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ABI Journal

Automatic Stay

Case Shows How Taggart Tilted the Scale Toward Lenders Accused of Contempt

An ambiguous demand letter violated the discharge injunction, but the lender was not held in contempt in light of Taggart.

BAP Opinion Shows How Taggart Changes the Outcome of Contempt Motions

Ninth Circuit BAP says that payment of a secured claim in full automatically terminates the underlying lien, even if the plan doesn’t say so explicitly.

Circuit Split Narrows on the Automatic Stay and Turnover of Repossessed Cars

Third Circuit also holds that turnover in Section 542(a) is not automatic. The debtor must mount an adversary proceeding to obtain a turnover of property.

Stay Annulment Is Ok Just to Avoid Liability for Willful Stay Violation

The debtors didn’t have a great case for a stay violation after filing six chapter 13 petitions and living rent-free for five years.

Fifth Circuit Still Precludes Arbitration of ‘Core’ Bankruptcy Issues

Fifth Circuit panel does not interpret recent Supreme Court authority as overruling circuit opinions allowing bankruptcy courts to disregard arbitration agreements.

Courts Split on Allowing a Late Claim if the Creditor Was Not Listed

Bankruptcy Judge Elizabeth Brown of Denver differs with Bankruptcy Judge Michelle Harner of Baltimore on the interpretation of Bankruptcy Rule 3002(c)(6).

In Chapters 7 and 13, ‘Excusable Neglect’ Won’t Always Justify Filing a Late Claim

A creditor without knowledge of bankruptcy isn’t always entitled to file a late claim in chapters 7, 12, and 13, Judge Harner says.