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Full-Text Articles in Bankruptcy Law
A Rule Unvanquished: The New Value Exception To The Absolute Priority Rule, Clifford S. Harris
A Rule Unvanquished: The New Value Exception To The Absolute Priority Rule, Clifford S. Harris
Michigan Law Review
This Note examines whether the new value exception remains part of the revised Bankruptcy Code. Part I discusses the background of the new value exception. Part II traces the development of the conflict concerning the survival of the new value exception subsequent to the adoption of the Code. It then discusses the Supreme Court's opinions in Mid/antic National Bank v. New Jersey Department of Environmental Protection and its progeny, which established the methodology for determining the impact of the revised Bankruptcy Code on preexisting bankruptcy law. Based on an analysis of the Midlantic doctrine, Part II concludes that Congress did …
The Transformation Rule Under Section 522 Of The Bankruptcy Code Of 1978, Raymond B. Check
The Transformation Rule Under Section 522 Of The Bankruptcy Code Of 1978, Raymond B. Check
Michigan Law Review
This Note rejects the statutory arguments that have been advanced in favor of the transformation rule, and argues that the rule is inconsistent with both the policies motivating section 522 of the Bankruptcy Code and the overall purposes of the U.C.C. priority system. Part I examines the treatment of purchase money security in the U.C.C. scheme. It also describes the exemption provisions of the 1978 Bankruptcy Code and the legislative concerns that shaped those provisions. Part II summarizes the judicial adoption of the transformation rule and the statutory basis relied upon by courts in applying it. Part III argues that …