deux (now with even more fraudulent transfers!)

This post is a joint post by Hon. Judith K. Fitzgerald (ret.)[*] and Adam Levitin Here we go again. Precisely one hour and thirty-nine minutes after the dismissal of the bankruptcy filing of LTL, Johnson & Johnson’s artificially created talc

What is in your Derivatives?

Recent market shocks (from the 2022 mini budget which triggered a pension fund crisis to more recent developments with respect to Credit Suisse, Silicon Valley Bank and Signature Bank) will prompt market participants to review their hedging