Eleventh Circuit Holds that Paid “New Value” can Still Support a Preference Defense

Joining the Fourth, Fifth, Eighth and Ninth Circuit Courts of Appeal, the Eleventh Circuit recently held that new value does not need to remain unpaid in order to support the subsequent new value defense in a preference action. See Kaye v. Blue Bell Creameries, Inc. (In re BFW Liquidation, LLC), Case No. 17-13588, 2018 WL […]

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Eleventh Circuit Avoids Upstream Transfers as Fraudulent

The Eleventh Circuit recently avoided, as fraudulent transfers, certain liens pledged by subsidiaries to secure a $500 million loan made to their parent, Tousa, Inc.  See Senior Transeastern Lenders v. Official Comm. of Unsecured Creditors (In re Tousa, Inc.),  No. 11-11071, 2012 WL 1673910 (11th Cir. May 15, 2012).  These liens were avoided as upstream transfers that, pursuant […]

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