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Brett Kavanaugh Breaks With Supreme Court Over Bankruptcy Loophole Case

Brett Kavanaugh Breaks With Supreme Court Over Bankruptcy Loophole Case

Summary

Supreme Court Justice Brett Kavanaugh disagreed with other justices and wanted to hear a bankruptcy case involving Hertz and Wells Fargo. The Supreme Court decided not to review the case, so the lower court's decision stands. This case involves disputes over payments following Hertz's bankruptcy.

Key Facts

  • Justice Brett Kavanaugh wanted the Supreme Court to review a bankruptcy-related case.
  • The case involves Hertz filing for bankruptcy under Chapter 11 during the COVID-19 pandemic.
  • Hertz proposed a reorganization plan to pay creditors, including Wells Fargo, but there were disputes over additional payments.
  • The U.S. Court of Appeals for the Third Circuit ruled that Hertz must pay certain premiums and interest.
  • Hertz argued that the bankruptcy law should prevent creditors from claiming more money than specified.
  • Wells Fargo argued that creditors should receive full repayment, including certain interest and premiums.
  • The Supreme Court declined to review the case, so the lower court's decision remains in effect.

Source Information