Mortgage

The lender’s failure to demand reaffirmation before discharge in chapter 7 barred enforcement of a default based on the filing of bankruptcy.

Reversing, a Long Island district judge credits value to a homeowner’s ability to delay foreclosure, taking a position contrary to a recent decision from a Ninth Circuit B.A.P.

Circuit courts are split 4/3 on their interpretation of Supreme Court precedent holding that regularly conducted mortgage foreclosures are immune from fraudulent transfer attack.

BAP doesn’t allow debtors to appeal when a trustee sells their home out from underneath them in a short sale.

Finally, a circuit court cites Taggart to help a debtor enforce the discharge injunction.

If a proceeding is sub judice when the defendant files bankruptcy, the plaintiff should figure out whether a decision after bankruptcy would violate the automatic stay.

For those entitled to the mortgage interest deduction, debtors may have unexpected tax benefits from short sales.

The Tenth Circuit left an unanswered question: Do debtors retain post-filing appreciation in a home that is not sold before the case converts from chapter 13 to chapter 7?