The City of Chicago impounded vehicles for nonpayment of fines.  When the owners filed chapter 13 cases and requested that the city return their vehicles, the city refused. The bankruptcy court held that the city’s refusal violated § 362(a)(3) because it had acted to “exercise control over” the debtors’ vehicles.  The Supreme Court reversed. City

The United States Supreme Court ruled that 11 U.S.C. § 330(a)(1) does not authorize compensation to debtors’ attorneys from estate funds.  Lamie v. U.S. Trustee, 540 U.S. 1023 (2004).  A chapter 7 lawyer cannot look to the estate or to the debtor postpetition for payment of fees for services rendered or to be rendered if

A Delaware bankruptcy court recently held that the bar date for filing proofs of claim cannot be enforced against a creditor if the notice of the bar date was not sent by mail to that creditor.  In re Cyber Litigation Inc., No. 20-12702 (CTG) (Bankr. D. Del. Oct. 21, 2021).

Relevant Bankruptcy Rules

Bankruptcy Rule

The First Circuit was required to decide whether the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”) or the Federal Rules of Civil Procedure (the “Civil Rules”) govern  a case that comes within the federal district court’s jurisdiction as a case “related to” a pending bankruptcy case.  If the Bankruptcy Rules applied, plaintiffs’ motion for

Coauthored by Martha B. Chovanes

Introduction

The relationship for  which counsel for a committee could be disqualified was addressed in the recent case of Bingham Greenbaum Doll, LLP v. Glenview Health Care Facility, Inc., 620 B.R. 582 (6th Cir. B.A.P. 2020) (“Glenview”).  In Glenview, the debtor corporation was owned by two shareholders.  The

Coauthored by Martha B. Chovanes

To give a reorganized debtor a “fresh start,” the Bankruptcy Code provides that the confirmation of a plan discharges the debtor from any debt that arose before the confirmation date.  However, if a potential claimant lacks sufficient notice of a bankruptcy proceeding, due process considerations dictate that his or her