This post will inventory case law on the issues of enforcement of Florida mortgage as to

  • statute of limitation 
  • quiet title actions 

I will report and you decide. 

Statute of Limitations Cases"Contrary to Well-Established Florida Law"Diaz v. Deutsche Bank National Trust Co., et al., 2014 WL 4351411 (S.D. Fla., Sept. 2, 2014). In this case, the lender's foreclosure actions had previously been dismissed three times - even once with prejudice.  The homeowner sought a declaratory order that the note and mortgage were no longer enforceable based on the application the statute of limitations.

(posted 9 hours 1 min ago)

This post will inventory case law on the issues of enforcement of Florida mortgage as to

  • statute of limitation 
  • quiet title actions 

I will report and you decide. 

Statute of Limitations Cases"Contrary to Well-Established Florida Law"Diaz v. Deutsche Bank National Trust Co., et al., 2014 WL 4351411 (S.D. Fla., Sept. 2, 2014). In this case, the lender's foreclosure actions had previously been dismissed three times - even once with prejudice.  The homeowner sought a declaratory order that the note and mortgage were no longer enforceable based on the application the statute of limitations.

Miami Bankruptcy Law Blog
(posted 9 hours 1 min ago)

The Second Circuit has refused to hear Citibank's appeal of Judge Griesa's order enjoining Citi from making payment on USD-denominated, Argentine-law bonds. The Second Circuit's order is a bit... Delphic. Weighing in at all of 56 words, not counting citations, the court simply "decline[d] to find jurisdiction" because the district judge's order "is a clarification, not a modification" of the injunction. The distinction seems a bit fine, given the stakes. Recall that some USD-denominated, Argentine law bonds are Exchange Bonds (and thus subject to the injunction) while some are not. But it seems that it is impossible to tell them apart. Two options, then: (1) forbid Citi to pay anyone, even though NML concededly has no right to block payment on non-Exchange Bonds, or (2) allow Citi to pay everyone, thus allowing a subset of Exchange Bonds to escape the injunction. The district judge chose option one. In theory, the district judge can reconsider (re-clarify?) that decision, but I am not holding my breath.

Credit Slips
(posted 1 day 1 hour ago)

During the 2008 financial crisis and its aftermath, it became commonplace for a distressed bank to be taken over(night) by the Federal Deposit Insurance Corporation (FDIC) and then sold, that same day, to another bank (or bank holding company) that agreed to take on the depository liability associated with the failed bank in exchange for its assets (and customer base). Some banks, however, survived the tidal wave of takeovers. A recent decision by the United States Bankruptcy Court for the Middle District of Georgia in the involuntary chapter 7 case of In re FMB Bancshares, Inc. tells a new chapter in the life cycle of these nearly-failed banks—the possibility of their sale in chapter 11, something that is occurring with greater frequency in the past few years.
Background

(posted 1 day 7 hours ago)

Next week in bankruptcy, MF Global Inc. will ask a bankruptcy judge to authorize a $295 million payout to its creditors.
On Monday, Judge Martin Glenn of the U.S. Bankruptcy Court in Manhattan will hear the request.
Creditors have waited nearly three years as all but a few individual brokerage and commodity customers received 100% of payments owed.
The bulk of the money is earmarked for unsecured creditors, who would receive a first distribution of about 20% of what trustee James W. Giddens has agreed to pay.  Holders of secured, administrative and priority claims that have been resolved will get 100% of their money all at once.
Mr. Giddens has also asked for permission to create a reserve fund of more than $400 million for unresolved claims and to put a cap on their amounts.
On Wednesday, Atlantic City, N.J.’s Revel Casino Hotel will head to the auction block after closing its doors early this month after no buyers immediately stepped forward to save the newest addition to the city’s famed boardwalk from its second bankruptcy in as many years.
Revel, a glittering $2.4 billion resort that made its boardwalk debut in 2012, last week announced a deal with Florida real estate developer Glenn Straub. Mr. Straub has offered $90 million in cash, which is subject to rival offers at the auction.
The winning bid is also subject to approval from Judge Gloria Burns at a sale hearing currently scheduled for Sept. 30.

