The issue of whether denial of confirmation is a final, appealable, order has made its way to the Supreme Court in a petition for certiorari filed by the debtors. Gordon v. Bank of Amer., S. Ct. No. ____ (filed May 22, 2014). [Read more…] about Petition for Cert. On Appealability of Confirmation Denial
Same-Sex Couple May File as Joint Debtors
The debtors, a same-sex couple, were legally married in Iowa but lived and filed for chapter 13 bankruptcy as joint debtors in Wisconsin. Creditor, Seaway Bank, moved to dismiss or, in the alternative, to bifurcate the bankruptcy petition. Finding that a federal bankruptcy court must recognize the validity of a marriage that was legal in the state in which it took place, the court denied Seaway’s motion. In re Matson, No. 13-35361 (Bankr. E.D. Wisc. Apr. 29, 2014). [Read more…] about Same-Sex Couple May File as Joint Debtors
Tax Liability Nondischargeable Where Returns Filed Post-Assessment
Massachusetts law treats post-assessment, late-filed, tax returns as “abatement applications” and, therefore, any tax liability based on those documents is nondischargeable. Pendergast v. Mass. Dept. of Rev. (In re Pendergast), No. 13-32 and Wood v. Mass. Dept of Rev. (In re Wood), No. 13-058 (B.A.P. 1st Cir. May 2, 2014). [Read more…] about Tax Liability Nondischargeable Where Returns Filed Post-Assessment
Denial of Confirmation Not Final, Appealable, Order
Where the debtor is free to propose an amended plan, the First Circuit found that denial of confirmation is not a final, appealable, order. Bullard v. Hyde Park Savings Bank, No. 13-9009 (May 14, 2014). [Read more…] about Denial of Confirmation Not Final, Appealable, Order
Undistributed Funds Returned to Debtor upon Dismissal
When a chapter 13 case is dismissed, funds held by the trustee must be returned to the debtor. So said the district court in Williams v. Marshall (In re Williams), No. 13-2326 (N.D. Ill. Apr. 11, 2014). [Read more…] about Undistributed Funds Returned to Debtor upon Dismissal
Shortening Plan Duration without Decreasing Payment Amount Constitutes Modification
A proposed change to a confirmed chapter 13 plan that would pay creditors the same amount owed through the confirmed plan over a shorter period of time constitutes a “modification” to which section 1329 applies. In re Refosco, No. 13-cv-01219 (W.D. Pa. April 9, 2014). [Read more…] about Shortening Plan Duration without Decreasing Payment Amount Constitutes Modification
No Older Vehicle Expense Deduction for Above-Median Debtors
An above-median debtor may not take the older vehicle expense deduction of $200.00 when calculating his projected disposable income. In re Luedtke, No. 13-1313 (B.A.P. 9th Cir. April 9, 2014). [Read more…] about No Older Vehicle Expense Deduction for Above-Median Debtors
Projected Disposable Income Begins with Means Test
When calculating known or virtually certain changes to income or expenses, the starting point is the monthly income as shown on the means test rather than Schedules I and J. Kramer v. Bankowski (In re Kramer), No. 13-37 (B.A.P. 1st Cir. March 3, 2014). [Read more…] about Projected Disposable Income Begins with Means Test
Ninth Circuit Permits Award of Appeal Fees
The Ninth Circuit has cracked open a door that Sternberg seemed to have slammed shut by holding that a debtor is not precluded from recovering, as damages, attorneys’ fees for defending against a creditor’s appeal of a finding that the creditor violated the automatic stay. America’s Servicing Co. v. Schwartz-Tallard, No. 12-60052 (9th Cir. Apr. 16, 2014). [Read more…] about Ninth Circuit Permits Award of Appeal Fees
No Jurisdiction over TILA Claim Post-Discharge
Once the trustee abandoned the real property and the debtor was discharged from her chapter 7 case, the court declined to exercise jurisdiction over the pending adversary proceeding involving Truth in Lending Act claims. Bank of Amer. v. Travers, No. 11-12650, A.P. No. 11-1047 (Bankr. D. R.I. March 25, 2014). [Read more…] about No Jurisdiction over TILA Claim Post-Discharge