March 17, 2016

Dischargeability Judgment Must Not Lower Interest on a Creditor’s Judgment

Abuse of discretion automatically results if a judgment harms a defrauded creditor.

9th Circuit, Oregon

March 16, 2016

Courts Split on Allowing Individual Debtors to Retain Wages on Conversion from 11 to 7

Chicago judge splits with Collier and Ninth Circuit BAP on wages following conversion.

7th Circuit, Illinois, Illinois Northern District

March 14, 2016

Texas Judges Disagree About Exemption for Sale Proceeds from a Homestead

Judge finds a loophole in a Fifth Circuit opinion on the homestead exemption.

5th Circuit, Texas, Texas Southern District

March 11, 2016

Fifth Circuit Finds an Exception to General Rule on Appellate Standing

Debtors facing discharge denial have standing to appeal claim allowances.

5th Circuit

March 09, 2016

Exemptions Are Not a Moving Target the Trustee Can Shoot Down at Any Time

Judge Isgur interprets Schwab v. Reilly to benefit debtors and disadvantage trustees.

5th Circuit, Texas, Texas Southern District

March 07, 2016

Courts Split on Stripping Down Residential Mortgages in Chapter 11

Ninth Circuit B.A.P. and Third Circuit duke it out over Section 1123(b)(5).

9th Circuit, California, California Northern District

March 04, 2016

Arbitration Agreement Cannot Include Waiver of Dischargeability

On dischargeability, post-filing waivers work, but pre-filing ones don’t.

7th Circuit, Wisconsin, Wisconsin Western District

Chapter 13 Equated with Chapter 11 on Derivative Standing for Creditors

Creditor can sue when a chapter 13 trustee won’t or can’t.

3rd Circuit, Pennsylvania, Pennsylvania Eastern District

March 03, 2016

Courts Split on Whether Surrender Entails Waiver of Defenses to Foreclosure

Gutsy Judge Laurel Isicoff disagrees with district and bankruptcy judges in her district.

11th Circuit, Florida, Florida Southern District

Student Loans Incurred for a New Profession Are Consumer Debts

Non-consumer debts must be related to an existing business or current job.

9th Circuit, California, California Eastern District