July 07, 2025
Proven Fraud Won’t Always Cut Down the Amount of a Homestead Exemption, BAP Says
To limit the amount of a homestead exemption under Section 522(q)(1)(B)(ii), the fraud must have occurred after the debtor became a fiduciary.
9th CircuitJuly 02, 2025
A Promise Not to Enforce a Judgment Meant There Was No Discharge Violation
The inability to modify a Section 524(a) discharge put the Ninth Circuit BAP in a bind.
9th CircuitJuly 01, 2025
‘Serious Concerns’ About a Conflict Aren’t Enough to Disqualify a Trustee’s Counsel
A firm wasn’t disqualified when attorneys who left the firm long ago had represented an adversary in a possibly similar engagement.
11th Circuit, Florida, Florida Southern DistrictJune 30, 2025
Test Daily wire content - Sixth Circuit Restricts Ability to Surrender Collateral and Modify a Chapter 13 Plan
Once a chapter 13 plan is confirmed, a debtor in the Sixth Circuit may not surrender collateral and treat the deficiency as an unsecured claim.
District of Columbia, Michigan Western DistrictJune 30, 2025
Sixth Circuit Restricts Ability to Surrender Collateral and Modify a Chapter 13 Plan
Once a chapter 13 plan is confirmed, a debtor in the Sixth Circuit may not surrender collateral and treat the deficiency as an unsecured claim.
6th Circuit, Tennessee, Tennessee Middle DistrictJune 27, 2025
Debtor Granted Absolution for a 10-Day Delay in Serving a $40 Million Preference Suit
Although there wasn’t ‘good cause’ to excuse late service of a summons and complaint, the bankruptcy court salvaged a large preference by exercising discretion and granting a 10-day expansion of the 90-day deadline.
2nd Circuit, New York, New York Southern DistrictJune 26, 2025
There’s Reciprocal Fee-Shifting in California When a Contract Has Unilateral Fee-Shifting
In California, bringing litigation with a marginal possibility of success could be a bad bet whenever a contract permits one side to recover attorneys’ fees.
9th Circuit, California, California Eastern DistrictJune 25, 2025
Comparative Fault Doesn’t Require Reduced Attorneys’ Fees for Discharge Violations
Seventh Circuit holds that comparative fault requires a reduction in compensatory damages for a discharge violation but not for a debtor’s attorneys’ fees.
7th CircuitJune 24, 2025
BAP Upholds Confirmation of a Plan with No Trust for Future Asbestos Claimants
Ninth Circuit BAP confirmed a plan with no future creditors’ trust when the debtor claimed there were no future claims and no one was in court representing future claimants.
9th CircuitJune 23, 2025
Retaining Jurisdiction Doesn’t Ensure Subject Matter Jurisdiction After Confirmation
Listing a lawsuit explicitly in a disclosure statement may not mean there’s a ‘close nexus’ to provide subject matter jurisdiction for an action brought in bankruptcy court after confirmation.
3rd Circuit, Delaware