Also known as: sobrantes · remainder · surplus
Written by attorneys — see sources below.
A remainder or excess amount after prior claims or obligations are satisfied.
Summit Bank foreclosed on Samantha Stone's mortgaged property and sold it for more than the outstanding debt plus costs. After paying the senior lien, the excess proceeds were paid first to a junior lienholder and then to Stone as the mortgagor. The sobrante was distributed according to state law governing surplus after foreclosure.
Skylar Sullivan signed a loan agreement containing an unconscionable interest provision. The court refused to enforce that term but upheld the remainder of the contract. The sobrante of enforceable obligations continued to bind Sullivan after the unconscionable clause was severed.
Sabrina Shah was the remainder beneficiary of a trust whose outright distribution would have been consumed by medical costs. The court converted her interest into a special-needs trust. The sobrante assets were preserved for Shah's benefit while still fulfilling the settlor's purpose.
Sentinel Security, a limited partnership, wound up its affairs after satisfying creditor claims. The sobrante was first returned to partners for unreturned contributions and then distributed proportionally according to their transferable interests.
Sapphire Holdings, an LLC, completed winding up and paid all creditors. The sobrante was allocated first to members for unreturned contributions and then among members in proportion to their rights to distributions immediately before dissolution.
Stella Shapiro's utility company challenged a state order restricting promotional advertising. The court applied intermediate scrutiny and upheld the regulation as narrowly tailored. The sobrante of protected speech remained available for nonpromotional communications after the restriction was sustained.
In December 1973, the Public Service Commission ordered electric utilities in New York State to cease all advertising that promoted the use of electricity because the interconnected utility system lacked sufficient fuel stocks for the 1973-1974 winter. The order rested on the Commission's finding that the system did not have sufficient fuel stocks or sources of supply to meet customer demands. Three years later, when the fuel shortage had eased, the Commission requested comments from the public on its proposal to continue the ban on promotional advertising. Central Hudson Gas & Electric Corp. opposed the ban on First Amendment grounds. After reviewing the public comments, the Commission extended the prohibition in a Policy Statement issued on February 25, 1977. The Policy Statement divided advertising expenses into promotional and institutional categories. It permitted informational advertising designed to encourage shifts of consumption from peak demand times to periods of low electricity demand. The Commission banned promotional advertising because additional electricity would be more expensive to produce and promotional advertising would give misleading signals to the public. Central Hudson challenged the order in state court. The order was upheld through the New York Court of Appeals. The Supreme Court noted probable jurisdiction and reversed.
View caseAfter senior claims are paid, sobrante is first distributed to junior lienholders and then to the mortgagor under state law.
A court may sever the unconscionable term and enforce the remainder of the contract, leaving the sobrante of valid obligations intact.
Yes, under expanded equitable deviation a court may alter dispositive provisions when unanticipated circumstances would otherwise defeat the settlor's purpose.
After creditors are paid, sobrante first returns unreturned contributions and then is allocated proportionally among transferable interests.
Sobrante first satisfies unreturned contributions and then is distributed in proportion to pre-dissolution distribution rights.
…to include same-sex couples. The highest courts of five States have decreed that same result under their own Constitutions. The remainder of the States retain the traditional definition of marriage. Petitioners brought lawsuits contending that the Due Process and Equal Protection Clauses of the Fourteenth Amendment compel…