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.
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.....
Sitting en banc, the Fourth Circuit voted 11-3 to overrule its own precedent and held that Section 1322(c)(2) permits a debtor to strip down a claim on a home mortgage that matures before the last.....
Malicious Theft of Trade Secrets Doesn’t Result in Nondischargeability, Circuit Says
Even though the actions were willful and malicious, a judgment for misappropriation of trade secrets under the.....
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.....
Treasury Offset Program Can’t Be Used After Bankruptcy, Judge Volk Rules
Chief Bankruptcy Judge Frank W Volk of Charleston, West Virginia, was nominated this month to sit on the U S District Court for.....
Refunds by Creditors After Chapter 13 Discharge Go to Creditors, Not the Debtor
If a chapter 13 case is dismissed before confirmation, Section 1326 a 2 requires the trustee to return undistributed.....
First Circuit Terminates the Stay Entirely as to Repeat Filers
On an issue long dividing the lower courts, the First Circuit became the first court of appeals to decide whether the automatic.....
Section 1326 Preempts State Law on Levies to Collect Child Support, Fourth Circuit Says
The Bankruptcy Code preempts state law allowing recovery of child support arrears by levying on money held by a.....