Bankruptcy Courts Cannot Impose Punitive Contempt Sanctions, District Judge Says
Circuits split on power of bankruptcy courts to impose punitive or criminal contempt sanctions.
Trustee’s Stated Intent to Abandon by Itself Won’t Allow a Debtor to Sell
Estate property must be formally abandoned before the power of sale reverts to the debtor.
Owning a Home Through an LLC Can Preclude a Homestead Exemption
State laws vary on allowing homestead status for a house owned through an LLC.
Interlocutory Orders Compelling Arbitration May Be Appealed with Permission
Shallow constitutional foundation of the bankruptcy court justifies allowing interlocutory appeals, district judge says.
Previously Listing Property as a Principal Residence Didn’t Preclude a Later Cramdown
Limited knowledge of English and ‘nuances’ in legal terms saved debtor from a fatal admission.
Second Circuit Upholds Denial of Arbitration in the Bankruptcy Context
Second Circuit holds a dress rehearsal for a major arbitration decision.
EDNY Changes Policies about Defaults on Direct-Pay Mortgages in Chapter 13
Mortgage payments are considered ‘under the plan’ even if made by the chapter 13 debtors directly.
New York’s Unique Rules on Mortgage Note Assignments Remain Unresolved
New York alone failed to adopt an amendment to UCC § 3-203.
Latent Defects in Medical Devices Don’t Give Rise to Estate Property
Segal v. Rochelle prevented a personal injury claim from becoming estate property.
Personal Bankruptcy Bars Incarceration, but Not Finding of Civil Contempt
FTC allowed to continue contempt proceedings for failure to pay restitution.