It's All 503 to Me
Ta-Da, No Assets!
Except the Unaccepted
Famous Debtors
Exempt and a Miss
Preference Predilection
100
Pursuant to this 2017 Supreme Court decision, a bankruptcy court may not approve a structured dismissal of a chapter 11 case that provides a distribution to a general unsecured creditor but leaves impaired creditors holding § 503(b) allowed administrative expense claims, without the affected creditors’ consent.
What is Czyzewski v. Jevic Holding Corp., 137 S.Ct. 973 (2017)?
100
Through careful management of its dock(et), the Supreme Court thought this tranquil bay merited a closer look.
What is Section 546(e ) safe harbor?
100
A bankruptcy trustee lacks standing to object to the discharge of a specific debt under 523(c) because he is not this.
Who is a Party-in-Interest?
100
Despite winning the college football national championship and a six-year stint in the NFL, this once successful and promising professional athlete filed Chapter 11 in Houston, Texas in 2014.
Who is Vince Young?
100
A vehicle can loses its exempt status under Texas Property Code if the owner does this post-petition.
What is dies (See In re Graywolf; Case Number 18-50476)?
100
The transfer to a fully or over secured creditor within 90-days of the petition date of its properly perfected collateral is usually not a preference for this reason.
What is because the claim does not satisfy the so-called “hypothetical Chapter 7 liquidation analysis” of 11 U.S.C. § 547(b)(5)?
200
Section 503(b)(9) provides for allowance of an administrative expense claim for “the value of goods received by the debtor within” this many days before commencement of the case when such goods were sold to the debtor in the ordinary course of business.
What is 20 days?
200
The 5th Circuit found that payments by this fair child were a blessing to its relative.
What is consideration to a related third party can be reasonably equivalent value under section 548?
200
In 2017, In re Smith, the Supreme Court denied cert to finally resolve the three-way split among circuits in how to handle the dischargeability of these.
What are Taxes due under late-filed returns?
200
Down on his luck after settling an infringement lawsuit with R&B artist Rick James, this once popular hip-hop singer filed Chapter 11 in Oakland, California in 1996.
Who is MC Hammer?
200
This recent Judge Gargotta opinion holds a Chapter 7 Trustee must chase that equity before filing a no asset report and before the vehicle lienholder liquidates.
What is In re Galindo; Case Number 15-52577?
200
These alternative preference defense elements require the transferee-defendant to prove the ordinary course of business between the debtor and the transferee or the ordinary business terms within the industry of the creditor.
What are the “Subjective Test” (11 U.S.C. § 547(c)(2)(A)) and the “Objective Test” 11 U.S.C. § 547(c)(2(B))?
300
In In re Bella Logistics, this Western District of Texas bankruptcy judge determined that the proper way to treat a landlord’s § 365(d)(3) claim for post-petition, pre-conversion rent upon conversion is as a chapter 11 administrative expense, allowed under § 503(b).
Who is Judge Gargotta?
300
Badges, Badges, we don’t need no stinkin’ badges – actually you do.
How can you show actual intent to hinder, delay or defraud?
300
Under Husky International Electronics, Inc v. Ritz (US 2016), if this person acted with requisite intent, he will not receive a discharge of debts traceable to his participation in the primary debtor’s scheme, regardless of whether he made any misrepresentations to creditor – or ever had any contact with the creditor.
Who is the recipient of a fraudulent transfer?
300
Despite filing Chapter 11 in West Palm Beach, Florida in 1996, this successful actor, who got his first big break in the TV series Riverboat, was quoted saying that he wished he “spent more money and had a lot more fun” before his death in 2018.
Who is Burt Reynolds?
300
Guns and money, but not lawyers.
What are Tex Prop. Code § 42.002(7) and 11 USC § 522(d)(5)?
300
A transferee-defendant must prove these three elements to prevail on its 11 U.S.C. § 547(c)(1) “contemporaneous exchange” defense.
What are intent, substantial contemporaneousness, and new value?
400
Judge Sontchi recently held that the losing bidder--who paved the way for a higher and better bidder—was not entitled to a claim for substantial contribution pursuant to § 503(b)(3)(D) following the sale of this debtor’s “crown jewel” asset.
What is In re Energy Future Holdings Corp., 2018 Bankr. LEXIS 2257 (Bankr. D. Del. Aug. 1, 2018)?
400
2 and 1, the limits of fun!
What are the statute of limitations for actions under sections 548 and 550?
400
This 2018 Supreme Court decision warning that if you are going to lie to your attorney about using your tax refund to pay his fees, don’t do it in an email.
What is Lamar, Archer, Confrin, LLP v Appling?
400
Filing a Ch. 11 petition in Austin in 1987, this late Texas lawyer-turned-politico-turned-businessman lamented his inability to “foresee the unprecedented economic downturn” that befell the Texas real estate market in the 1980s.
Who is John Connally?
400
In order to avoid losing the exemption of proceeds from the sale of a home, a chapter 13 debtor should do this.
What is reinvestment them within 6 months?
400
These two Fifth Circuit cases lend support to an individual creditor’s standing, under appropriate circumstances and subject to approval by the bankruptcy court, to bring a preference (or other avoidance) action on behalf of the bankruptcy estate.
What are In re Pointer, 952 F.2d 82, 88-89 (5th Cir. 1992) and In re La. World Exposition, Inc., 832 F.2d 1391, 1397 (5th Cir. 1987)?
500
Section 507(b) of the Bankruptcy Code provides for allowance of this superpriority claim pursuant to § 503(a)(2).
What is claim of a secured party—to whom adequate protection was provided—arising from the stay of action against such property under § 362, from the use, sale, or lease of such property under § 363, or from the granting of a lien under § 364(d), notwithstanding the provided protection?
500
Under section 548, if it ain’t ordinary, of course, you do not have to show this to make the Boss man give back the jack, Jack?
What is insolvency?
500
The Fifth Circuit found that although the debtor intentionally “loaded his shotgun, took it with him to the confrontation with (Plaintiff), and, with his finger on the trigger, twice tapped the barrel of the gun on the windshield of the car” – the personal injury claim was not excepted from discharge as willful and malicious for this reason.
What is - He didn’t intend to shoot the Plaintiff – only to get his attention?
500
The “Okie from Muskogee” filed a Chapter 11 petition in Sacramento, California on December 19, 1992, the same day the singer’s wife gave birth to a son.
Who is Merle Haggard?
500
This Fifth Circuit opinion shed light on the exempt nature of proceeds from the sale of a chapter 7 debtor’s home during bankruptcy.
What is In re DeBerry, 884 F.3d 526, 528 (5th Cir. 2018)?
500
This is the relevant date of a transfer by check in considering whether the transfer occurred during the 90-day preference period under 11 U.S.C. § 547(b)(4).
What is the date the check is honored by the payor’s bank? See Barnhill v. Johnson, 125 S.Ct. 1386 (1992)?