On January 10, the United States Bankruptcy Appellate Panel of the Tenth Circuit decided that a trustee could not recover payments to satisfy a debt onto which an unperfected lien had attached. Because the creditor could have perfected the lien, which would then have been nondischargeable in bankruptcy, the creditor did not receive more than its fair share by being paid in full within the 90 days before the bankruptcy filing. Thus, the Trustee could not satisfy all the statutory requirements of a preference action.
The opinion is available at: http://www.bap10.uscourts.gov/bap/opinions/pdf/05-46.pdf
Mac
This entry was posted on Monday, January 23rd, 2006 at 1:41 pm and is filed under Announcements.
