Monthly Archives: April 2014

Pre-Petition Default Interest: Don’t Take Anything For Granted

In Re Shree Mahalaxmi, Inc., 503 B.R. 794 (Bankr. W.D. Tex. 2014) – After a mortgage lender learned of a pre-petition default during a bankruptcy, it filed an amendment to its proof of claim to add pre-petition default interest. The … Continue reading

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Enforcing a Mortgage: A Lost Note May Result In a Lost Cause

Desmond v. Green (In re Harborhouse of Gloucester, LLC), 505 B.R. 365 (Bankr. D. Mass. 2014) – The assignee of a mortgage note that was lost prior to the assignment filed a secured proof of claim in a chapter 7 bankruptcy. … Continue reading

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Landlord Claims: Not All Administrative Expense Claims Are Equal

In re Davenport Beverage Corp., 505 B.R. 374 (Bankr. D. Mass. 2014) – A commercial landlord asked the bankruptcy court to allow its administrative expense claim in a chapter 11 case. The lease was deemed rejected while the bankruptcy case was … Continue reading

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Collecting A Prepayment Premium: Plain Language May Not Be So Plain

Bank of New York Mellon v. GC Merchandise Mart, L.L.C. (In re Denver Merchandise Mart, Inc.), 740 F.3d 1052 (5th Cir. 2014) – A lender sought to recover a prepayment premium of $1.8 million after acceleration of a note due to … Continue reading

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Administrative Expenses: Are Electrons Movable So That Electricity Is a Good?

In re NE Opco, Inc., 501 B.R. 233 (Bankr. D. Del. 2013) – A municipal utility sought an administrative expense payment for the electricity and natural gas that it provided to the debtors during the 20 days prior to bankruptcy. The … Continue reading

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Leases: The Special Case of a Governmental Landlord

In re Aikens, 503 B.R. 603 (Bankr. S.D.N.Y. 2014) – A city housing authority sought a bankruptcy court order confirming that the automatic stay did not prevent it from continuing eviction proceedings where it had obtained a judgment of possession … Continue reading

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Recording Defects: A Continuing Theme – Trivial Mistakes May Not Be So Trivial

Gordon v. Wells Fargo Bank, N.A. (In re Knight), 504 B.R. 668 (Bankr. N.D. Ga. 2014) – A chapter 7 trustee sought to avoid a lien on the debtor’s interest in property by exercising his “strong arm” powers as a bona … Continue reading

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