https://ny.curbed.com/2019/6/24/18715604/tlc-nyc-council-proposes-crackdown-predatory-taxi-medallion

https://www.insidehighered.com/quicktakes/2019/06/26/lawmakers-reconsider-bankruptcy-student-loans

The May 2019 TLC medallion sales data has posted and there were approximately 37 transfers, 27 transfers were the result of foreclosures. Of the non-foreclosure transfers the prices ranged from a low of $100,00 to a high of $230,000, with an average price of approximately $168,000. A couple of points to consider: 1. 73% of the transfers were a result of foreclosures, which indicate that many medallion owners are abandoning their “under water” medallions to their banks, 2. Sales volume remains low and 3. Medallion prices continue to fall and remain low. Any medallion owners needing legal advice regarding their “under water” should contact Jim Shenwick at 212 541 6224 or [email protected] MAY 2019 MEDALLION SALES CHART  Asset Sales Medallion Classification Prices Notes Number of Medallions Wheelchair Accessible N/A Alternative Fuel $175,000.00 1 Unrestricted $400,000.00 Foreclosure 2 $400,000.00 Foreclosure 2 $300,000.00 2 $300,000.00 2 $250,000.00 Foreclosure 2 $235,000.00 Foreclosure 1 $230,000.00 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 1 $215,000.00 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,0The May 2019 TLC medallion sales data has posted and there were approximately 37 transfers, 27 transfers were the result of foreclosures. Of the non-foreclosure transfers the prices ranged from a low of $100,00 to a high of $230,000, with an average price of approximately $168,000. A couple of points to consider: 1. 73% of the transfers were a result of foreclosures, which indicate that many medallion owners are abandoning their “under water” medallions to their banks, 2. Sales volume remains low and 3. Medallion prices continue to fall and remain low. Any medallion owners needing legal advice regarding their “under water” should contact Jim Shenwick at 212 541 6224 or [email protected] MAY 2019 MEDALLION SALES CHART  Asset Sales Medallion Classification Prices Notes Number of Medallions Wheelchair Accessible N/A Alternative Fuel $175,000.00 1 Unrestricted $400,000.00 Foreclosure 2 $400,000.00 Foreclosure 2 $300,000.00 2 $300,000.00 2 $250,000.00 Foreclosure 2 $235,000.00 Foreclosure 1 $230,000.00 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 Foreclosure 1 $225,000.00 1 $215,000.00 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $175,000.00 Foreclosure 1 $170,000.00 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $165,000.00 Foreclosure 1 $158,000.00 1 $115,000.00 1 $100,000.00 1 $0.00 Individual to LLC 1 $0.00 Estate 1 Stock Transfers Prices Notes Number of Medallions Wheelchair Accessible N/A Alternative Fuel N/A Unrestricted N/A  00.00 Foreclosure 1 $200,000.00 Foreclosure 1 $200,000.00 Foreclosure 1 $175,000.00 Foreclosure 1 $170,000.00 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $170,000.00 Foreclosure 1 $165,000.00 Foreclosure 1 $158,000.00 1 $115,000.00 1 $100,000.00 1 $0.00 Individual to LLC 1 $0.00 Estate 1 Stock Transfers Prices Notes Number of Medallions Wheelchair Accessible N/A Alternative Fuel N/A Unrestricted N/A

Gotham Gazette.com/city/8621-council-to-examine-city-s-role-in-taxi-medallion-crisis

These 2020 Presidential Candidates Want To Cancel Your Student Loan Debt And Make College Free

Bankruptcy Guide: What Can YOU Discharge on Your Bankruptcy? Bankruptcy offers an excellent way to get debt relief for many. In some cases, it allows you to get rid of debts completely, and in some cases, it allows you to refinance your debts under one repayment plan that will pay off all or most of your debts in a three- to five-year time frame. Exactly what you can discharge depends on what kind of bankruptcy you file and the specific circumstances of your case. You will be able to discharge most of your debts in a Chapter 7 bankruptcy filing, if you are able to qualify for it. To qualify for Chapter 7 bankruptcy, you need to meet guidelines for income and more. Some of your debts will be exempt