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

December 04, 2023

A Refinanced Consumer Loan Might Not Be a ‘Consumer Debt,’ Ninth Circuit Says

Refinancing a consumer loan to obtain a lower interest rate might make an individual debtor eligible for chapter 7.

9th Circuit

November 30, 2023

Willful Breach of Contract Doesn’t Result in Section 523(a)(6) Nondischargeability

Without allegations of an intentional tort, a willful breach of contract can’t be nondischargeable as a ‘willful and malicious’ injury.

10th Circuit, Oklahoma, Oklahoma Western District

November 28, 2023

Ninth Circuit: State Law Can’t Require More than What Rule 3001 Requires for Claim Validity

Reversing the BAP, the Ninth Circuit (erroneously) holds that state law cannot demand more documentation for a proof of claim than Bankruptcy Rule 3001 requires for prima facie validity.

9th Circuit

November 22, 2023

Discharge Isn’t an Automatic Bar to Conversion from ‘7’ to ‘13’

A district court opinion from Michigan raises the question of whether the Supreme Court’s decision in Marrama is still good law after Law v. Siegel.

6th Circuit, Michigan, Michigan Eastern District

November 20, 2023

‘13’ Debtors May Bifurcate Mortgages that Mature Before the Final Plan Payment

The Ninth Circuit BAP says that a later valuation can make a debtor eligible for chapter 13 when the original schedules meant ineligibility.

9th Circuit

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

November 16, 2023

Is an Option an Executory Contract or Not?

When there is a recorded option to purchase real estate, Prof. Westbrook would have analyzed the specific performance rights of the holder of the option under state law, not the question of whether the option was executory.

7th Circuit, Indiana, Indiana Southern District

November 14, 2023

Rooker-Feldman Only Applies to Someone Who Was a Party in State Court

Rooker-Feldman is applied narrowly these days and isn’t a substitute for collateral estoppel.

11th Circuit, Florida, Florida Middle District

November 08, 2023

A Dischargeability Complaint Filed Without Investigation Resulted in Sanctions

We focus on ethics two days in a row, given the recent disturbing events in Houston.

9th Circuit, California, California Eastern District