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.....
Picture this: A corporation purchases goods from a retailer using a credit card. Right in the store, an employee for the corporate buyer turns the goods over to an affiliate of the buyer. The.....
For a judgment to become a lien on a debtor’s real property, filing a UCC financing statement is no substitute for docketing the judgment, for reasons explained by Chief Bankruptcy Judge Catherine J.....
An appeal pending in the Seventh Circuit since 2016 may end up in the Supreme Court a year or two from now to resolve a circuit split over whether Section 505(a) grants jurisdiction to the bankruptcy.....
An option to purchase real property is not an executory contract that a chapter 11 debtor can reject, according to Bankruptcy Judge Robyn L. Moberly of Indianapolis.
Prof. Jay L. Westbrook of the.....
The Seventh Circuit wrote an opinion to explain why the “clear and convincing” standard of proof for a turnover action that prevailed under the former Bankruptcy Act was replaced by a “preponderance.....
The Supreme Court has yet to say whether enforcement of an arbitration agreement can bring a bankruptcy case to a grinding halt. More specifically, the Court has not said whether (or to what extent).....
While the courts are split, the majority permit a trustee using the so-called strong-arm power under Section 544(b) to extend the statute of limitations to six or 10 years by stepping into the shoes.....
District Judge Brett H. Ludwig of Milwaukee stepped into the middle of a split by holding that an individual debtor’s prior bankruptcy did not discharge liability on a personal guarantee for debts.....
If the law changes dramatically after confirmation of a plan, the Seventh Circuit tells us that the debtor must move within one year of confirmation to amend the plan. Otherwise, the debtor will be.....