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.
Applying analogies to tort law, the Seventh Circuit held that comparative fault requires a reduction of a debtor’s recovery of compensatory damages for a violation of the discharge injunction.
For the.....
Courts are split over the interpretation of Section 362(c)(3). If a previous bankruptcy by an individual was dismissed within one year, does the automatic stay terminate automatically 30 days after.....
The ultimate outcome of a lawsuit in Chicago will determine whether bankruptcy courts have the power to entertain class actions where the damages for any one debtor are so small that individual.....
On an issue where the circuits are split, a magistrate judge in Chicago naturally followed the Seventh Circuit by dismissing a claim without prejudice where the debtor was pursuing contempt for.....
What happens in chapter 13 if a secured creditor doesn’t file a claim, and the debtor doesn’t file a claim for the creditor? There are two schools of thought.
Here’s the situation. The debtor owns a.....
In Fulton, the Supreme Court ruled that the City of Chicago did not violate the automatic stay under Section 362(a)(3) by refusing to return impounded cars immediately after the owners filed chapter.....
When Fulton came down in January, the Supreme Court decided that debtors are not entitled to regain possession of impounded cars under Section 362(a)(3) simply by filing chapter 13 petitions. City of.....
On an issue where the circuits are split, a district judge sided with the majority by upholding Bankruptcy Judge Kent Lindquist of Hammond, Indiana, and ruling that the automatic stay does not.....
The Seventh Circuit, per Circuit Judge Frank Easterbrook, has issued the third in a series of opinions emphatically requiring bankruptcy courts to make case-specific findings of fact when a chapter 13.....
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.....