On July 19, 2005, the Ninth Circuit Court of Appeals issued an opinion in AMB Property, L.P. v. Official Creditors for the Estate of AB Liquidating Corp. (In re AB Liquidating Corp.) that adopted the framework of the Second Circuit case Oldden v. Tonto Realty Co., 143 F.2d 916 (2nd. Cir. 1944), which held that a landlord must deduct a security deposit from its “capped” bankruptcy claim rather than from its total damages.
Continue Reading Ninth Circuit Rules Security Deposit Must Be Deducted From “Capped Damages” Rather than “Gross Damages” in Calculating Rejection Damage Claims under the Bankruptcy Code – AMB Property
9th Circuit Case Updates
Professionals Beware: Movitz v. Baker Extends Pillowtex to the Ninth Circuit
By Sheppard Mullin on
Posted in 9th Circuit Case Updates
On April 28, 2005, the Bankruptcy Appellate Panel for the Ninth Circuit issued an opinion in Movitz v. Baker (In re Triple Star Welding) that seemingly adopts the decision of the Third Circuit Court of Appeals in In re Pillowtex, Inc., 304 F.3d 246 (3rd Cir. 2002), which held that when a facially plausible preference claim exists with respect to prepetition payments received by a professional, the Bankruptcy Court must determine the merit of the preference claim, and the professional’s disinterestedness, before approving its retention.
Continue Reading Professionals Beware: Movitz v. Baker Extends Pillowtex to the Ninth Circuit