Rochellel's Daily Wire

April 24, 2024

Fourth Circuit Says Entireties Property Is Not Exempt from Tax Debt

The lack of perfection of a federal tax lien did not mean that the entireties interest was exempt under Section 522(b)(3).

4th Circuit

March 15, 2024

Being a ‘Net Winner’ in a Ponzi Scheme Doesn’t Automatically Mean Nondischargeability

Alleging that a debtor realized an ‘impossibly high’ rate of return in a Ponzi scheme isn’t enough to state a claim of nondischargeability for ‘actual fraud.’

4th Circuit, North Carolina, North Carolina Eastern District

February 27, 2024

Lack of Financial Distress Doesn’t Divest a Court of Subject Matter Jurisdiction

Two North Carolina Courts have held within two months that the Bankruptcy Clause doesn’t demand ‘financial distress’ to establish subject matter jurisdiction.

4th Circuit, North Carolina, North Carolina Western District

January 26, 2024

Agreements in Settlement of Nondischargeable Debts Are Themselves Nondischargeable

Fourth Circuit holds that attorneys’ fees and interest in pursuit of nondischargeable debts are themselves nondischargeable.

4th Circuit

January 09, 2024

Denial of Modification of a Chapter 11 Plan Is Final and Appealable

Baltimore district judge applies the Fourth Circuit’s ‘substantial and unanticipated’ test to modifications of chapter 11 plans.

4th Circuit, Maryland

January 04, 2024

With Reservations, a Chapter 11 Debtor with No Financial Distress Avoids Dismissal

Bankruptcy Judge Whitley says that a no-opt-out plan for a solvent debtor might violate creditors’ due process and jury trial rights.

4th Circuit, North Carolina, North Carolina Western District

December 20, 2023

Judge Harner Gives Contours to the Amorphous Notion of ‘New Value’

The ‘new value’ offered by old equity in a chapter 11 plan was insufficient because it was only a small fraction of claims and because the dividend to creditors was also small.

4th Circuit, Maryland

December 06, 2023

Scheduling a Home with a Low Value Didn’t Protect a ‘13’ Debtor When It Was Sold

In the Fourth Circuit, creditors are compensated when there is a ‘substantial improvement’ in a chapter 13 debtor’s financial condition.

4th Circuit, North Carolina, North Carolina Middle District

November 17, 2023

Even Without Personal Liability, a Mortgage on a Debtor’s Property Is a ‘Claim’

The ‘broad’ definition of ‘claim’ by the Supreme Court in Johnson led Judge Huennekens to hold that in rem rights against a debtor’s property give rise to a ‘claim.’

4th Circuit, Virginia, Virginia Eastern District

September 19, 2023

Fourth Circuit: Bankruptcy Courts Aren’t Bound by Article III’s Case or Controversy Requirements

The Fourth Circuit says that bankruptcy courts have broader jurisdiction than other federal courts and that some of their decisions are unreviewable by Article III courts.

4th Circuit