Seventh Circuit holds that comparative fault requires a reduction in compensatory damages for a discharge violation but not for a debtor’s attorneys’ fees.
A plan saying that it satisfies and settles claims does nothing more than discharge the claims. It doesn’t extinguish the claims, the Fifth Circuit says.
Judge Meredith Grabill of New Orleans agreed with New York’s Judge Mastando that a Subchapter V plan can enjoin lawsuits against nondebtors for the life of a three-year plan.