May 16, 2019

Direct Mortgage Payments Are ‘Under the Plan,’ Ninth Circuit BAP Says

BAP joins the majority of courts by saying that defaulting on direct mortgage payments precludes a chapter 13 debtor from receiving a discharge.

9th Circuit

May 14, 2019

Circuits Split on Bankruptcy Jurisdiction for Social Security, Medicare Suits

Fifth Circuit rejects the ‘recodification canon’ to divest bankruptcy courts of jurisdiction over Social Security suits.

5th Circuit

April 22, 2019

Standards for a Future Claimants’ Representative Are Those for a Guardian Ad Litem

Prior service as a future claimants’ representative was reason for a new appointment, not a disqualification, Judge Bonapfel says.

11th Circuit, Georgia, Georgia Northern District

April 17, 2019

Lenders Admonished to Demand Nothing More in Plans than the Law Allows

Judge Hunt in Chicago tells debtors’ counsel to oppose inclusion of unjustifiable provisions in chapter 13 plans, even if it means contested confirmation hearings.

7th Circuit, Illinois, Illinois Northern District

April 12, 2019

New York Judge Gives Reasons for Nixing Nonconsensual, Third-Party Releases

Bankruptcy Judge Wiles explains the jurisdictional, statutory and constitutional reasons why nonconsensual releases are improper in the Second Circuit except in exceptional circumstances.

2nd Circuit, New York, New York Southern District

April 10, 2019

Refunds by Creditors After Chapter 13 Discharge Go to Creditors, Not the Debtor

The logic of Harris v. Viegelahn doesn’t mean that chapter 13 debtors receive distributions refunded by creditors.

4th Circuit, Virginia, Virginia Western District

March 20, 2019

An Adroitly Drafted Makewhole Is Allowable in Bankruptcy, New York Judge Says

Judge Bernstein distinguishes a Second Circuit opinion to rule that a makewhole premium is allowable in bankruptcy.

2nd Circuit, New York, New York Southern District

March 05, 2019

Supreme Court Declines to Rule on Equitable Mootness

Sewer customers challenged the dismissal of their appeal from confirmation of the Jefferson County chapter 9 municipal debt restructuring.

Supreme Court

February 14, 2019

Fifth Circuit Hints that Debtors May Retain Property for Recreation and Entertainment

Per curiam opinion shows that chapter 13 plans aren’t required to be punitive.

5th Circuit

February 13, 2019

An Objection to Third-Party Releases Must Be Raised in Bankruptcy Court

A non-objecting creditor is bound by a third-party release even if the release may have been improper.

5th Circuit, Texas, Texas Southern District