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ABI Journal

November 04, 2019

If It’s Consensual, a Plan Can Discharge a Nondischargeable Debt

A debt that’s been paid in full under state law is discharged even if the debtor never receives a discharge, Judge Klein says.

9th Circuit, California, California Eastern District

November 01, 2019

BAP Opinion Shows How Taggart Changes the Outcome of Contempt Motions

Ninth Circuit BAP says that payment of a secured claim in full automatically terminates the underlying lien, even if the plan doesn’t say so explicitly.

9th Circuit

October 31, 2019

Circuit Split Narrows on the Automatic Stay and Turnover of Repossessed Cars

Third Circuit also holds that turnover in Section 542(a) is not automatic. The debtor must mount an adversary proceeding to obtain a turnover of property.

3rd Circuit

October 30, 2019

Another Appellate Court Bars Arbitration of ‘Core’ Claims

State attorney general was allowed to intervene in a class suit alleging that a lender violated usury laws.

4th Circuit, Virginia, Virginia Eastern District

October 29, 2019

To Sue a Subsequent Transferee, Proving a Fraudulent Transfer Isn’t Always Required

A subsequent transferee may be entitled to challenge a fraudulent transfer judgment from a prior suit against the initial transferee.

11th Circuit, Florida, Florida Southern District

October 24, 2019

A 362(k) Claim May Be Brought Without Reopening the Bankruptcy, Circuit Says

Section 362(k) creates a private right of action that may be maintained even after dismissal of the underlying bankruptcy, the Third Circuit says.

3rd Circuit

October 23, 2019

Stay Annulment Is Ok Just to Avoid Liability for Willful Stay Violation

The debtors didn’t have a great case for a stay violation after filing six chapter 13 petitions and living rent-free for five years.

9th Circuit

October 22, 2019

Fifth Circuit Still Precludes Arbitration of ‘Core’ Bankruptcy Issues

Fifth Circuit panel does not interpret recent Supreme Court authority as overruling circuit opinions allowing bankruptcy courts to disregard arbitration agreements.

5th Circuit

October 21, 2019

‘Disinterestedness’ Governs Approval of a Future Claimants’ Representative

Negotiating a prepackaged asbestos plan and having been paid by the debtor does not disqualify a future claimants’ representative under the disinterestedness standard.

3rd Circuit, New Jersey

October 15, 2019

Sanctions Imposed on a Law Firm Retained under a Fictitious Name

Although Florida permits practicing law under a fictitious name, the Bankruptcy Rules are more rigorous and require full disclosure, new Delaware judge says.

3rd Circuit, Delaware