Q: I was appointed receiver for some major assets owned by a corporation. I just learned the corporation has filed bankruptcy. I know I have to eventually turnover the assets I have. Can I wait to see if the bankruptcy sticks or if a trustee is appointed? Can I demand the corporation pay for the cost of my turning over the assets?

A: No and no (although you may have a claim for the cost). As most receivers know, if a bankruptcy is filed that involves an entity or assets in receivership, the receiver must turnover any property of the debtor in the receiver’s possession to the debtor or, if one is ...

In Stern V. Marshall, ____ U.S ___, 131 S. Ct. 2594 (2011), the Supreme Court held that bankruptcy courts cannot issue final judgments on state law counterclaims even though they are “core proceeding”. Stern V. Marshall is the bankruptcy courts’ equivalent of Dickens’ “Bleak House”. Like in “Bleak House”, by the time the litigation concluded, all the initial participants were dead. Although the litigants are deceased, the case continues to haunt the bankruptcy court system. Stern V. Marshall’s meaning and effects are still being litigated. Indeed, there have ...