Lack of Creditor Opposition Isn’t Grounds for Extending an Expiring Automatic Stay
A repeat filer in chapter 13 must show ‘clear and convincing evidence’ of improved financial condition to warrant an extension of the automatic stay under Section 362(c)(3)(B), Chief Judge Taddonio says.
Benchnotes August 2023
Benchnotes By Aaron M. Kaufman, Bradley D. Pack and Christina Sanfelippo Bankruptcy Court Limits Bartenwerfer to Partnership or Agency Debts, Finding It Inapplicable to Fraudulent-Transferee Liability Can the recipient of a fraudulent transfer discharge the claim in
Failing to File a Claim Has Dire Consequences for a Secured Creditor
A secured lender who doesn’t file a claim doesn’t get paid by the chapter 13 plan and keeps its lien, but can’t reclaim the collateral during the life of the plan.
A Statement ‘For Informational Purposes’ Can Still Be a Stay Violation, BAP Says
A BAP strictly enforced the stay against a mortgage servicer who improperly listed a pre-petition debt in the portion of the monthly statement showing the next post-petition payment.
Notification of Bankruptcy Requires Lifting Garnishment of Post-Petition Income
Although the automatic stay does not require turning over property garnished before bankruptcy, a creditor may not continue garnishing property after filing, Judge Burgess says.
A Lawsuit to Collect a ‘DSO’ Runs the Risk of Violating the Automatic Stay
Although collecting a ‘DSO’ from non-estate property is permitted by Section 362(b)(2)(B), a district judge says that an in personam suit against the debtor can violate the automatic stay.
Renewing a Title Loan Just Before Chapter 13 Didn’t Make the Filing in Bad Faith
Ruling the other way would have barred chapter 13 filings after renewing title loans.
Benchnotes May 2023
Benchnotes By Aaron M. Kaufman, Bradley D. Pack and Christina Sanfelippo Failures by Debtors’ Counsel to Disclose Fee Arrangements “Will Not Be Taken Lightly” In In re Dordevic, 1 counsel for the debtor disclosed that the debtor paid counsel $5,000 for services in
Dismissal Isn’t Mandatory if a New Filing Is Within 180 Days of a Voluntary Dismissal
Courts are split on whether Section 109(g)(2) mandates dismissal whenever an individual or family farmer refiles within 180 days, regardless of whether a lift-stay motion prompted dismissal of the first case.