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ABI Journal

August 14, 2024

Preserving Defensive Setoff Rights Doesn’t Require Filing a Claim, Judge Glenn Says

Defensive setoff rights are not discharged by chapter 11 confirmation, even when no proof of claim was filed.

2nd Circuit, New York, New York Southern District

August 09, 2024

Nondischargeability Is a ‘Thing’ for Corporate Subchapter V Debtors, Judge Thorne Says

The tide is turning against corporate Sub V debtors. Two bankruptcy judges now side with two circuits in holding that debts of corporate debtors can be nondischargeable.

7th Circuit, Illinois, Illinois Northern District

July 22, 2024

BAP Pushes Back Against Kelly on the Dischargeability of Disciplinary Costs

The Ninth Circuit BAP rebelled against the Supreme Court’s departure from the statute in Kelly v. Robinson on dischargeability under Section 523(a)(7).

9th Circuit

July 03, 2024

Fourth Circuit Broadly Defines Restitutions that Aren’t Discharged in Chapter 13

The federal appeals court brushed aside technicalities under state criminal law in deciding that an order for restitution was not discharged under Section 1328(a)(3).

4th Circuit

July 02, 2024

Judicial Estoppel Barred the Debtor from Filing an Undisclosed ‘PI’ Claim, Circuit Says

Eighth Circuit holds that a chapter 13 debtor, not the trustee, has standing to bring personal injury claims.

8th Circuit

June 21, 2024

Discharge Injunction Violations Can’t Be Heard in Federal District Court

Circuits are split on whether claims for contempt of the discharge injunction must be brought in the bankruptcy court that issued the discharge.

7th Circuit, Illinois, Illinois Northern District

June 20, 2024

Corporate Debts in Sub V Can Be Nondischargeable, Judge Says, Differing with His BAP

Bankruptcy Judge Hercher agreed with the results in the Fourth and Fifth Circuits but disagreed with some of the appeals courts’ logic.

9th Circuit, Oregon

June 03, 2024

Ninth Circuit Bankruptcy Judges Disagree on Allowing Emotional Distress Damages

One day apart, bankruptcy judges in the Ninth Circuit disagreed on emotional distress damages for violations of the discharge injunction.

9th Circuit

May 10, 2024

Collecting a Student Loan Can (Sometimes) Violate the Discharge Injunction, BAP Says

The Ninth Circuit BAP holds that nondischargeability of student loans in Section 523(a)(8) isn’t ‘self-executing.’

9th Circuit

April 23, 2024

Another Court Holds that PACA Trusts Do Not Give Rise to Nondischargeable Debts

Violating a PACA trust does not result in ‘defalcation while acting in a fiduciary capacity’ that makes a debt nondischargeable, Bankruptcy Judge Panos says, taking sides with the Eleventh Circuit.

1st Circuit, Massachusetts