from the filing, such as your student loans, and you may be able to keep some assets if you don’t have too much equity in them, such as your house or car. Here are some of the other debts you can discharge in a Chapter 7 bankruptcy filing: Credit Cards Credit card debt is the most common type of debt discharged in a Chapter 7 bankruptcy filing. Credit card debt is unsecured debt, which means that is it not backed by any collateral, such as real estate or other personal property. Credit card companies can use legal bill collection methods to fulfill this debt, but they cannot go after your personal property. If you file Chapter 7 bankruptcy, you can discharge all of your credit card debt, no matter how much it is. If you file Chapter 13, you will pay toward your debt through the term of the repayment plan. Any remaining debt at the end of the plan can be discharged. Personal Loans Personal loans are also often unsecured. Payday loans and bank loans are usually offered on the basis of your income or your credit. Even if you get a loan with collateral, such as a pawn loan or title loan, the company can still come after you for what’s owed after the collateral is sold. There can still be a lot left over with the excessive interest and penalties that accompany these loans. Chapter 7 bankruptcy can discharge these debts entirely. As with credit card debt, any amount remaining from these loans under a Chapter 13 filing may also be discharged after the repayment period is over. Medical Bills Medical bills can add up quickly. In fact, they are often the thing that pushes many people into filing for bankruptcy. You can have one surgery and end up hundreds of thousands of dollars in debt. Other people get cancer and lose their homes. Or they have a heart attack and lose their savings. So long as you don’t have assets that fall outside the exemptions, you should be able to discharge all of your medical debt with a Chapter 7 bankruptcy filing. Home Loan Most people want to keep their homes when they file for bankruptcy, and doing so requires continuing to pay the mortgage. However, if you don’t want to keep your home, you can declare Chapter 7 bankruptcy and let the bank take the house. The bank will sell it and get back what it can of the debt, and the rest will be discharged in the bankruptcy. Car Loan A car is like a home. It is a secured debt backed by the property being financed, in this case the vehicle itself. If you don’t mind losing your vehicle, you can declare bankruptcy and let the financing company reclaim it. The remaining debt will be discharged under the bankruptcy. In some cases, losing property and starting from scratch is preferable to struggling to pay a mortgage payment or car payment you can no longer afford. Even if you want to keep those assets, filing for bankruptcy can get you out from under the weight of other debts, such as credit cards, personal loans, and medical bills. If you file for Chapter 13 bankruptcy, you can get a more manageable repayment plan and possibly discharge a portion of your debts. You’ll need to talk to a bankruptcy attorney to find out what’s possible for you. The bankruptcy attorneys at My AZ Lawyers can help you understand which bankruptcy filing might be the best option for you. They will review the guidelines for each with you, and help you understand how each might benefit you. Our goal is to help you get the debt relief you need as quickly as possible with as few drawbacks as possible. Call us in Arizona today to talk with an experienced bankruptcy lawyer about your options for debt relief. Published By: My AZ Lawyers Mesa Location: 1731 West Baseline Rd., Suite #100 Mesa, AZ 85202 Office: (480) 448-9800 Glendale Location: 20325 N 51st Avenue Suite #134, Building 5 Glendale, AZ 85308 Office: (602) 509-0955 Tucson Location: 2 East Congress St., Suite #900-6A Tucson, AZ 85701 Office: (520) 441-1450 Avondale Location: 12725 W. Indian School Rd., Ste E, #101 Avondale, AZ 85392 Office: (623) 399-4222 The post Bankruptcy Guide: What Can YOU Discharge on Your Bankruptcy? appeared first on My AZ Lawyers.

