4th Circuit

Arbitration Nixed on a Lender’s Claims for Violation of the Automatic Stay

Bankruptcy Judge Paul Black denied a motion to compel arbitration but didn’t decide whether he would certify a class.
4th Circuit Jun 28, 2024

Fourth Circuit Broadly Defines Restitutions that Aren’t Discharged in Chapter 13

The federal appeals court brushed aside technicalities under state criminal law in deciding that an order for restitution was not discharged under Section 1328(a)(3).

An Agreement to Modify a Mortgage Was an Assumable Executory Contract

Is pre-filing a mortgage modification agreement a contract to make a loan that cannot be assumed under Section 365(c)(2)?
4th Circuit Apr 17, 2024

Fourth Circuit Says Entireties Property Is Not Exempt from Tax Debt

The lack of perfection of a federal tax lien did not mean that the entireties interest was exempt under Section 522(b)(3).

Being a ‘Net Winner’ in a Ponzi Scheme Doesn’t Automatically Mean Nondischargeability

Alleging that a debtor realized an ‘impossibly high’ rate of return in a Ponzi scheme isn’t enough to state a claim of nondischargeability for ‘actual fraud.’
4th Circuit Jan 18, 2024

Agreements in Settlement of Nondischargeable Debts Are Themselves Nondischargeable

Fourth Circuit holds that attorneys’ fees and interest in pursuit of nondischargeable debts are themselves nondischargeable.

Scheduling a Home with a Low Value Didn’t Protect a ‘13’ Debtor When It Was Sold

In the Fourth Circuit, creditors are compensated when there is a ‘substantial improvement’ in a chapter 13 debtor’s financial condition.

Even Without Personal Liability, a Mortgage on a Debtor’s Property Is a ‘Claim’

The ‘broad’ definition of ‘claim’ by the Supreme Court in Johnson led Judge Huennekens to hold that in rem rights against a debtor’s property give rise to a ‘claim.’
4th Circuit Aug 18, 2023

Fourth Circuit: State Law Claims for Discharge Violations Are Not Preempted

The Fourth Circuit declined to follow the First and Sixth Circuits on preemption of automatic stay violations by expanding the ban to redress for discharge violations.