WSJ.com: Bankruptcy Beat
(posted 1 day 8 hours ago)

A new lawsuit seeks to hold M&I Bank, now owned by BMO Harris Bank, responsible for allegedly enabling Minnesota businessman Tom Petters to orchestrate a Ponzi scheme that cheated investors out of several billion dollars. The Wall Street Journal has the Daily Bankruptcy Review article here.
 (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit our homepage, scroll to the bottom and click “try for free.”)
Less than two months after entering Chapter 11 protection, Eagle Bulk Shipping Inc. won court approval Thursday morning of a bankruptcy-exit plan that cuts $975 million in debt from its balance sheet. WSJ has the DBR article here.
LightSquared blew through $81.4 million in August, and Philip Falcone’s wireless venture has now lost $1.6 billion since it filed for bankruptcy in May 2012, DBR reports via WSJ.

WSJ.com: Bankruptcy Beat
(posted 1 day 11 hours ago)

Ocwen Loan Servicing LLC v. Summit Bank, N.A. (In re Francis), 750 F.3d 754 (8th Cir. 2014) – A lender that attached the wrong legal description to its recorded mortgage sought equitable subrogation and/or reformation of the mortgage in order to … Continue reading →

(posted 1 day 15 hours ago)

federal courthouse bg
The Bankruptcy District of the United States Bankruptcy Court for the Western District of Kentucky is divided into Divisions. The Office of John Rogers, Attorney at Law focuses its practice in serving persons and businesses filing bankruptcy that reside in the Bowling Green Division which meets in the Federal Courthouse in Bowling Green, shown above. The Bowling Green Division contains the following Counties and Cites:
COUNTIES –
Adair Hart
Allen Logan
Barren Metcalfe
Butler Monroe
Casey Russell
Clinton Simpson
Cumberland Taylor
Edmonson Todd
Green Warren
COUNTIES AND THEIR CITIES
Adair County Cities
Columbia
Allen County Cities–
Scottsville
Barren County Cities–
Austin
Cave City
Hiseville
Glasgow
Eighty Eight
Etoile

(posted 2 days 5 hours ago)

Last year, the 112-year old retailer J.C. Penney was regularly in the news – and it was rarely good.  The stock was in a free-fall, in the process of dropping from about $20 per share in May 2013 to a low of a little more than $6 dollars per share in late October.  Media reports were grim, focusing on the attempt and failure of the former Apple executive Ron Johnson to turn the business around.  But now, as we approach the critical holiday season, J.C. Penney’s stock has quietly reached more than $11 per share, with a market capitalization of $3.4 billion on $12.16 billion in revenue for the trailing twelve-month period.  While a far cry from J.C. Penney’s all-time high of more than $80 per share in March 2007, the company at least seams to have bought itself some time. 
Instead of J.C. Penney, this year it may be Sears Holding Corp., the owner and operator of the 120-year old Sears — as well as the 115-year old S.S. Kresge Corporation,  renamed Kmart 50 years ago — that faces intense media and vendor scrutiny as we head towards the holidays.   Sears’ stock is down almost 50% in the last year, with a market cap of $3.2 billion on trailing twelve-month revenue of just under $35 billion.

Absolute Priority
(posted 2 days 6 hours ago)

Since it burst onto the Bankruptcy Code scene in 2005 with the passage of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), section 503(b)(9) of the Bankruptcy Code, which affords a creditor administrative priority for the value of goods the debtor received within 20 days prior to its bankruptcy filing, has been the subject of many bankruptcy decisions. The express language of section 503(b)(9) has come under heavy scrutiny, with much of the litigation surrounding section 503(b)(9) focusing on what constitutes a “good.” You can read about whether electricity, for example, is a “good” here, here, here and here.

(posted 2 days 7 hours ago)