Author Archives: BankruptcyRealEstateInsights

About BankruptcyRealEstateInsights

Vicki R. Harding was a partner in the Detroit office of Pepper Hamilton LLP who moved to Arizona seeking warmer weather. Ms. Harding continues to handle commercial transactions with an emphasis on real estate and bankruptcy issues (but no longer owns a snow shovel).

Avoidance Recoveries: Who Can Be Sued And When?

Securities Investor Protection Corp. v. Bernard L. Madoff Inv. Securities LLC, 501 B.R. 26 (S.D.N.Y. 2013) – The debtor (Madoff Securities) made payments to “feeder funds” that provided its funding, and the feeder funds in turn made payments to their investors, … Continue reading

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Bankruptcy Sale: A Potpourri of Issues

In re Scimeca Found., Inc., 497 B.R. 783 (Bankr. E.D. Pa. 2013) – A chapter 7 trustee sought court approval for a sale of the debtor’s property and resolution of related issues over the objections of the debtor.  In granting the … Continue reading

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Unrecorded Mortgage Assignment: If You Snooze, You Can Lose

In re First Mortgage Fund, Inc., 498 B.R. 180 (E.D. Mich. 2013) – A debtor (First Mortgage), which was the mortgagee of record, foreclosed a mortgage and obtained title to the foreclosed property notwithstanding that it had assigned the note and … Continue reading

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Control Of An LLC: Who Comes Out On Top – A Bankrupt Member Or The Member’s Chapter 7 Trustee?

In re B&M Land and Livestock, LLC, 498 B.R. 262 (Bankr. D. Nev. 2013) – A chapter 7 debtor that was the sole member and manager of a limited liability company filed a chapter 11 bankruptcy on behalf of the LLC.  The United … Continue reading

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Underwater Liens: Can A Federal Tax Lien Be Stripped Off In A Chapter 13?

Ryan v. United States of America (In re Ryan) 725 F.3d 623 (7th Cir. 2013) – A chapter 13 debtor sought to void a federal tax lien under Section 506(d) of the Bankruptcy Code to the extent that it exceeded the value … Continue reading

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Claim Priority: Construction Lien Meets Mortgage – Who Wins?

ROK Builders, LLC v. 2010-1 SFG Venture LLC (In re Moultonborough Hotel Group, LLC), 726 F.3d 1 (1st Cir. 2013) – After the owner of a newly constructed hotel filed bankruptcy, the assignee of the construction mortgage sought a declaration that … Continue reading

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