Supersized Eye on Bankruptcy with Bill Rochelle
Supreme Court Hears Argument on Section 363(m): Is It Jurisdictional or Not?
The justices seem inclined to hold that Section 363(m) is not jurisdictional, if they first decide that the appeal is not moot.
Court:
A Security Deposit Is an Unsecured Loan, Unless State Law or the Lease Says Otherwise
If a tenant’s security deposit was swept by the landlord’s secured creditor but was not held in trust, the tenant has no recourse other than to file an unsecured claim.
When Renewed Pre-Petition Contracts Can and Can’t Have Administrative Status
Claims under pre-petition contracts extended after bankruptcy can have administrative status if there was benefit to the estate, district judge says, reversing the bankruptcy court.
A Cured Breach Still Invokes Section 365(b)(1)’s Landlord Protections, Circuit Says
Adequate assurance of future performance may not be required if the debtor has already cured the breach of lease, the Ninth Circuit says.
Court:
Fifth Circuit Holds that Surety Bonds Are Not Executory Contracts
The Fifth Circuit said in dicta that courts might apply the ‘functional approach’ rather than the Countryman test in deciding whether a triangular contract is executory.
Court:
FERC Strikes Out a Third Time in the Fifth Circuit on Rejecting Power Contracts
FERC tried the patience of the Fifth Circuit by arguing again that the agency can bar a chapter 11 debtor from rejecting a filed-rate contract.
Court: