October 11, 2021
Student Loans Were Discharged Only with Assistance from Pro Bono Counsel
A debtor with negative disposable income was forced to go through two trials and three appeals to discharge student loans.
11th Circuit, Alabama, Alabama Middle DistrictOctober 08, 2021
Supreme Court Likely to Tackle 2018 U.S. Trustee Fee Increase
The circuits are now split 2/2 on whether the 2018 increase in U.S. Trustee fees violated the Bankruptcy Clause because the increase didn’t apply immediately in bankruptcy administrator districts.
10th CircuitOctober 07, 2021
On Student Loan Discharge, District Judge Requires Responses to Unasserted Defenses
New York district judge requires a student loan debtor to prove the reasonableness of living expenses when the lender never objected.
2nd Circuit, New York, New York Southern DistrictOctober 06, 2021
Over-the-Top Allegations of Stay Violation Bring $10,000 Sanction for Violating Rule 11
Counsel sanctioned $10,000 for making allegations about an intentional or malicious stay violation without having performed an investigation to justify the claims.
4th Circuit, South CarolinaOctober 05, 2021
Surety Bonds Aren’t Executory Contract and Can’t Be Assumed, District Judge Says
An irrevocable surety bond isn’t executory because it gives the bonding company no further obligations to the debtor.
5th Circuit, LouisianaOctober 04, 2021
On an ‘Involuntary,’ Denial of Summary Judgment Doesn’t Mean the Claim Is Disputed
The Iqbal and Twombly standards don’t apply to involuntary petitioners who are required to use Official Form 105.
5th Circuit, Texas, Texas Southern DistrictOctober 01, 2021
Third Circuit Makes Strict Rules Before Subrogation Rights Kick In
There can be no question about whether the beneficiary of a surety bond has been ‘paid in full’ before the surety has subrogation rights.
3rd CircuitSeptember 30, 2021
A Claim Objection Can Head Off Election of a Permanent Chapter 7 Trustee
A creditor can’t elect a trustee to pick its adversary in a lawsuit, Bankruptcy Judge Gunn says.
D.C. CircuitSeptember 29, 2021
Objections to Priority Claims May Follow Confirmation of a Chapter 13 Plan
Confirming a chapter 13 plan on the assumption that a claim was entitled to priority didn’t bar the debtors from later objecting to the priority of the claim.
7th Circuit, Wisconsin, Wisconsin Eastern DistrictSeptember 28, 2021
Time Limits for Effecting Service of Process Can Be Flexible, Eleventh Circuit Says
Under unusual circumstances, a two-year delay in completing service of process was not fatal in the Eleventh Circuit.
11th Circuit