April 23, 2018

Still No Universal Test for Bifurcating an Auto Loan in Chapter 13

Courts are groping to define ‘personal use’ because Congress didn’t.

6th Circuit, Tennessee, Tennessee Eastern District

April 21, 2018

Claims Under Section 544(b) Are Estate Property and Can Be Sold or Assigned, Judge Says

Courts are split on the status of inherited claims as estate property.

8th Circuit, Minnesota

April 21, 2018

Discharge Cannot Be Revoked if Knowledge of Fraud Came Before Discharge

The deadline for objecting to discharge can be extended under Rule 4004(d) after the deadline has passed.

9th Circuit

April 20, 2018

Prefiling Expenses Can’t Be Reimbursed in a Chapter 13 Plan in Western Louisiana

Debtor’s counsel can’t recover prefiling expenses in a ‘no money down’ bankruptcy in the W.D. La.

5th Circuit, Louisiana, Louisiana Western District

April 19, 2018

Interest at the State Rate Applies to Pre-Petition Judgments Found Nondischargeable

The rate of post-judgment interest on a nondischargeable debt depends on whether there was a judgment before or after filing, the Ninth Circuit BAP says.

9th Circuit

April 18, 2018

Supreme Court Holds Argument in Lamar, Archer & Cofrin on Dischargeability

The high court seemed primed to rule that a debt will be discharged despite an oral misrepresentation about one asset.

Supreme Court

April 18, 2018

Nondischargeability Is No Bar to Feasibility in an Individual Chapter 11

Holders of nondischargeable claims can be forced to accept pro rata payments during the life of the plan and collect the remainder only after discharge or dismissal, the BAP rules.

6th Circuit

April 17, 2018

Granting or Denying a Homestead Exemption Remains a Final Order in the Ninth Circuit

Bullard did not undermine the automatic appealability of orders granting or denying homestead exemptions.

9th Circuit

April 10, 2018

Filing Date Controls Whether Residential Mortgages Can Be Modified

Courts are split on two issues regarding the antimodification provisions in Sections 1123(b)(5) and 1322(b)(2).

1st Circuit, Massachusetts

April 10, 2018

Failing to Purchase Health Insurance Won’t Result in a Priority Tax Claim

Another court rules that Sebelius isn’t controlling on the characterization of the individual mandate under the Bankruptcy Code.

4th Circuit, North Carolina, North Carolina Eastern District