Consumer Bankruptcy

6th Circuit Jun 9, 2021

Sixth Circuit Creates a Split by Requiring Dismissal of an Abusive Chapter 13 Filing

Disagreeing with two other circuits, the Sixth Circuit finds no power in the bankruptcy court to avoid dismissing a chapter 13 case even if the debtor filed repeatedly in bad faith to avoid foreclosure.

Unlike IRAs, Debtors Keep Inherited 401(k)s Because They Aren’t Estate Property

Exemptions never come into play with inherited 401(k)s because they aren’t estate property in the first place, Judge Hodges explains.
4th Circuit Maryland Jun 1, 2021

Arbitration Clause Results in Temporary Stay of ‘Core’ Proceedings in Bankruptcy Court

Decision by Bankruptcy Judge Michelle Harner demonstrates the flaw in the Fourth Circuit’s rule requiring parallel proceedings in bankruptcy court and in arbitration when disputes are both core and non-core.

Lack of Permanent Resident Status Doesn’t Always Defeat a Homestead Exemption

Having a family member in the home who made a formal request for legal residence will suffice to permit a Florida homestead exemption, Judge Jennemann said.