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.
A decision from Illinois highlights two flaws in the U.S. health care system: (1) Even with health insurance, medical bills can force someone into bankruptcy; and (2) if medical bills are “consumer”.....
The Seventh Circuit slammed the door on another theory used by bankrupt citizens of Chicago to avoid paying traffic tickets and parking fines incurred while in chapter 13.
In March, the Chicago-based.....
Yesterday we reported a decision where Bankruptcy Judge Michelle M. Harner of Baltimore ruled that newly modified Bankruptcy Rule 3002(c)(6) did not give her discretion to allow a creditor to file a.....
On an issue where the courts are divided, bankruptcy and district judges in Indianapolis allow a chapter 13 debtor’s attorney to be paid in full before secured creditors receive more than adequate.....
A September 20 opinion from the Seventh Circuit reads like a suspense novel: For nine pages, Circuit Judge Frank H. Easterbrook sounded as though he was rejecting a test for “related to” jurisdiction.....
May a trustee recover from an immediate or mediate transferee if the recipient received proceeds from a fraudulent transfer but not the fraudulently transferred property itself?
Answering a question.....
Without citing the Taggart decision by the Supreme Court in June, the Seventh Circuit reversed the lower courts and held a creditor in contempt of the discharge injunction.
In Taggart v. Lorenzen, 139.....
Most of us would assume that a home owned by a married couple as tenants by the entireties would be exempt in all respects in all states. But no, that is not true in Illinois and states with similar.....
Overpaying a D S O Doesn’t Result in a Nondischargeable Debt, Seventh Circuit Holds
The Seventh Circuit narrowly interpreted domestic support obligation in direct appeals from rulings by two.....
Seventh Circuit Solidifies a Circuit Split on the Automatic Stay
Solidifying a split of circuits, the Seventh Circuit ruled that the City of Chicago must comply with the automatic stay by returning.....