Block on Trump's Asylum Ban Upheld by Supreme Court
In re: Kalikow, No. 08-5268, involved creditors' appeal from the district court's affirmance of the bankruptcy court's order granting former debtors' motion to reopen Chapter 11 proceedings, impose sanctions against creditors, and award costs and fees to debtors. The Second Circuit affirmed in part on the grounds that 1) proper service on creditors' law firm constituted proper service on them; and 2) the district court did not err in concluding that the debtor's Enforcement Motion did not seek a new injunction but, rather, sought to enforce an injunction already in place -- one that was created by sections 1141 and 524 of the Bankruptcy Code and the express terms of the Plan and Confirmation Order. However, the court reversed in part, holding that the creditors were not holders of pre-confirmation claims discharged in bankruptcy who would normally be bound by the provisions of the Plan, and thus the sanctions awarded against them were improper.
Guirlando v. T.C. Ziraat Bankasi A.S., No. 09-0478, involved an action for negligence and breach of fiduciary duty in enabling plaintiff's husband to withdraw most of her life savings from a newly established bank account in Turkey. The Second Circuit affirmed the dismissal of the complaint, holding that the bank was immune from suit under the Foreign Sovereign Immunities Act because none of defendant bank employees' acts, while in Turkey, of 1) telling plaintiff that she could not open an individual checking account, 2) causing her to open a disjunctive joint account from which funds could be withdrawn by one joint owner without the consent of the other, and 3) notifying plaintiff's husband, rather than plaintiff, when the funds had arrived in the new account, had a "direct effect" in the U.S.
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