Cleary Packaging News Today

Established in 2015 as a trusted neutral forum to meet increasing demand for effective transnational dispute resolution, the Singapore International Commercial Court (the "SICC")...

U.S. Court of Appeals for the 4th Circuit Contract; damages: Where a tenant argued the landlord received an improper windfall because it was awarded both late fees and interest for a breach, that argument was rejected. The parties’ lease allowed the landlord to recover both late fees and interest in the event of a breach. ...

If a business engages in bad behavior like intentional interference with contract and tortious interference with business relations, then it may not use Subchapter V of Chapter 11 to...

Subchapter V eliminates the absolute priority rule creating a less expensive Chapter 11 reorganization path for small business debtors.  To confirm a plan, the bankruptcy court need only find it is feasible and projected disposable income will be paid to creditors

Subchapter V includes a specific provision which excepts from discharge debts for willful and malicious injury by the debtor to another to another entity or to the property of another entity.

In 2019, Congress enacted the Small Business Reorganization Act. This legislation created a new type of Chapter 11 reorganization under which certain businesses with total debts less...

In re Cleary Packaging, LLC No. 21-1981 signals a departure from the trend of lower courts that have considered the issue and places more pressure on subchapter V debtors to confirm consensual plans in the Fourth Circuit.

On June 7, 2022, the Fourth Circuit Court of Appeals unanimously held that the exceptions to discharge found in section 523(a) of the Bankruptcy Code, which ordinarily exclusively apply...

As discussed in prior posts and articles (here, here and here), in 2019 Congress passed the Small Business Reorganization Act creating new Subchapter V of Chapter 11 of the Bankruptcy...

Fourth Circuit decision In re Cleary Packaging, LLC, clarified in some Subchapter V cases, statutory exceptions to bankruptcy discharge applies to corporate debtors, a significant shift in Bankruptcy Code Chapter 11 corporate reorganization law.