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.
In most of the country, creditors had been judged by an almost strict liability standard for violating the discharge injunction. A decision by Chief Bankruptcy Judge Scott W. Dales of Grand Rapids.....
Sixth Circuit to Rule on Deductions for Contributions to Retirement Accounts (Updated)
In dicta, the Sixth Circuit had said in 2012 that voluntary contributions to a 401(k) plan must be paid to.....
Michigan Court Allows Curing a Chapter 13 Payment Default After Five Years
On an issue where the lower courts disagree, District Judge George Caram Steeh of Detroit sided with two circuit courts by.....
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.....
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.....
Wildcard Exemption Covered a Prepetition Malpractice Claim
Section 522 g does not bar an individual debtor from claiming a wildcard exemption over a prepetition malpractice suit against the debtor’s.....
Tuition Payments for Adult Children Squarely Held to Be Constructively Fraudulent
On an issue dividing the lower courts, Bankruptcy Judge Martin Glenn of New York squarely held that educational.....
Tuition Payments by Insolvent Parents Likely Constitute Fraudulent Transfers
Bankruptcy trustees in some parts of the country are filing fraudulent transfer suits to recover tuition payments that.....