Justia Bankruptcy Opinion Summaries

Articles Posted in US Court of Appeals for the Federal Circuit

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Plaintiffs are a putative class of individuals who asserted personal injury claims against Old GM, and whose successor liability claims were extinguished during bankruptcy. Plaintiffs filed suit on behalf of themselves and others similarly situated, relying on A & D Auto Sales, Inc. v. United States, 748 F.3d 1142 (Fed. Cir. 2014), to allege that the extinguishment of their claims without just compensation violated the Takings Clause of the Fifth Amendment. In regard to the claims alleging coercion of Old GM, the Federal Circuit held that the statute of limitations had run when plaintiffs filed their complaint six years after their claims accrued. However, in regard to plaintiff's claim that the government had coerced the bankruptcy court and the district court, the court held that plaintiffs' claims were not within the claims court's jurisdiction. Finally, the court need not address the question of whether plaintiffs have sufficiently alleged a loss of value of their alleged property interests. Accordingly, the court affirmed the judgment. View "Campbell v. United States" on Justia Law