BANKRUPTCY AND INSOLVENCY NEWS AND ANALYSIS – WEEK ENDING AUG 12, 2022

Trends and Legislative Developments

July 2022 – Recent Developments in Bankruptcy Law Update

Case Commencement

A Debtor’s Eligibility for Relief Under Subchapter V of Chapter 11

A Hotel Does not Meet the Definition of “Single Asset Real Estate” and may Reorganize Under Subchapter V of Chapter 11 of the Bankruptcy Code

Reorganization

CHAPTER 11 AS ALTERNATIVE TO CONVERSION OR DISMISSAL IN SUBCHAPTER V

Jevic’s Minimal Impact on Structured Dismissals and Bankruptcy Sales

Avoidance and Recovery

Subsequent Transferee’s Good Faith for Value Defense: The The Second and Ninth Circuit’s Perspective

When a Critical Vendor may be Insulated from Preference Liability

Equitable Subordination of a Claim Depends on Insider Status, Conduct of the Claimant, and if There was Harm

Bankruptcy Court Holds That Noteholders’ “Sacred Right” Was Not an Anti-Lien Subordination Provision in Permitting Uptier Transaction

Cross-Border

The Split in the Application of Section 109(a) Requirements to Chapter 15 Cases 

Availability of Setoff to Foreign Debtors and Representatives in U.S. Courts

Hong Kong court gives creditors the nod to sue despite Chapter 15 scheme recognition

NY Court Quells Chapter 15 Doubts Raised by Hong Kong Judge