On Bankruptcy and Mediation
Things got out of hand here (photo by Marilyn Swanson) By: Donald L Swanson Sometimes, things get out of hand—starting with a small error that expands into something more. A recent example is the case of Gray v. United States, Case No. 24-CV-2621 in the U.S. District Court for Southern New York (Decided May 28, 2025).... Continue Reading →
Providing protection? (Photo by Marilyn Swanson) By: Donald L. Swanson Every now and then you see something and say, “How in the heck could this happen?!” Here is one of those times: In re Prehired LLC, Case No. 22-11007, Delaware Bankruptcy Court (decided May 30, 2025; Doc. 247). Facts Debtor LLC files a voluntary Subchapter... Continue Reading →
Repetition (photo by Marilyn Swanson) By: Donald L. Swanson Individuals who repeatedly file bankruptcy face an automatic stay problem under under 11 U.S.C. § 362(c). Subparts (c)(3)&(4) of § 362 terminate the automatic bankruptcy stay—automatically—for individual repeat-filers. Subpart (c)(3) deals with a first-time repeat-filer like this: “(3) if a single or joint case is filed by... Continue Reading →
London Tower -- site of many public hangings (Photo by Marilyn Swanson) By: Donald L Swanson “Blackstone . . . observed that acts such as . . . robbery, certain thefts, fraudulent bankruptcy, forgery of coin, and forgery of a marriage license were felonies that could warrant death.” This quote is from United States v. Duarte,... Continue Reading →
Racing (photo by Marilyn Swanson) By: Donald L. Swanson Several months ago, I stumbled upon an old opinion out of the U.S. Supreme Court suggesting that the right of a creditor to race to the courthouse to collect on its claim against a debtor—and to win (or lose) that race—is a basic right of contract... Continue Reading →
A locomotive (photo by Marilyn Swanson) By: Donald L Swanson Here’s an interesting employment discrimination case that’s related to a prior bankruptcy: Palmer v. Union Pacific Railroad Co. (In re Palmer), Case No. 24-1212 (8th Cir., decided June 12, 2025).[Fn. 1] Background Debtor starts working for The Railroad in March 1998 as a Switchman/Brakeman, after disclosing... Continue Reading →
Illumination (photo by Marilyn Swanson) By: Donald L. Swanson The recent Boy Scouts opinion from the U.S. Court of Appeals for the Third Circuit (decided May 13, 2025) provides this Q & A illumination on the doctrine of equitable mootness: Question: Does the doctrine of equitable mootness preclude the requested relief on appeal? Answer: In light... Continue Reading →
Illuminated (photo by Marilyn Swanson By: Donald L Swanson Sub rosa plan issues have been around since the earliest days of my bankruptcy practice. Back in those days, unfortunately, I was never quite sure what a sub rosa plan might be. The dictionary definition of the term, “sub rosa,” is “confidentially; secretly; privately” or “happening or... Continue Reading →
Coming out of the void? (Photo by Marilyn Swanson) By: Donald L Swanson Can a judgment that’s “void” for lack of jurisdiction become valid by the passage of time? That’s the question on which the U.S. Supreme Court granted certiorari (on June 6, 2025—in Case No. 24-808, Coney Island Auto Parts Unlimited, Inc. v. Burton, Chapter... Continue Reading →
Illumination (photo by Marilyn Swanson) By: Donald L Swanson How do the § 363(m) limitations on appeals of sale orders apply to sales under a confirmed plan? That’s an issue discussed at length, illuminated and resolved, under the term “statutory mootness,” in the Boy Scouts opinion from the U.S. Court of Appeals for the Third Circuit... Continue Reading →
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