%1

Future liability on a lease was counted as a liquidated, noncontingent debt in calculating whether the Subchapter V debtor had more than $7.5 million in debt.

Bankruptcy Judge Klinette H. Kindred declined to expand Bartenwerfer by imputing fraud or larceny when the debtor wasn’t a partner or agent.

The Fourth Circuit majority upheld a preliminary injunction barring tort suits against a debtor’s nonbankrupt affiliates following a Texas divisional merger.

The Fourth Circuit agreed with the Sixth and Ninth Circuits by allowing chapter 13 debtors to deduct their actual mortgage expenses, not limited by the local standard mortgage deduction.

The $7.5 million debt cap for Subchapter V doesn’t include the debt of affiliates who file later.

Affirming the bankruptcy court, the district court found that bifurcated fees are excessive and that inadequate disclosures violated Sections 526 and 528.

Fourth Circuit opinion shows how abstention is a powerful tool that insulates an erroneous decision from appellate review.

Although collecting a ‘DSO’ from non-estate property is permitted by Section 362(b)(2)(B), a district judge says that an in personam suit against the debtor can violate the automatic stay.

One of the biggest unanswered questions in chapter 13 sometimes forces debtors to keep homes they need to sell or strips away appreciation if they are forced to sell.

Subordinated lenders can’t take a ‘haircut,’ give a ‘tip’ to the trustee, sell a home and eradicate the debtor’s homestead exemption.