Reputation For Honesty = Protection Against Deception In Negotiations (A Study)

Honest Abe (photo by Marilyn Swanson) By: Donald L Swanson A negotiator’s reputation for honesty minimizes the danger of being deceived. That’s the finding of a recent study. [Fn. 1, the “Study”] Background  Reputations endow negotiators with a set of expectations about their intentions and behaviors, influence interpretations of their behavior, and impact response to their... Continue Reading →

Why Corporations and LLCs Should NOT File Chapter 7

Avoid this? (Photo by Marilyn Swanson) By: Donald L Swanson Here’s a hard-knocks rule for debtor attorneys: Never file Chapter 7 for a corporation or an LLC. Chapter 7 has always been a grave yard for failed Chapter 11s: that’s where Chapter 11 cases go when debtors can’t get a Chapter 11 plan confirmed. For example,... Continue Reading →

A 1909 Perspective On Bankruptcy Laws v. Similar State Laws (From Samuel Williston)

Food for thought? (Photo by Marilyn Swanson) By: Donald L Swanson Every now and then we get a glimpse into the past . . . that casts light on issues and events of today. One such glimpse is a Harvard Law Review article from 1909: “The Effect of a National Bankruptcy Law upon State Laws.”[Fn. 1].... Continue Reading →

InfoWars and Subchapter V Eligibility—Again (In re Free Speech Systems)

Wading in—again (photo by Marilyn Swanson) By: Donald L Swanson Three InfoWars entities file voluntary bankruptcy on April 17, 2022, under Subchapter V of Chapter 11.[Fn.1]  And a storm of controversy immediately erupts on whether the three entities actually qualify for Subchapter V relief. On June 10, 2022, the Bankruptcy Court enters an “Agreed Order Dismissing... Continue Reading →

Re-Envisioning Old ABC Laws: A Deed Of Trust Model

Re-envisioning? (Photo by Marilyn Swanson) By: Donald L Swanson State laws on assignments for benefit of creditors (“ABC”) have been around for a long time.  But times have changed over the last half-century.  Specifically, the bankruptcy alternative has changed dramatically: from a harsh remedy under the Bankruptcy Act of 1898;to the current Bankruptcy Code, with its... Continue Reading →

US Trustee’s “Guidelines” For Bifurcated Fee Agreements In Chapter 7

Bifurcated? (Photo by Marilyn Swanson) By: Donald L Swanson When an enforcement authority issues guidelines to its personnel for making enforcement decisions and makes those guidelines public, all who are subject to that authority should sit-up and take notice.   On June 10, 2022, the U.S. Trustee’s Office, Department of Justice, issues “Guidelines” to its personnel... Continue Reading →

Good Faith In A Mandated Mediation: Are Contempt and Sanctions Appropriate? (In re A.T. Reynolds)

Contempt of the rules of road? (photo by Marilyn Swanson) By: Donald L Swanson “the specter of sanctions and contempt spawns ancillary litigation that often eclipses the issues at the heart of the underlying dispute.” --From In re A.T. Reynolds & Sons, Inc., 452 B.R. 374, 376 (S.D.N.Y. 2011), reversing a Bankruptcy Court order of contempt... Continue Reading →

Bankruptcy Code v. ABC Laws: Why Sherwood Partners v. Lycos’s Dissent Is Wrong

Preempting? (photo by Marilyn Swanson) By: Donald L Swanson The interface between federal bankruptcy law and similar state laws has a long history, going back to at least 1819, when the U.S. Supreme Court rules that a state insolvency law: may discharge a person from debtor’s prison; butmay not discharge that person’s debt.[Fn. 1] A more... Continue Reading →

Mediation-In-Bankruptcy: An Effective, But Difficult, Tool For Resolving Mass Tort Disputes

An effective tool (photo by Marilyn Swanson) By: Donald L Swanson Mediation-in-bankruptcy has been an effective tool for resolving mass tort cases.  That effectiveness has been for the benefit of all parties involved, such as: helping to maximize recoveries for tort claimants;helping to allocate scarce funds among competing tort claimants and other creditors; andhelping to keep... Continue Reading →

Subchapter V Discharge And § 523(a): A Footnote 2 Problem (Cantwell v. Cleary)

The same . . . or different? (photo by Marilyn Swanson) By: Donald L Swanson “2 There is one inconsequential difference — § 1228(a) refers to debt ‘of a kind specified,’ while § 1192(2) refers to debt ‘of the kind specified.’” [Fn. 1] This "inconsequential difference" quotation, from footnote 2 in the Fourth Circuit’s Cantwell v.... Continue Reading →

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