Equity Won’t Extend the Deadline for Filing a Dischargeability Complaint
The circuits are split on whether equity can extend the 60-day deadline for filing dischargeability complaints.
Ninth Circuit BAP Limits Bartenwerfer on Vicarious Liability for Nondischargeability
The Ninth Circuit BAP explains why Bartenwerfer didn’t open the door to vicarious liability for all forms of nondischargeability in Section 523(a).
On Remand from the Supreme Court in Truck Ins., Fourth Circuit Upholds Confirmation
Fourth Circuit says there’s nothing in the Bankruptcy Code requiring ‘anti-fraud’ provisions in a mass tort chapter 11 plan. The appeals court also holds that an ‘asbestos’ plan isn’t filed in bad faith when the plan gives an insurer no more rights than the insurer has under its policy.
‘Notice’ in Rule 3002(c)(7) Means Notice of the Bar Date, Not Notice of the Case
Bankruptcy Judge Scott Grossman adopted the analysis by Bankruptcy Judge Brian Walsh in concluding that creditors are entitled to notice of the claims bar date, not just notice of the filing.
Post-Petition or ‘Evergreen’ Retainers Are Permissible in Subchapter V, Judge Isicoff Says
A Sub V case was not of a ‘size or exceptional nature’ to justify a post-petition retainer when counsel could file interim fee applications.
Middle Ground on the Circuit Split over Dismissal vs. Conversion in Chapter 13
Bankruptcy Judge Michael Fagone permits dismissal of a chapter 13 case, but with a bar to refiling within two years.
Fraudulent ‘Omission’ Isn’t a ‘Statement’ for Nondischargeability Purposes, BAP Says
If a fraudulent omission were a ‘statement,’ the BAP explains why nondischargeability would be almost impossible to prove.
Panel Trustee’s Personal Misconduct Was Grounds for Removal for ‘Cause,’ BAP Says
The panel trustee had been found in state court to be a spousal abuser who lied in obtaining a Covid loan.
Debtors’ Lawyer Has No 7th Amendment Right to Sue for Post-Petition Fees, Circuit Says
The debtors’ inequitable conduct didn’t relieve counsel of the duty to disclose fees charged for post-petition litigation.
Fifth Circuit: Repayment of Unsecured Term Loan Sometimes Must Be Accelerated in ‘13’
A 2/1 decision required chapter 13 debtors to accelerate repayment of nondischargeable student loans.