Type: Amicus
Date: July 25, 2022
Description: Interest rate on arrears
Result: Pending
Numa Corp. v. Diven, No. 22-15298 (9th Cir.)
Type: Amicus
Date: July 25, 2022
Description: Sanctions for continuation of tribal case despite automatic stay.
Result: Judgment affirmed, November 22, 2022.
Evans v. McCallister, No. 22-35216 (9th Cir.)
Type: Amicus
Date: July 6, 2022
Description: Whether the bankruptcy court erred in ruling that the Chapter 13 trustee may not retain a fee in a case dismissed prior to confirmation of a plan.
Result: Pending
Soussis v. Macco, No. 22-155 (2d Cir.)
Type: Amicus
Date: April 21, 2022
Description: Whether a Chapter 13 trustee is entitled to an award of the trustee’s statutory fee in a case that is dismissed prior to confirmation of a plan.
Result: Pending
Bartenwerfer v. Buckley, No. 21-908 (USSCt)
Type: Amicus
Date: July 26, 2022
Description: Whether a bankruptcy debtor can be held liable for another person’s fraud, which cannot be discharged in bankruptcy, even when she was not aware of the fraud.
Result: Pending
$5 Million Domestic Support Debt and Offshore Trust
The bankruptcy court was not bound by the state court’s finding that the debtor’s ex-wife did not violate the stay when she had the debtor arrested for failure to pay domestic support out of an offshore trust he claimed no ownership interest in, but the court found the issues more appropriate for summary judgment and granted the debtor’s motion to vacate its earlier order of dismissal. Foufas v. Foufas, No. 20-22967, Adv. Proc. No. 22-1013 (Bankr. S.D. Fla. June 17, 2022). [Read more…] about $5 Million Domestic Support Debt and Offshore Trust
Debt To Client Security Fund Dischargeable as Compensatory
“Indebtedness arising from a disbarred attorneys’ obligation to reimburse the State Bar for payments made by the CSF to victims of that attorney’s misconduct are not excluded from discharge under § 523(a)(7).” Kassas v. State Bar of Calif., No. 21-55900 (9th Cir. Aug. 1, 2022).
After the chapter 7 debtor was disbarred from the practice of law, the State Supreme Court ordered him to pay restitution in the amount of $201,706 to be distributed to 56 of his clients, and $61,122.27 to the State Bar to reimburse its costs of investigation and discipline. The court also ordered the debtor to reimburse California’s Client Security Fund (CSF) for its payments to clients injured by his misconduct. [Read more…] about Debt To Client Security Fund Dischargeable as Compensatory
Covid Mortgage Forbearance Justifies Plan Modification
The court granted the trustee’s motion to modify the debtor’s chapter 13 plan, finding that the debtor’s mortgage deferral due to Covid was an “unanticipated and substantial” change in his financial status which he had a duty to disclose and which increased his income for 18 months during the plan. In re Ilyev, No. 17-12987 (Bankr. E.D. Va. July 26, 2022). [Read more…] about Covid Mortgage Forbearance Justifies Plan Modification
Bankruptcy Court Takes 7th Circuit to Task
The bankruptcy court gave the debtors guidance on how to challenge a decision issued by the Seventh Circuit earlier this month by pointing out, among other things, that the circuit court decision addressed an order not actually on appeal before it. In re Terrell, No. 18-28674 (Bankr. E.D. Wisc. July 19, 2022). [Read more…] about Bankruptcy Court Takes 7th Circuit to Task
Refinancing Loans Not Consumer Debts
The movant bears the burden of demonstrating by a preponderance of the evidence that the debtor’s debts were “consumer” rather than “business,” and the debtor’s subjective purpose in taking out the loans is a crucial factor where the debts do not fall neatly into either category. Centennial Bank v. Kane, No. 21-4597 (N.D. Cal. July 22, 2022). [Read more…] about Refinancing Loans Not Consumer Debts