Monthly Archives: December 2012

Prepetition Fire Insurance Proceeds: Who Gets the Cash?

Crews v. TD Bank, N.A. (In re Crews), 477 B.R. 835 (Bankr. M.D.Fla. 2012) – A mortgaged building was destroyed by fire prior to the mortgagor’s bankruptcy filing.  In an earlier opinion the bankruptcy court held in that the mortgagee had … Continue reading

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Protecting Utilities: Would You Believe a Bill Payment is a Settlement Payment Under a Forward Contract?

Lightfoot v. MX Energy Electric, Inc. (In re MBS Management Services, Inc.), 690 F.3d 352 (5th Cir. 2012) – The bankruptcy trustee of a property management company sought to recover money paid to a power company prior to bankruptcy as … Continue reading

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Rent as Administrative Expense: Can a “Terminated” Lease Also Be “Unexpired”?

Super Nova 330 LLC v. Gazes, 693 F.3d 138 (2d Cir. 2012) – In Super Nova the landlord obtained issuance of a warrant of eviction, but was not able to execute on the warrant prior to the bankruptcy filing.  The … Continue reading

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Broker Commissions: Trying To Climb The Payment Priority Ladder

In re Grubb & Ellis Co., 478 B.R. 622 (Bankr. S.D.N.Y. 2012) – Real estate agents who worked for Grubb & Ellis Co. prior to its bankruptcy sought allowance of their claims for commissions as an administrative expense.  Grubb & … Continue reading

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Ad Valorem Property Taxes: Deadline For Challenging In A Bankruptcy

Pinellas County Property Appraiser v. Read (In re Read), 692 F3d 1185 (11th Cir. 2012) – Under Section 505(a)(1) of the Bankruptcy Code, generally a bankruptcy court may determine the amount or legality of any tax. However, under Section 505(a)(2)(C) … Continue reading

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“Loan to Own” Debtor: Public Interest Overrides Bad Faith Filing

In re 1701 Commerce, LLC, 477 B.R. 652 (Bankr. N.D. Tex. 2012) – The capital stack for Presidio Hotel Fort Worth, L.P. consisted of (1) a senior loan of $39.6 million from Dougherty Funding, LLC, (2) a junior loan from … Continue reading

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Golf Fees As Cash Collateral: Strike Three You’re Out

Far East Nat’l Bank v. U.S. Trustee, San Diego (In re Premier Golf Properties, LP) 477 B.R. 767 (9th Cir. B.A.P. 2012) – Cash collateral is defined in the Bankruptcy Code as including cash, negotiable instruments, deposit accounts, or other cash … Continue reading

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