Legal Opinion

Centre Insurance v. SNTL Corp. (In Re SNTL Corp.)

United States Bankruptcy Appellate Panel for the Ninth Circuit

Decided December 19, 2007No. BAP CC-06-1350-MoDK; Bankruptcy SV 00-14099-GM to 00-14102-GM, SV 02-14236-GM, SV 02-14239-GMPublishedCited by 14 opinions

1Opinion of the Court

OPINION

MONTALI, Bankruptcy Judge.

In this complicated and high-stakes case, we apply a somewhat obscure doctrine that involves the intersection of insolvency law principles and guaranty law, illustrating the temporal nature of a release of a guarantor when a voidable preference is recovered from the obligee. We also will be one of the first courts to address a question left unanswered by the Supreme Court earlier this year: May an unsecured creditor include attorneys’ fees incurred postpetition but arising from a prepetition contract as part of its unsecured claim?

Here a creditor contended…

2Cases cited28 opinions

  1. United Sav. Assn. of Tex. v. Timbers of Inwood Forest Associates, Ltd.Supreme Court of the United States · 1988
  2. Travelers Casualty & Surety Co. of America v. Pacific Gas & Electric Co.Supreme Court of the United States · 2007
  3. In Re All Media Properties, Inc.United States Bankruptcy Court, S.D. Texas · 1980
  4. In Re Robert Burns Jensen Rosemary Tooker Jensen, Debtors. California Department of Health Services v. Robert Burns Jensen Rosemary Tooker JensenCourt of Appeals for the Ninth Circuit · 1993
  5. In Re Elmer FOBIAN and Elsie Fobian, Debtors. Elmer FOBIAN and Elsie Fobian, Appellants, v. WESTERN FARM CREDIT BANK, AppelleeCourt of Appeals for the Ninth Circuit · 1991

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3Cited by14 opinions

  1. SNTL Corp. v. Centre InsuranceCourt of Appeals for the Ninth Circuit · 2009
  2. Kilborn v. Haun (In Re Haun)United States Bankruptcy Court, D. Idaho · 2008
  3. Coles v. GlaserCalifornia Court of Appeal · 2016
  4. Feldman v. Chase Home Finance (In Re Image Masters, Inc.)United States Bankruptcy Court, E.D. Pennsylvania · 2009
  5. Minority Voting Trust v. Orange County Nursery, Inc. (In Re Orange County Nursery, Inc.)District Court, C.D. California · 2010

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