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ABI Journal

Discharge/Dischargeability

If It’s Consensual, a Plan Can Discharge a Nondischargeable Debt

A debt that’s been paid in full under state law is discharged even if the debtor never receives a discharge, Judge Klein says.

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.

Discharge Is Enforceable Only in the Issuing District, Fifth Circuit Says

Fifth Circuit bars nationwide class actions to enforce the discharge injunction. However, the appeals court ruled that private student loans are dischargeable.

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.

Knowledge of Fraud Before Discharge Doesn’t Always Preclude Revocation

Eleventh Circuit refuses to read words into Section 727(d)(2) that aren’t there.

Tuesday, October 8, 2019
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Split Continues on Loss of Chapter 13 Discharge for Missing Direct Mortgage Payments

Georgia judge focuses on ‘good faith’ to decide whether a chapter 13 debtor should lose a discharge after missing direct mortgage payments.

Proceedings for Contempt Discharge Held Not Subject to Arbitration

Florida case raises the question of whether the Supreme Court will eventually give bankruptcy a general exemption from arbitration, or an exemption only for core proceedings.