Cross-Collateralization Turns Two Loans into One Claim in the Fifth Circuit
When personal property loans are cross-collateralized, a chapter 13 plan must use the same option for cramming down both loans, the Fifth Circuit says.
Statement of Profitability Must Be in Writing to Underpin a Nondischargeability Claim
A statement about the profitability of a corporation the debtor owns is a statement about the debtor’s own financial condition, the Fifth Circuit says.
‘13’ Plans Already in Default on March 27 May Be Extended Under the CARES Act
Judge Grabill finds nothing in Section 1329(d) to preclude extending the duration of a plan if payments were already in default when the CARES Act was enacted on March 27.
Fifth Circuit Invalidates Local Chapter 13 Plan Regarding Tax Refunds
Below median debtors are no longer required to turn over tax refunds in excess of $2,000.
Fifth Circuit Bans Molina Provisions in Chapter 13 Plans
Court cannot impose a nonstatutory provision on a chapter 13 ‘full payment’ plan that restricts the debtor’s right to modify a confirmed plan.
Fifth Circuit Cites ‘Clearly Erroneous’ Findings to Declare a Debt Nondischargeable
Circuit says it’s easy to show reasonable reliance on a false financial statement.
Fifth Circuit Rules that the Penalty under the ACA Isn’t a Priority Tax Claim
The exaction for failure to purchase health insurance isn’t an excise tax ‘on a transaction’ under Section 507(a)(8)(E)(i).
Fifth Circuit’s Seminal Reed Decision Not Followed in Chapter 13
Bankruptcy judge finds no statutory power for a chapter 13 trustee to prosecute a lawsuit that the debtor was judicially estopped for pursuing.
Lender and Servicer Held Liable for Making False Claim for Real Estate Taxes
Judge Rodriguez holds servicer and lender liable under Rule 3002.1 and the FDCPA for making a claim for unpaid real estate taxes that had been paid.
Fifth Circuit Stretches Equitable Notions to Bend Plain Language
A nonprecedential opinion applies Fifth Circuit authority to achieve a result that’s equitable for the debtor and creditors, and maybe also for a personal injury defendant.