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ABI Journal

Practice and Procedure

The Supreme Court Refuses to Revisit Dewsnup

Arguably ignoring Sections 506(a) and 506(d), Dewsnup barred chapter 7 debtors from stripping down undersecured mortgages.

Barton Also Protects Asbestos Trusts, Delaware Judge Says

If a suit filed in violation of Barton ends up in bankruptcy court, must the judge still dismiss? The courts are split.

Bankruptcy Judge OKs Four Years of Jailing for Civil Contempt

An appellate court will decide whether four years of jailing means that civil incarceration has become futile.

An Objection to Third-Party Releases Must Be Raised in Bankruptcy Court

A non-objecting creditor is bound by a third-party release even if the release may have been improper.

Supreme Court Is on the Road to Overruling Dewsnup

A ‘cert’ petition asks the high court to overrule Dewsnup and allow chapter 7 debtors to strip down or strip off undersecured mortgages.

Without Excusable Neglect, Debtors May Claim Exemption in Reopened Cases

The date of the closing of a case is not a ‘specified period’ invoking Rule 9006(b)(1) and requiring a debtor to show excusable neglect before amending schedules to claim an exemption.

Seventh Circuit Makes Stays Pending Appeal Automatic in Mortgage Foreclosures

The Seventh Circuit’s opinion interpreting the amendment to Rule 62 is nonprecedential and prompted a dissent, and it may apply only in some states.

Fifth Circuit Declines to Expand Equitable Mootness Beyond Plan Confirmation

An appeal from an integrated sale and settlement can be dismissed under Section 363(m), the Fifth Circuit says.