  In the last case on this blog the court declined to award emotional distress damages, finding inadequate support in the record for them.   Emotional distress damages were awarded, and the award sustained on appeal in Hunsaker v United States, 2019 U.S. Dist. LEXIS 104433, Case #6:16-cv-00386-MC (S.D. Or., 20 June 2019).   Here the court awarded sanctions under 11 U.S.C. 362(k) against the IRS for repeated violations of the automatic stay.  The Hunsakers had filed for relief under chapter 13 on 5 November 2012.  The IRS sent four notices demanding payment of back taxes started 2 December 2013 titled Final Notice and Notice of Intent to Levy.   After each notice counsel for the Debtors notified the IRS.  The 9th Circuit had previously determined that the claim was not barred by Sovereign Immunity.1  In order to receive an award of emotional distress damages the plaintiff must (1) suffer significant harm; (2) clearly establish the significant harm, and (3) demonstrate a causal connection between that significant harm and the violation of the automatic stay (as distinct, for instance, from the anxiety and pressures inherent in the bankruptcy process).2  There is no requirement that the violation be egregious or that there be corroborating evidence, if the circumstances make it obvious that a reasonable person would suffer significant emotional harm.3  The trial court found that the evidence showed the IRS sent the notices, two of which threatened to levy Mr. Hunsacker's social security benefits, and another threatening to levy the state tax refund.  The notices continued after notice from Debtors' counsel.  The court found that the Debtors reasonably believed that if the IRS took the actions threatened, it would jeopardize their chapter 13.  Such finding is supported by Mr. Hunsacker's testimony that he was 'quite shoked' upon receiving the notice, and his belief that the IRS could take the actions threatened.   Further, the evidence supported the credible and significant emotional harm.  Mrs. Hunsacker testified that she experienced day-long migraine headaches, stiffening of her neck, appetite loss, and added anxiety and frustration.  Mr. Hunsacker experiences loss of appetite and extra stress over his wife's harm.  They both feared loss of the social security benefits on top of the loss of income causing the initial bankruptcy filing, rendering their plan unfeasible.  The Bankruptcy Court reduced the request for $4,000 emotional distress damages to $4,000 for both of them.  The District Court found the lower court had applied the correct legal rule and that it's findings were supported by the record, and affirmed the decision.1 Hunsaker v United States, 902 F.3d 963 (9th Cir. 2018) (finding that 11 U.S.C. §106(a) unambiguously waived sovereign immunity for emotional distress damages under 11 U.S.C. 362(k)↩2 In re Dawson, 390 F.3d 1139, 1149 (9th Cir. 2004).↩3 Id. at 1150↩Michael BarnettMichael Barnett, PA506 N Armenia Ave.Tampa, FL 33609-1703813 870-3100https://hillsboroughbankruptcy.com

“PERSONAL BANKRUPTCY IN 2019” OUTLINE FOR PRESENTATION AT WORLD WIDE LAND TRANSFER122 EAST 42ND STREET, SUITE 620NEW YORK, NY 10168PHONE: (212) 541-6224FAX: (646) 218-4600E-MAIL: [email protected] The goal of this presentation is to discuss issues and the law regarding filing for personalbankruptcy in NYS in 2019.1. The process begins with the client preparing three pieces of information:1. A list of assets or property that they own,2. A list of liabilities or who they owe money to and3. An after-tax monthly budget.-With this information and a 45 minute to one-hour consultation with the client, a determination can be made if the client should file for bankruptcy or not, what remedies are available to the client outside of bankruptcy under NYS law and what type of bankruptcy would most help the client.-What is the goal of personal bankruptcy? To allow the client to keep as much property as possible and to discharge (legally wipe out) as much debt as possible or obtain “the fresh start” for the client.2. Types of Personal Bankruptcy.  There are three (3) types of personal bankruptcy:chapter 11, chapter 13 and chapter 7-Chapter 11 is most commonly used to reorganize businesses but is sometimes used by high net worth individuals who have too much debt to qualify for chapter 13.  It is a very expensive process.-Chapter 7 is known as a liquidation and “fresh start.” If you only have credit card debt and exempt assets, you would file a chapter 7 bankruptcy.  