Joining the Tenth Circuit, the Ninth Circuit also has held that chapter 13 trustees are not paid their fees when cases are dismissed before confirmation. The identical issue was argued on February 15 before the Second Circuit.
In short order, we’ll have either unanimity or a split of circuits. A split will give rise to an issue worthy of a grant of certiorari by the Supreme Court.
Notably, the Ninth Circuit’s opinion on June 12 adopted reasoning in an amicus brief filed in support of the debtor by the National Consumer Bankruptcy Rights Center and National Association of Consumer Bankruptcy Attorneys.
The lower courts are divided on the issue, but the First Circuit is the first court of appeals to decide the question.
The debtor was a fraudster sentenced to 10 years in prison for perpetrating a.....
Expanding First Circuit authority, bankruptcy and district judges in Maine essentially followed the Fifth Circuit in holding that a chapter 7 debtor can sell exempt property after filing and.....
Section 365(p) enables an individual debtor in chapter 7 to retain leased personal property, such as a car, if the trustee rejects the lease. Bankruptcy Judge Melvin S. Hoffman of Boston described the.....
There are two and perhaps three tests among the circuit courts for deciding when the repayment of a student loan amounts to an “undue hardship,” enabling the court to discharge the debt under Section.....
Different Rules Govern When Claims Accrue By or Against an Estate
Recently, courts have been holding that the accrual of claims by and against an estate are not governed by the same rules. An appeal.....
Religious Contributions Not Considered in Dischargeability of Student Loans
The court is not required to take religious contributions into consideration when deciding whether a debtor is entitled to.....
Freezing a Chapter 7 Debtor’s Bank Account Doesn’t Violate the Automatic Stay
Persuaded by a Ninth Circuit opinion, a district judge in New York held that a bank does not violate the automatic stay by.....
Equity Can’t Alter the Three Petitioning Creditors Requirement, First Circuit Rules
Courts may not disregard the numerosity requirement for an involuntary petition based on special circumstances, even.....
The Emily Litella Principle Governs the Withdrawal of Proofs of Claim
The Emily Litella principle will not divest the bankruptcy court of equitable jurisdiction, according to an opinion by Bankruptcy.....
A Pending Sale Contract Doesn’t Obliterate a Homestead Exemption in Chapter 7
Signing a contract before bankruptcy to sell a home will not destroy a chapter 7 debtor’s homestead exemption, according.....