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ABI Journal

Rochellel's Daily Wire

May 20, 2024

Prefiling Review Ok with BAP as Sanction for Filing Baseless Dischargeability Complaint

A lender was filing baseless dischargeability complaints believing that the impecunious debtors would default or settle.

9th Circuit

May 17, 2024

Fifth Circuit Draws ‘Person Aggrieved’ into Question for Appellate Standing

The Bankruptcy Code dropped ‘person aggrieved’ as the standard for appellate standing. Did it survive nonetheless?

5th Circuit

May 16, 2024

Recoupment of Social Security Benefit Overpayments Is Barred as a Setoff

Medicaid overpayments may be recovered as ‘recoupment’ while Social Security overpayments are attempted setoffs barred by discharge, Bankruptcy Judge Harwood says.

1st Circuit, New Hampshire

May 15, 2024

Orders for Contempt and Sanctions Aren’t Appealable in the Fourth Circuit

Whether orders in contested matters are ever appealable is in doubt after a Fourth Circuit decision that declined to follow contrary opinions by bankruptcy appellate panels.

4th Circuit

May 14, 2024

Federal Government Doesn’t Have Sovereign Immunity to Avoid Contempt Sanctions

Bankruptcy Judge Scott Clarkson nailed the government with $38,000 in sanctions for a ‘willful’ violation of a discovery order shown by ‘clear and convincing evidence.’

9th Circuit, California, California Central District

May 13, 2024

Three Circuits Now Say ‘13’ Trustees Aren’t Paid if Dismissal Precedes Confirmation

The same question has been sub judice in the Second Circuit for 15 months. Is the Second Circuit on the cusp of making a circuit split?

7th Circuit

May 10, 2024

Collecting a Student Loan Can (Sometimes) Violate the Discharge Injunction, BAP Says

The Ninth Circuit BAP holds that nondischargeability of student loans in Section 523(a)(8) isn’t ‘self-executing.’

9th Circuit

May 09, 2024

Sub V Plan Doesn’t Require Automatic Increases Based on Actual Disposable Income

Bankruptcy Judge Christopher Bradley disagreed with a district court in Florida that required a ‘true up’ if actual disposable income in Sub V exceeds projected disposable income.

5th Circuit, Texas, Texas Western District

May 08, 2024

MOAC Again: No Remedy for the Landlord Despite Beating Sears in the Supreme Court

On remand from the Supreme Court and the Second Circuit, the district court decides that the Mall of America landlord isn’t entitled to more than the bargain it made with Sears in 1991.

2nd Circuit, New York, New York Southern District

May 07, 2024

Noncompete and Confidentiality Agreements Can’t Be Rejected as Executory Contracts

If a breach results only in a right to equitable relief, there is no ‘claim’ and thus no executory contract.

6th Circuit, Michigan, Michigan Eastern District