Rudolph J Di Massa

February 17, 2016 | The Legal Intelligencer

On Aug. 4, 2015, in City of Concord, New Hampshire v. Northern New England Telephone Operations LLC (In re Northern New England Telephone Operations LLC), No. 14-3381 (2nd Cir. Aug. 4, 2015), the U.S. Court of Appeals for the Second Circuit addressed the circumstances under which a creditor's lien on the property of a debtor may be extinguished through a Chapter 11 plan of reorganization. In explaining how liens must be "dealt with" pursuant to a plan in order to be extinguished thereby, the court employed a four-part test to determine whether a creditor's liens are extinguished, or whether they pass through the bankruptcy unaffected. This case provides important guidance for creditors on how best to protect their liens on a debtor's assets, given that the traditional rule—that liens pass through bankruptcy cases unaffected—has been modified by the U.S. Bankruptcy Code.

By Rudolph J. Di Massa Jr. 
and Catherine B. Heitzenrater

8 minute read

December 18, 2015 | The Legal Intelligencer

Pursuant to Section 727 of the U.S. Bankruptcy Code, an individual Chapter 7 debtor may receive a discharge "from all debts that arose before the date of the order for relief under this chapter." A Chapter 11 or Chapter 13 debtor may receive similar relief pursuant to Sections 1141 and 1328(b), respectively. Under any chapter, this discharge serves the Bankruptcy Code's principal goal of relieving a debtor from his or her prepetition obligations and providing the debtor with a "fresh start" on emergence from bankruptcy. Notwithstanding this goal, a bankruptcy discharge is not all-encompassing: it is limited by Section 523(a), which expressly excepts particular debts from the scope of the debtor's discharge. Among other categories, the list of nondischargeable debts includes debts arising from certain tax or customs duties, money or property to the extent obtained by fraud, domestic support obligations, and government fines or penalties. In addition, Section 523(a)(6) excepts from discharge a debt "for willful and malicious injury by the debtor to another entity."

By Rudolph J. Di Massa Jr. and Jarret P. Hitchings

6 minute read

December 18, 2015 | The Legal Intelligencer

Pursuant to Section 727 of the U.S. Bankruptcy Code, an individual Chapter 7 debtor may receive a discharge "from all debts that arose before the date of the order for relief under this chapter." A Chapter 11 or Chapter 13 debtor may receive similar relief pursuant to Sections 1141 and 1328(b), respectively. Under any chapter, this discharge serves the Bankruptcy Code's principal goal of relieving a debtor from his or her prepetition obligations and providing the debtor with a "fresh start" on emergence from bankruptcy. Notwithstanding this goal, a bankruptcy discharge is not all-encompassing: it is limited by Section 523(a), which expressly excepts particular debts from the scope of the debtor's discharge. Among other categories, the list of nondischargeable debts includes debts arising from certain tax or customs duties, money or property to the extent obtained by fraud, domestic support obligations, and government fines or penalties. In addition, Section 523(a)(6) excepts from discharge a debt "for willful and malicious injury by the debtor to another entity."

By Rudolph J. Di Massa Jr. and Jarret P. Hitchings

6 minute read

November 06, 2015 | The Legal Intelligencer

Under the Uniform Commercial Code (UCC), a secured party can perfect its lien on certain of a debtor's assets by the filing of a UCC-1 financing statement.

By Rudolph J. Di Massa Jr. and Chad E. Odhner

7 minute read

November 05, 2015 | The Legal Intelligencer

Under the Uniform Commercial Code (UCC), a secured party can perfect its lien on certain of a debtor's assets by the filing of a UCC-1 financing statement.

By Rudolph J. Di Massa Jr. and Chad E. Odhner

7 minute read

September 18, 2015 | The Legal Intelligencer

Compensation for bankruptcy professionals employed in bankruptcy cases is governed by Section 330 of the Bankruptcy Code. Section 330(a)(1) of the code provides, in pertinent part, that "the court may award to ... a professional person employed under Section 327 or 1103—(A) reasonable compensation for actual, necessary services rendered." Professionals whose employment is approved by the bankruptcy court consequently must file fee applications, to be reviewed and approved by the court for work performed in the bankruptcy case.

By Rudolph J. Di Massa Jr. and Walter W. Gouldsbury III

7 minute read

September 17, 2015 | The Legal Intelligencer

Compensation for bankruptcy professionals employed in bankruptcy cases is governed by Section 330 of the Bankruptcy Code. Section 330(a)(1) of the code provides, in pertinent part, that "the court may award to ... a professional person employed under Section 327 or 1103—(A) reasonable compensation for actual, necessary services rendered." Professionals whose employment is approved by the bankruptcy court consequently must file fee applications, to be reviewed and approved by the court for work performed in the bankruptcy case.

By Rudolph J. Di Massa Jr. and Walter W. Gouldsbury III

7 minute read

August 07, 2015 | The Legal Intelligencer

On Jan. 21, in Official Committee of Unsecured Creditors of Motors Liquidation v. JPMorgan Chase Bank (In re Motors Liquidation), No. 13-2187, (2d Cir. Jan. 21, 2015), the U.S. Court of Appeals for the Second Circuit addressed whether a UCC-3 termination statement, which was improperly filed as part of the repayment of an unrelated loan, may be considered effective to terminate the security interest in question, even where none of the parties intended that result.

By Rudolph J. Di Massa Jr. and Catherine B. Heitzenrater

9 minute read

August 07, 2015 | The Legal Intelligencer

On Jan. 21, in , No. 13-2187, (2d Cir. Jan. 21, 2015), the U.S. Court of Appeals for the Second Circuit addressed whether a UCC-3 termination statement, which was improperly filed as part of the repayment of an unrelated loan, may be considered effective to terminate the security interest in question, even where none of the parties intended that result.

By Rudolph J. Di Massa Jr. and Catherine B. Heitzenrater

9 minute read

June 19, 2015 | The Legal Intelligencer

Section 303 of the Bankruptcy Code provides creditors with a mechanism to force a recalcitrant debtor into bankruptcy through the filing of an involuntary petition for relief. Pursuant to this section, an involuntary bankruptcy case may be commenced only under Chapter 7 or 11 of the Bankruptcy Code, and may only be brought against a person otherwise qualified to file a voluntary petition. Where the purported debtor has fewer than 12 creditors, the involuntary petition need only be filed by a single creditor. However, where the purported debtor has 12 or more creditors, the involuntary petition must be filed by at least three creditors.

By Rudolph J. Di Massa Jr. and Jarret P. Hitchings

7 minute read