On Dismissal of a ‘13,’ Barton May (or May Not) Bar Garnishments
Section 1326(a)(2) by itself does not bar garnishment of funds held by a trustee on dismissal before confirmation.
Personal Injury Settlement Not Included in Calculating Projected Disposable Income
Judge McNamara of Denver allowed chapter 13 debtors to keep all of a $46,500 personal injury settlement received before filing.
Inability to Cover Accruing Interest Was Pivotal on Discharging Student Loans
Eligibility for an income-based repayment program is relevant only on the third Brunner test regarding good faith.
Amount of an Exemption Isn’t Required to Make an Order Final, Circuit Majority Says
Tenth Circuit majority believes that the grant or denial of an exemption is sufficient to make the order final, even if the bankruptcy court hasn’t ruled on the extent or amount of the exemption.
Federal Credit Union Held to Be a ‘Governmental Unit’ for All Purposes
Although federal credit unions are not controlled by the government, they are governmental units under the Bankruptcy Code, Judge Jacobvitz says.
Deceased Chapter 13 Debtor Excused from Taking Financial Management Course
Courts are split on whether the estate of a deceased chapter 13 debtor can receive a discharge if the debtor had not completed a financial management course.
Chapter 13 Debtors Retain Appreciation in Property After Conversion or Plan Amendment
On an issue where the courts are split, the Tenth Circuit BAP sides with debtors and allows them to retain postpetition appreciation in the value of assets that were in the estate on filing.
Courts Remain Split on Allowing Credit Counseling on the Same Day but After Filing
Another judge follows statutory language that didn’t achieve the result Congress probably intended.
‘No Harm, No Foul’ Doesn’t Entitle a Debtor to a Discharge, BAP Says
Advice-of-counsel defense doesn’t work when intent is clearly fraudulent.
Not All Student Loans Are Nondischargeable, Tenth Circuit Holds
Tenth Circuit joins the Fifth Circuit by holding that student loans are not ‘educational benefits’ under Section 523(a)(8)(A)(ii).