You can only file for chapter 7 bankruptcy once every eight years.--Approximately 90 to 95% of our clients file chapter 7 bankruptcy.-Chapter 13 is known as a “wage earner reorganization”–it is a blend of chapter 7 and chapter 11. If you had a house or a car that you wanted to keep, then you would file a chapter 13 bankruptcy.  If your debts were discharged in a prior Chapter 13 case, you cannot receive a discharge in a subsequent Chapter 13 unless it is filed at least two years after the date the first case was filed.3. Median Income and Means Test.  Effective May 1, 2019, if a single person in New York State has income in excess of $55,333, then they fail the Median Income Test and they must take the “Means Test” to determine whether they qualify to file for chapter 7 bankruptcy (liquidation of debts). For a family of two, the income threshold for the Median Income Test is $71,343, for a family of three it is $83,887 and for a family of four it is $102,384. Add $9,000 for each individual in excess of four. -To perform the Median Income Test, you need to determine your gross monthly income for the last six months, subtract Social Security and Victims of Terror payments, divide this figure by six and multiply the result by 12. This figure is your annualized current monthly income (CMI). Compare your annualized CMI to the applicable Median Family Income as provided above. If you fail the Median Income Test provided above, then you must take the “Means Test.”-The “Means Test” is an extremely complex test consisting of six pages of calculations! In its simplest form, you take your gross monthly income and subtract certain expenses based on the IRS National Standards, Local Standards and other actual expenses to calculate your monthly disposable income.-This is one of the most complex calculations under the law; it is very difficult to do without a computer program and it is a six to eight-page calculation!-If the majority of a Debtor’s debts are “business debts,” then they do not need to take the Means test, even if their income exceeds the Median Income for their state and family size.4. Chapter 13.  There are several requirements to file a chapter 13 bankruptcy-(a) $419,275 or less of unsecured debt; and (ii) $1,257,850 or less of secured debt; (iii) you most devote all of your disposable income (income after taxes and other living expenses) to the plan; (iv) the plan may range from three (3) to five (5) years; (v) your creditors must get $1 more that they would get in a chapter 7 filing (liquidation analysis and best interest of creditors test); and (vi) as a general rule, if you have a lot of equity in your property and not a lot of disposable income. then it is not possible to confirm a chapter 13 plan.-The Debtor’s attorney must do a liquidation analysis and determine how much the Debtor must pay each month to fund the plan-The Chapter 13 Bankruptcy Trustee receives a 10% commission on each plan payment.5. Exemptions-Debtor may choose NYS or Federal Exemptions. Exemptions are calculated at the time a Debtor files a Bankruptcy Petition with the Bankruptcy Court.-NYS law determines what property is exempt from creditors and what property is not exempt.  Non–exempt property can be reached by your creditors and exempt property can be kept after the discharge. -Common exemptions include up to $1,150 for jewelry, a watch and art;-$1,150 in personal property, bank account or cash (if no homestead exemption is taken); $3,400 for tools of trade, necessary working tools and implements necessary for profession or calling; and-$170,825 of equity for a homestead (or $341,650 in equity for joint debtors).However, debtors can also choose to use a federal exemption scheme instead of the NYS exemption scheme.  We sometimes advise debtors to use the federal exemption scheme when they do not own real estate and have other assets that they need to protect, since the federal “wildcard” exemption can exempt up to $1,325 plus up to $12,575 of any unused federal homestead exemption, for a total of $13,900. 6. Automatic Stay.  When a bankruptcy petition is filed, the automatic stay pursuant to § 362 of the Bankruptcy Code comes into effect-and no creditors can sue you, garnish your wages or restrain your checking or savings account.7. Bankruptcy Trustee.  When a bankruptcy petition is filed, a trustee is appointed to administer the estate, and his or her job is to liquidate the non–exempt assets; most chapter 7 cases are no asset cases.  