Agreements in Settlement of Nondischargeable Debts Are Themselves Nondischargeable
Fourth Circuit holds that attorneys’ fees and interest in pursuit of nondischargeable debts are themselves nondischargeable.
Avoidance Actions Are Estate Property that May Be Sold, the Fifth Circuit Says
The Fifth Circuit answered one of the two questions being posed at this year’s Duberstein Moot Court Competition.
Third Circuit Says: Bankruptcy Courts Have No Discretion to Deny Examiner Motions
Although examiners must be appointed on motion, the Third Circuit says that the bankruptcy court retains ‘broad discretion’ to fix the scope and cost of the investigation.
Courts Are Split on Including a Nonfiling Spouse’s Social Security Benefits
Judge Beth Buchanan decided that the ‘totality of the circumstances’ test for ‘abuse’ doesn’t permit disregarding the exemption for Social Security benefits.
An Unmarried ‘Partner’ Might Not Have a Homestead Exemption, Ninth Circuit Says
A California exemption law protecting victims of spousal abuse doesn’t apply to those who aren’t married.
Alabama Judge Gives a Mixed Message on Who Gets Postpetition P.I. Settlements
District court rules that proceeds from a postpetition personal injury claim are ‘additional disposable income’ that ordinarily goes to creditors in a chapter 13 plan.
Debt Purchaser Socked $65,000 for a Discharge Violation
Taggart doesn’t give more protection to a purchaser of debt than it does to the original creditor, Judge Scott Grossman says.
Reference Withdrawal on Houston Ethics Probe Pits UST Against Bankruptcy Judge
Despite consent by the firm to withdraw the reference of motions to disgorge its fees, a bankruptcy judge in Houston recommended against withdrawal to district court and against transfer to another district.
Supreme Court Seems Disinclined to Pay Refunds for Overpayment of U.S. Trustee Fees
Several justices seemed to believe that ‘prospective relief’ is sufficient to remedy the due process violation because the alternatives are ineffective.
Lender’s Attorneys Paid Twice the Debtor’s Counsel Fees
Unnecessarily holding the lender’s feet to the fire resulted in the allowance of attorneys’ fees to the lender that were twice the debtor’s counsel fees.