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ABI Journal

May 05, 2025

‘Notice’ in Rule 3002(c)(7) Means Notice of the Bar Date, Not Notice of the Case

Bankruptcy Judge Scott Grossman adopted the analysis by Bankruptcy Judge Brian Walsh in concluding that creditors are entitled to notice of the claims bar date, not just notice of the filing.

11th Circuit, Florida, Florida Southern District

May 01, 2025

Middle Ground on the Circuit Split over Dismissal vs. Conversion in Chapter 13

Bankruptcy Judge Michael Fagone permits dismissal of a chapter 13 case, but with a bar to refiling within two years.

1st Circuit, Maine

April 29, 2025

Panel Trustee’s Personal Misconduct Was Grounds for Removal for ‘Cause,’ BAP Says

The panel trustee had been found in state court to be a spousal abuser who lied in obtaining a Covid loan.

9th Circuit

April 28, 2025

Debtors’ Lawyer Has No 7th Amendment Right to Sue for Post-Petition Fees, Circuit Says

The debtors’ inequitable conduct didn’t relieve counsel of the duty to disclose fees charged for post-petition litigation.

3rd Circuit

April 25, 2025

Fifth Circuit: Repayment of Unsecured Term Loan Sometimes Must Be Accelerated in ‘13’

A 2/1 decision required chapter 13 debtors to accelerate repayment of nondischargeable student loans.

5th Circuit

April 24, 2025

On a Split, Ninth Circuit BAP Holds: Misconduct in ‘11’ Doesn’t Prevent Conversion to ‘7’

Given that chapter 7 has remedies like denial of discharge for a debtor’s misconduct, bad faith in chapter 11 doesn’t allow dismissal on conversion to chapter 7.

9th Circuit

April 08, 2025

Trustee May Not Liquidate Estate Property Solely to Benefit a DSO Creditor

Affirming Bankruptcy Judge Michael Romero, the district court holds that an exemption remains valid even though the exempt property remains subject to a nondischargeable domestic support obligation.

10th Circuit, Colorado

April 07, 2025

Married Immediately Before Bankruptcy, the ‘Household’ Is Two, Not One

Wife who contributed nothing toward household expenses is still counted as part of the ‘household,’ Chicago’s Judge Slade says.

7th Circuit, Illinois, Illinois Northern District

March 28, 2025

Estimated Tax Payments Made Before Filing Aren’t Fraudulent Transfers to the IRS

When estimated tax payments are ‘reasonable’ estimates of the year’s taxes, they aren’t fraudulent transfers, district judge says

5th Circuit, Texas, Texas Western District

March 26, 2025

Bankruptcy Judge Upheld: No Arbitration on Claims for Violating the Automatic Stay

Bankruptcy Judge Paul Black was affirmed in district court for holding that arbitration of claims for violating the automatic stay would conflict with the centrality of administration in bankruptcy cases.

4th Circuit, Virginia, Virginia Western District