Collateral Surcharge : Claims

Collateral Surcharge

Eighth Circuit: Secured Creditor's Collateral can be Surcharged to Pay for Chapter 11 Administrative Expenses
Charles R. Sterbach of Gallagher & Kennedy, P.A.

A Chapter 11 debtor's post-bankruptcy workers' compensation premiums can be surcharged against a secured creditor's.
Supreme Court Resolves Issue Of Standing under Bankruptcy Code Section 506(c)
John J. Rapisardi and Kathryn L. Turner of Weil, Gotshal & Manges LLP

This article summarizes Hartford Underwriters Insurance Company v. Union Planters Bank whereby the Supreme Court resolved the standing issue by holding that non-trustee third parties do not have standing under section 506(c) of the Bankruptcy Code to surcharge a lien holder's collateral.
Eighth Circuit Holds Only Trustee Can Surcharge Collateral Under Section 506(c)
Reginald A. Greene of Weil, Gotshal & Manges LLP

This article examines the Eighth Circuit Court of Appeals' ruling in Hartford Underwriters Insurance Company v. Magna Bank.
Secured Creditor Surcharged For Agreeing To Debtor's Continued Operation
Jaffe Raitt Heuer & Weiss, P.C.

If an Eighth Circuit decision remains good law, creditors may lose some of their collateral in a debtor's .