February 12, 2020
May a Chapter 13 Plan Pay a Larger Percentage Toward Student Loans?
Since Congress has made student loans virtually nondischargeable, why can’t a chapter 13 plan discriminate in favor of paying more toward student loans?
2nd Circuit, New York, New York Northern DistrictFebruary 11, 2020
Section 362(k)(1) Sanctions Apply to Automatic Stay Violation Continuing After Discharge
Almost $35,000 in actual and punitive damages was imposed on a judgment creditor and its collection law firm for failing to vacate a garnishment following notice of bankruptcy and discharge.
9th Circuit, California, California Eastern DistrictFebruary 10, 2020
Fraudulent Transfer Damages Limited to Creditors’ Total Claims
Delaware’s Judge Owens won’t allow perpetrators of a fraudulent transfer to benefit from avoiding the transfer.
3rd Circuit, DelawareFebruary 07, 2020
First Circuit Reverses the BAP for Fact-Finding on Appeal
First Circuit requires detailed fact-finding by the bankruptcy court on the credibility of witnesses and the elements of nondischargeability for false representations.
1st CircuitFebruary 06, 2020
Lender and Servicer Held Liable for Making False Claim for Real Estate Taxes
Judge Rodriguez holds servicer and lender liable under Rule 3002.1 and the FDCPA for making a claim for unpaid real estate taxes that had been paid.
5th Circuit, Texas, Texas Southern DistrictFebruary 05, 2020
Stay Violation Order Is Final Even Before Attorneys’ Fees Are Awarded, Circuit Says
First Circuit rules that an order finding a stay violation must be appealed before the bankruptcy court grants an award of attorneys’ fees.
1st CircuitFebruary 04, 2020
First Circuit’s Traditional Approach to Section 552 Cuts Off Bondholders’ Liens
Employer contributions to Puerto Rico’s retirement system did not qualify as ‘special revenues,’ with the result that bondholders’ liens were cut off on the filing date.
1st CircuitFebruary 03, 2020
Courts Deeply Split on Social Security Benefits in the Chapter 13 ‘Abuse’ Test
Michigan judges disagree about the court’s ability to consider Social Security benefits in deciding whether a chapter plan was proposed in good faith.
6th Circuit, Michigan, Michigan Eastern DistrictJanuary 31, 2020
U.S. Receivership Court Had No Jurisdiction over Foreign Liquidators
District judge decides that he lacked jurisdiction to enforce a cross-border protocol against foreign liquidators.
5th Circuit, Texas, Texas Northern DistrictJanuary 30, 2020
Another Court Approves an Arrangement for Paying Most Chapter 7 Fees After Filing
Careful drafting and copious documentation are required for a bifurcated fee arrangement to pass muster in chapter 7.
6th Circuit, Kentucky, Kentucky Eastern District