Ninth Circuit abjures bright lines in favor of a flexible approach to defining recoupment.
The obligation on a mortgage is incurred when the mortgage is granted, even though the payment default may occur after filing, Judge Thuma says.
Fourth Circuit answered a question of first impression where the lower courts disagreed.
Now on the district court bench, then-Bankruptcy Judge Frank Volk was upheld in a tricky case involving the government’s right of setoff.