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ABI Journal

May 13, 2019

Malicious Theft of Trade Secrets Doesn’t Result in Nondischargeability, Circuit Says

Egregious behavior doesn’t always result in nondischargeability for willful and malicious injury.

4th Circuit

May 07, 2019

District Court Upholds Discharge of a Portion of Student Loan Debt

Finding ‘undue hardship’ held not to require discharging all student loan debt.

10th Circuit, Kansas

April 29, 2019

Disciplinary Sanctions Held Nondischargeable Even Though Not Paid to the State

The Ninth Circuit BAP follows Kelley, even though the panel implies that the Supreme Court tortured the language in Section 523(a)(7).

9th Circuit

April 25, 2019

Supreme Court Hears Argument on Good Faith as Defense to Discharge Violation

In Taggart v. Lorenzen, the justices sounded largely noncommittal, except for the Chief Justice, who seemed in the debtor’s camp favoring a stricter standard for contempt of the discharge injunction.

Supreme Court

April 24, 2019

Bankruptcy Notice to a Creditor Represented by Counsel in State Court Is Adequate

Conversely, giving notice to a creditor’s state-court counsel may not be adequate, New Jersey judge says.

3rd Circuit, New Jersey

April 23, 2019

Supreme Court Won’t Intervene in Fight Between Jay Alix and McKinsey

Supreme Court will not rule on whether upholding the integrity of the judicial system by itself confers appellate standing.

Supreme Court

April 17, 2019

Lenders Admonished to Demand Nothing More in Plans than the Law Allows

Judge Hunt in Chicago tells debtors’ counsel to oppose inclusion of unjustifiable provisions in chapter 13 plans, even if it means contested confirmation hearings.

7th Circuit, Illinois, Illinois Northern District

April 15, 2019

Is the ‘Accrual Test’ for the Existence of a Claim Alive and Well after Grossman’s?

Are there two tests for the existence of a claim, one test for claims against the debtor and another test for claims by the debtor?

6th Circuit

April 10, 2019

Refunds by Creditors After Chapter 13 Discharge Go to Creditors, Not the Debtor

The logic of Harris v. Viegelahn doesn’t mean that chapter 13 debtors receive distributions refunded by creditors.

4th Circuit, Virginia, Virginia Western District

April 08, 2019

Arizona Judge Grants Discharge Despite Default on Direct-Pay Mortgage

Courts are split on denying a chapter 13 discharge for missing payments made directly to the mortgagee.

9th Circuit, Arizona