October 11, 2021
Student Loans Were Discharged Only with Assistance from Pro Bono Counsel
A debtor with negative disposable income was forced to go through two trials and three appeals to discharge student loans.
11th Circuit, Alabama, Alabama Middle DistrictOctober 07, 2021
On Student Loan Discharge, District Judge Requires Responses to Unasserted Defenses
New York district judge requires a student loan debtor to prove the reasonableness of living expenses when the lender never objected.
2nd Circuit, New York, New York Southern DistrictOctober 01, 2021
Third Circuit Makes Strict Rules Before Subrogation Rights Kick In
There can be no question about whether the beneficiary of a surety bond has been ‘paid in full’ before the surety has subrogation rights.
3rd CircuitSeptember 29, 2021
Objections to Priority Claims May Follow Confirmation of a Chapter 13 Plan
Confirming a chapter 13 plan on the assumption that a claim was entitled to priority didn’t bar the debtors from later objecting to the priority of the claim.
7th Circuit, Wisconsin, Wisconsin Eastern DistrictSeptember 20, 2021
Split Heading to the Tenth Circuit on Sovereign Immunity for Section 544(b) Claims
The Tenth Circuit will likely take sides on a split between the Ninth and Seventh Circuits on Section 544(b) state-law claims brought by a trustee in the shoes of an actual creditor.
10th Circuit, UtahSeptember 10, 2021
Civil Penalties for Defrauding Consumers Weren’t Discharged Under Section 1141(d)(6)(A)
Reversing the bankruptcy court, a district judge in New York held that a civil penalty wasn’t discharged even though the fraud wasn’t committed against the government.
2nd Circuit, New York, New York Southern DistrictJuly 02, 2021
Sovereign Immunity Prevailed Because a Slot Machine License Isn’t ‘Property’
In Pennsylvania, a gaming license isn’t ‘property.’ It’s a revocable license that can’t be owned.
3rd CircuitMay 28, 2021
Third Circuit Finds Broad Waiver of Sovereign Immunity for Suits Augmenting the Estate
Circuit Judge Ambro generously interprets Katz to mean that ratification of the Constitution waived state sovereign immunity broadly for suits to augment a bankrupt estate.
3rd CircuitApril 28, 2021
First Circuit Liberally Interprets the Police and Regulatory Stay Exception
The appeals court reviews the ‘totality of the circumstances’ when government action has elements of both regulatory enforcement and furtherance of the state’s pecuniary interest.
1st CircuitApril 14, 2021
Fourth Circuit Seems to Give the Government a Pass for Violating the Stay
Fourth Circuit expands federal government’s setoff rights under the Treasury Offset Program.
4th Circuit