There are chapter 7 and chapter 13 Trustees. In a chapter 13 case, the trustee will review the plan and related documents and make a recommendation as to whether the plan should be confirmed. If the plan is confirmed, he or she collects the debtor’s payments into the plan and distributes them to creditors.8. Benefits of Bankruptcy. (A) Discharge-the goal of a chapter 7 filing is to get a discharge, which means that all the dischargeable debts listed in the bankruptcy petition are wiped out-it is important to list all creditors on the petition with the correct addresses; and (B) It may improve a person’s creditworthiness. Certain debts such as recent taxes, student loans, fraud and drunk driving awards are non-dischargeable. See section 727 and 523 of the Bankruptcy Code.9. Property of the Estate-(1) tax refunds, (2) causes of action where Debtor is the plaintiff (such as a personal injury lawsuit); and (3) inheritances within 180 days of the filing are subject to the reach of your creditors. -Under the NYS exemption scheme, a personal injury payment up to $8,550 for bodily injury, not including pain and suffering or compensation for actual pecuniary loss, is exempt from the Debtor’s bankruptcy estate.10. Taxes-as a general rule “old” “income taxes” can be discharged. Trust fund taxes such as sales taxes and the employee’s portion of employment taxes (FICA/FUTA) are non-dischargeable.The following conditions all need to be met for taxes to be dischargeable in bankruptcy:(a) The tax year in question is more than three years prior to filing the bankruptcy (counted from last date the return is due for that year, including extensions);(b) The tax in question has been assessed more than 240 days prior to the filing the bankruptcy;(c) The tax return for the year in question was filed at least more than two years prior to the bankruptcy filing (substitute returns don’t count);(d) The tax return was non-fraudulent and there is no showing of willful evasion of payment of a lawful tax; and (e) The claim is unsecured: if secured, the tax is discharged as to the debtor personally (in personam liability) but the lien is still valid as to any property it has attached to (in rem liability).-To discharge taxes client will need to obtain a tax transcript from IRS, which lists the nature of taxes owed and year for which taxes are due11. Student Loans-In the 2nd Circuit and many other circuit courts of appeal, courts follow the Brunner “undue hardship” test (based on Brunner v. New York State Higher Education Services Corp., 831 F.2d 395 (2nd Cir. 1987)), which requires a three part finding for a student loan to be dischargeable in bankruptcy: (1) that the debtor cannot maintain, based on current income and expenses, a “minimal” standard of living for herself and her dependents if forced to repay the loans; (2) that additional circumstances exist indicating that this state of affairs is likely to persist for a significant portion of the repayment period of the student loans; and (3) that the debtor has made good faith efforts to repay the loans.-Recently many judges, law professors and bankruptcy practitioners have started advocating for a more liberal test to discharge student loans other than the Brunner test.12. Exception to discharge under § 523(a)(2)(C)–purchase of more than $725 in luxury goods or services in 90 days prior to filing or cash advances aggregating more than $1,000 in the 70 days prior to filing.13. Other exceptions to discharge under § 523-intentional torts, fraud, defalcation and alimony, maintenance and support for a spouse or child in connection with a separation agreement or divorce decree. 14. Negatives of a chapter 7 Bankruptcy Filing-chapter 7 can only be filed once every eight years and a filing will stay on a credit report for 10 years.15. Reaffirmation Agreement-if you want to retain an asset and money is owed to a creditor with respect to that property, you can file a form with the Bankruptcy Court and reaffirm the debt-which means that you agree to repay the debt as if you had not filed for bankruptcy. The Bankruptcy Judge will review the Reaffirmation Agreement to determine if the Debtor needs to retain or keep that asset (is there a business reason for the reaffirmation?). Example reaffirming a car lease or a car loan for a car that the Debtor needs for business reasons.