Business Law

The Spring equinox has arrived in a fabulous fashion, bringing with it a brief intermission to the veritable monsoon season across our glorious, golden state. Read more

The Seventh Circuit Court of Appeals (the Court) recently held that an order, which arose from a workers’ compensation action, directing a debtor’s employer to deposit funds in debtor’s lawyer’s trust account for payments to medical creditors created an express trust such that the funds were excluded from the debtor’s chapter 7 bankruptcy estate and he was not entitled to claim an exemption in them.  Ryan v. Branko Prpa MD, LLC, 55 F.4th 1108 (7th Cir. 2022). Read more

Hotel that lost business during COVID-19 shut-downs did not show it lost business income due to “direct physical loss or damage” of its property entitling it to insurance coverage. Best Rest Motel, Inc. v. Sequoia Insurance Company (2023) __ Cal.App.5th __. Read more

The United States District Court for the Southern District of Indiana (the Court) recently ruled that the bankruptcy removal statute did not permit taxpayers to remove the federal government’s suit seeking to reduce tax liabilities to judgment to the bankruptcy court, notwithstanding the debtors’ assertions that the tax liability was discharged in a prior chapter 7 case.  Read more

The Second Circuit Court of Appeals (the Court) held that when the question of whether student debt has been discharged in a prior bankruptcy is subject to a legal, not factual, dispute, a credit reporting agency that shows the debt as outstanding and past due on a credit report is not in violation of 15 U.S.C. § 1681e(b) of the Fair Credit Reporting Act (“FCRA). Mader v. Experian Info. Sols., Inc., 56 F.4th 264 (2d Cir. 2023). Read more

Ubaldo and Leobardo Lopez were allegedly injured when the American Medical Response West (AMR) ambulance in which Leobardo was being transported collided with another vehicle. Read more

The Ninth Circuit Court of Appeals (the Court) recently ruled that a student financial aid advisor, who mailed solicitation packets to current and prospective college students pertaining to their ability to apply for scholarships and grants in aid, was a “covered person” subject to the Consumer Financial Protection Bureau’s (CPFB) civil enforcement authority and that the net impression of the solicitations was deceptive.  Consumer Fin. Prot. Bureau v. Aria, 54 F.4th 1168 (9th Cir. 2022). Read more

In Milestone Financial, LLC v. Moon, (In re Moon), 648 B.R. 73 (B.A.P. 9th Cir. 2023), the Bankruptcy Appellate Panel for the Ninth Circuit (“BAP”) recently affirmed a bankruptcy court decision which had concluded that: (1) a forbearance agreement was usurious and not exempted from usury just because the orginal loan might have been exempt and (2) the creditor was entitled to post-maturity interest on the loan under California law.  Read more

Nursing facility’s arbitration agreement is unenforceable against cognitively impaired patient. Read more

The LLC, or Limited Liability Company, is a unique business entity that has many financial and social benefits. Falling somewhere between a general partnership and a more formal corporation, the LLC creates a layer of protection for individual members and offers great tax incentives. Read more