February 03, 2021

Debtors Win in District Court: They Can Avoid Judicial Liens on Impounded Cars

Car owners lost in Fulton but won when a Chicago district judge affirmed and ruled that debtors may avoid judicial liens on impounded cars.

7th Circuit, Illinois, Illinois Northern District

January 29, 2021

Contested Matters Aren’t ‘Civil Actions’ Under the Equal Access to Justice Act

A contested matter in bankruptcy court isn’t a ‘civil action’ allowing the debtor to recover attorneys’ fees from the U.S. Trustee under the Equal Access to Justice Act.

6th Circuit, Ohio, Ohio Northern District

January 28, 2021

Defenses to Preferences Are Considered in Counting an Involuntary Debtor’s Creditors

A former bankruptcy judge, now a district judge, makes important law on involuntary petitions.

5th Circuit, Louisiana, Louisiana Western District

January 27, 2021

The Reason for Missing the Deadline Is Most Important in Finding ‘Excusable Neglect’

The length of time before filing a motion to extend the appeal-filing deadline isn’t dipositive under Rule 8002(d)(1)(B).

6th Circuit

January 25, 2021

Refusal to Arbitrate the Validity of a Security Interest Is Tersely Affirmed in California

Are the lower courts out of step with the Supreme Court when it comes to enforcement of arbitration of disputes in bankruptcy court?

9th Circuit, California, California Eastern District

January 21, 2021

The Standards for a Pre-Filing Injunction Against a Vexatious Litigant

The record as a whole and the likelihood of further abuse justify a pre-filing injunction.

2nd Circuit, New York, New York Eastern District

January 18, 2021

Sanction for Discharge Violation: $450 in Actual Damages and $10,000 for Attorneys’ Fees

When there’s ‘no fair ground of doubt’ about a discharge violation, the creditor should settle or make an offer of settlement to avoid larger damages after trial.

11th Circuit, Florida, Florida Middle District

January 14, 2021

Even with Knowledge of Bankruptcy, Discharge Contempt Requires Notice of Discharge

The Ninth Circuit BAP says there must be knowledge of the discharge order to find contempt, even when the debtor continues the same conduct that violated the automatic stay.

9th Circuit

January 11, 2021

Guarantee of a Lease Survives Rejection if the Tenant Remains in Possession

District judge explains why veil-piercing is easier to prove in Michigan than elsewhere.

6th Circuit

January 11, 2021

Bankruptcy Judge Won’t Rule on the Constitutionality of Pandemic Regulations

Finding a proper exercise of regulatory power isn’t required to invoke the exception to the automatic stay.

3rd Circuit, Pennsylvania, Pennsylvania Western District