-You can keep a credit card with a zero balance.16. Credit Rehabilitation-Earn as much as you can, save as much as you can, get a securitized credit card, charge on it, pay it down and then get the credit limit increased.17. Adversary Proceeding-an action in your bankruptcy case by your creditors objecting to your discharge with respect to a debt-potential grounds include fraud, false financial statements or constructive fraud-when was last time the debtor took a cash advance or purchased luxury goods or services?18. Fraudulent Conveyances and Preferences. -A fraudulent conveyance is where you transfer property to a third party without fair consideration, and the statute of limitations under NYS law is six years. -A preference is where one creditor is preferred over another similar creditor, and the key time periods are 90 days (for general creditors) and one year (for creditors that are “insiders” of the debtor-individuals or entities with close relationships to the debtor). 19. Fees and Getting Started-The filing fee for a chapter 7 bankruptcy is $335 and the filing fee for a chapter 13 bankruptcy is $310.20. The Process:-When a potential client contacts us, we schedule an hour-long meeting and ask for the following documents to be brought to the meeting: (1) a list of assets; (2) a list of liabilities; and (3) an after–tax monthly budget. -At the meeting, we review the documents and discuss their finances, debtor and creditor law and pre–bankruptcy planning.  Our goal in a chapter 7 filing is to discharge as much debt as possible (giving the client a “fresh start”) and exempting as many assets as possible from the bankruptcy estate that’s created when their petition is filed.-When the client retains us, we send him or her a link to enter the financial data we need to prepare the bankruptcy petition and information about the mandatory credit counseling course. -We draft the petition, review and review it with the client, and finally electronically file the petition and pay the filing fee.-Shortly after the petition is filed, we receive notice of the § 341 meeting of creditors-We attend the meeting with the client (who must bring an original Social Security card and a current photo ID) to the 341 meeting. -Before the meeting, we prepare the client on how to dress and questions that he or she can expect from the chapter 7 bankruptcy trustee. -Creditors may also attend the meeting and have 60 days from the date of the meeting to object to a discharge of their claim in bankruptcy or the debtor’s discharge.  Our goal is to have the chapter 7 trustee close the case at the end of the meeting, which happens in about 90% of our cases.  Within 60 days after the meeting, the debtor needs to take a post–bankruptcy debtor education course.The process usually takes about two to six months from start to finish.Other Bankruptcy Filing Requirements:1. Have you filed for bankruptcy in the past?  As stated above, a chapter 7 debtor can only file another chapter 7 case eight years after a prior chapter 7 case was filed and if your debts were discharged in a prior Chapter 13 case, you cannot receive a discharge in a subsequent Chapter 13 unless it is filed at least two years after the date the first case was filed.  However, the issue of multiple filings is complex depending on chapters filed and sequencing, so each situation needs to be reviewed individually.2. Have you resided in the district for the last 730 days? Documents Needed:i. Valid NYS Driver’s License or Photo ID with current addressii. Original Social Security Cardiii. Tax Return (last year federal, but bankruptcy trustee may request additional returns)iv. Real Estate-if you own real estate, you need a recent appraisal for the real estate and mortgage statement showing the mortgage balance.v. Last 60 days of pay stubs or payment advices JHS

  A creditor secured by a car that was surrendered on conversion of a case from chapter 13 to chapter 7 came before the court in In re Deemer, 2019 Bankr. LEXIS 1840, case #14-12353-BPC (Bankr. M.D. Ala. 17 June 2019).  Here the secured secured claim was initially valued and scheduled to be paid in a chapter 13 to Santander, but debtor converted the case in August 2017 and noticed the intent to surrender the then-inoperable vehicle.  The claim was owned by NCEP, LLC at the time of conversion.   The discharge was entered on 28 November 2018.  When neither Santander nor NCEP repossessed the car, the court reopened the case on 29 November 2018, and debtor filed a motion for contempt and sanctions.  Following the filing of the request for contempt Debtor received the title to the vehicle from  NCEP on about 14 December 2018.  The Court held the hearing on the motion on 17 January 2019, with additional briefs due in February.  