Consumer

Creditors seemingly rarely get paid in full in a bankruptcy, and without allowed claims, they can pretty much forget about getting anything at all. This panel will discuss the recent developments in claims litigation and strategies employed to maximize returns in bankruptcy cases for creditors (and possibly debtors).

This is the second part of a two-part panel that will cover a potpourri of current hot topics being litigated in chapter 7 and 13 cases, with a special focus on LVNV v. Crawford and related litigation, consumer protection (including the basics of credit reporting and regulatory actions), mortgage modifications and post-discharge actions, and the UST’s enforcement activities.

The winds of change have blown strongly through the Caribbean recently, with new bankruptcy laws having been passed, or soon to be passed, in many jurisdictions over the last 12-18 months. Two of these new laws were modeled after Canadian law. This panel will examine the provisions of the new laws in broad terms and undertake a brief “compare and contrast” exercise to discuss the new laws in relation to the U.S. Bankruptcy Code and restructuring statutes in other Caribbean jurisdictions that take English law as their model.

This panel will review and discuss the Puerto Rico Public Corporation Debt Enforcement and Recovery Act, which was signed into law on June 28, 2014. The constitutionality of this Act has already been challenged by at least three separate lawsuits brought by different bondholder groups. A special courtroom has been designated in the San Juan Superior Courthouse, and two judges have been specially designated to deal with any filings brought pursuant to this new Act in the Commonwealth Courts. If Puerto Rico can restructure its debts under this state law, will this be an alternative for other states or jurisdictions? Is an alternative to this Act amending the Bankruptcy Code? Will this Act withstand constitutional challenges?

Jeffrey N. Pomerantz, Moderator ABI Vice President-Education Pachulski Stang Ziehl & Jones LLP; Los Angeles Resolved: Curbing pension rights in a chapter 9 case is constitutional. Con: Babette A. Ceccotti Cohen, Weiss & Simon LLP; New York Resolved: Committee member fees are not payable as part of a Chapter 11 plan. Pro: Nan Roberts Eitel Executive Office for U.S. Trustees; Washington, D.C. Con: Dennis F. Dunne Milbank, Tweed, Hadley & McCloy LLP; New York Resolved: A chapter 13 debtor may employ § 363 to effect a free-and-clear short sale of his/her principal residence notwithstanding § 1322(b)(2) and the secured creditor’s objection. Pro: Hon. Eugene R. Wedoff U.S. Bankruptcy Court (N.D. Ill.); Chicago Con: Hon. Mary Grace Diehl U.S. Bankruptcy Court (N.D. Ga.); Atlanta

Commission Recommendations on Resolving Court Splits: Coming Soon to a Judicial Opinion Near You ABI's Commission to Study the Reform of Chapter 11 identified more than 30 splits in case law on important issues. Such a split of authority results in delay, increased litigation costs and above all, uncertainty -- imposing a kind of "ambiguity tax" on the system, as one witness put it in testimony before the Commission. The recommendations contained in the Commission's final report, in many cases, can be implemented by judicial opinion at the bankruptcy court or court of appeals level, without need for action by Congress. This program featuring some of the most experienced and thoughtful judges on the bench today, will assess the Commission recommendations, and identify some that might be effected soon.

“Most official bankruptcy forms will be replaced with substantially revised, reformatted and renumbered versions effective December 1, 2015.” – U.S. Courts These new forms are part of a forms modernization project that was begun by the Advisory Committee on Bankruptcy Rules in 2008. Among other things, the new forms introduce different versions of case opening forms for individual debtors and non-individual debtors. The new forms are easier for debtors to understand and complete and are designed to work with scheduled enhancements to the federal courts’ case opening and electronic case management system. Join members of the Advisory Committee on Bankruptcy Rules, as well as a software expert from Stratus BK, to learn about the new forms.

Debt recovery in the Caribbean can sometimes require more from creditors than simply having a well-drafted set of documents containing prescribed remedies. The astute creditor should take into consideration several factors when seeking to resolve and satisfy its outstanding claims against an insolvent business entity, including the impact on the debtor’s business, an awareness of local issues, and an appreciation for the importance of relationships in preserving and fostering long-term business relationships. Join us as we explore some of the practical considerations of debt recovery in the Caribbean and strategies for helping your clients.

Debt recovery in the Caribbean can sometimes require more from creditors than simply having a well-drafted set of documents containing prescribed remedies. The astute creditor should take into consideration several factors when seeking to resolve and satisfy its outstanding claims against an insolvent business entity, including the impact on the debtor’s business, an awareness of local issues, and an appreciation for the importance of relationships in preserving and fostering long-term business relationships. Join us as we explore some of the practical considerations of debt recovery in the Caribbean and strategies for helping your clients.