Debtor asserted that NCEP's actions violated the discharge injunction of 11 U.S.C. 524(a) by effectively coercing debtor to remit money in payment of an objection on which the personal liability had been eliminated.  §524(a) provides that (a) A discharge in a case under this title -(2) operates as an injunction against the commencement or continuation of an action, the employment of process, or an act, to collect, recover or offset any such debt as a personal liability of the debtor, whether or not discharge of such debt is waived; ....11 U.S.C. 524(a)(2).    In Taggert v. Lorenzen, 139 S.Ct. 1795, 204 L.Ed.2d 129, 2019 WL 2331303 *2 (2019) the court held that civil contempt was appropriate against a creditor where there is no objectively reasonable basis for concluding that the creditor's conduct may be lawful under the discharge order.  The query is whether the objective effect of a creditor's action is to pressure a debtor to repay a discharged debt.    Support for sanctioning creditors in this situation can be found in the 1st Circuit's decision in In re Pratt, 426 F.3d 14 (1st Cir. 2006) sanctioning a creditor for failing to release the title to the vehicle without full payment of the debt after determining that the vehicle was not worth repossessing.  State law in that case prevented a debtor from junking a vehicle absent a title.  The Deemer facts are similar, with the debtor testifying that she contacted NCEP repeatedly to repossess the vehicle, and was told on at least one occasion that it would release the title for payment of $750.  The Court determined that NCEP's failure to either repossess the vehicle or release the lien was objectively coercive, and therefore violated the discharge injunction.  The delay caused by NCEP along with its request for $750 effectively eliminated Debtor's surrender option, and forced Debtor to retain possession of an inoperable vehicle.  The Court found that NCEP purged itself of contempt upon sending the title to the Debtor in December 2018, but that this did not relieve it of damages for the prior violation.    The debtor requested compensatory and punitive damages.  The court rejected the request for storage fees requested, when there was no evidence that the debtor actually incurred any out of pocket expenses for the storage of the vehicle.  Debtor's counsel failed to elicit testimony from the debtor for her hourly rate and hours missed from work by the debtor for attendance at the hearing, though it appears had such testimony been provided it would have been amenable to awarding such damages.    The court also rejected the requested emotional distress damages for having to 'go around' the vehicle to get into the garage and embarrassment by the vehicle being in her yard, but without medical evidence or other additional testimony to support the claim it failed to meet the requirements that (1) the debtor suffered significant emotional distress, (2) the evidence clearly establishes the significant emotional distress, and (3) the evidence demonstrates a causal connection between that significant emotional distress and the violation of the discharge injunction.1  The Court granted the request for $1,917.50 in attorneys fees and costs despite failure to provide a breakdown of the time expended.  The Court found the hourly rate of $325/hour to be reasonable and computed 5.9 hours spent in prosecuting the contempt motion, and the figures were not disputed by NCEP.  The Debtor had sought $8,320 in punitive damages against NCEP, based on an arbitrary figure of $20/day multiplied by the 416 days required to get the title.  The standard required for an award of punitive damages is 1) whether the award directly serves the complainant rather than the public interest, and 2) whether the contemnor may control the extent of the award.2  As NCEP had already purged itself of contempt by releasing the title, any sanction would be punitive rather than coercive.  As NCEP mailed the title to the Debtor about 11 days after the contempt motion was filed, the Court refrained from imposing punitive damages on the creditor.1 In re McLean, 794 F.3d 1313, 1325-26 (11th Cir. 2015)↩2  In re McLean, 794 F.3d at 1323 ↩ Michael BarnettMichael Barnett, PA506 N Armenia Ave.Tampa, FL 33609-1703www.hillsboroughbankruptcy.com

According to a recent Business Insider article many  bankruptcies are being driven by student loan debt.  See the link below. Jim Shenwickhttps://www.businessinsider.com/people-filing-for-personal-bankruptcy-carry-student-loan-debt-2019-6