December 9, 2019
Archives
ahern_larry

2019 Legislation Affecting Bankruptcy Practice – Part VI

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern continues reporting on bankruptcy-related legislation passed in the first session of the 116th Congress. This Part VI begins his review of issues of particular interest to debtors and their counsel, arising under the new small-business subchapter added to Chapter 11, starting with a primer on Chapter 11 confirmation rules.
rapoport

Ask Ms. Ps & Qs

By Professor Nancy Rapoport
“I’ve found a set of cases that intrigued me, . . . courts here in Nevada have made it clear that lawyers should do a better job of proving up their fees (and proofreading them), . . .”
redcar

An Interesting Opinion from the Sixth Circuit BAP – In re Donnadio

(Not password protected)
“ . . . where Creditor objected to confirmation of Debtors’ plan because it did not include a provision regarding the retention of Creditor’s lien securing its 910 Claim—the bankruptcy court erred in confirming Debtors’ plan. Further, including Lien Retention Language in a nonstandard provision in Debtors’ plan to address Creditor’s objection does not violate Rule 9009(a) . . . bankruptcy court’s Opinion is REVERSED.”
farmerfield

Farmers in the News

(Not password protected)
December 2, 2019
Archives

Due to the Thanksgiving Break, we bring you an abbreviated and “Greatest Hits” Update.

petefessenden
This is a lovely, new article.

Senior Moments

By Peter Fessenden, Chapter 13 Standing Trustee, Retired September 30, 2017 (Portland, ME)
Continuing our series of articles from now retired Chapter 13 Trustees . . .“To everything there is a season.”
cmoran

Taxes, Offset, and Mutuality

By Cathy Moran, Esq. (Redwood City, CA)
“. . . as we approach the end of the tax year, a client’s current year tax situation becomes another moving part in the ‘when do we file’ analysis.”
gretchenholland

Trustee Cannot Require Debtor to Treat Nondischargeable Student Loan Debts in a Separate Class

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina
“In fact, some discrimination is even allowed – as long as it’s not unfair discrimination.”Be sure to scroll to the end of the article for a surprise!
ahern_larry
Are you behind on the SBRA?

Three Last Things Trustees Should Know About the Small Business Reorganization Act of 2019 – Part V

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern continues a report on bankruptcy-related legislation. This Part V concludes his review of issues arising under the new small business subchapter added to Chapter 11, of particular interest to Chapter 12 and 13 trustees.See also our previously published articles:

hildebrand
A good time to catch up on the ABI Recommendations . . .

ABI Commission on Consumer Bankruptcy Recommendations – What Does It Mean to Surrender?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

If You Have These Personality Traits, You Could Be at Higher Risk of Going Broke in Retirement

williambrown
In Case You Missed It. . .December 1 is HERE

New and Revised Bankruptcy Forms

By William Houston Brown, Editor and Adviser, NACTT Academy for Consumer Bankruptcy Education, Inc.
This week Judge Brown breaks down the new and revised bankruptcy forms that you need to be aware of.AND . . . below is a link to a really good article on rule amendments you also need to be aware of . . .

Amendments to the Federal Rules of Bankruptcy Procedure Take Effect December 1, 2019

(Not password protected)
November 25, 2019
Archives
givethanks

Happy Thanksgiving
from Us to You

kevinanderson

Per Capita Bankruptcy Filings Heat Map

Based on data provided by the American Bankruptcy Institute using data compiled by Epiq Systems, Judge Kevin Anderson shares a bankruptcy heat map which illustrates per capita consumer filings by state (includes both Ch 7 and Ch 13 filings). Below are the top ten states in per capita filings. The numbers represent year-to-date filings through September 2019.
Click here for the map
Click here for the raw data

Ranking State Filings per 1,000
1 Alabama 5.75
2 Tennessee 5.47
3 Georgia 4.43
4 Mississippi 4.28
5 Nevada 3.82
6 Illinois 3.79
7 Indiana 3.67
8 Arkansas 3.66
9 Kentucky 3.56
10 Utah 3.50
supremecourt
farmerfield

Farmers in the News

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Debt Collection Scams

  • Dealing with debt collection issues can be challenging—especially when you’re not sure if the person you’re being contacted by is a legitimate debt collector or someone trying to scam you. The CFPB has released a video to help educate the public on the difference in scam vs. real.

5 Signs an Online Loan Is a Debt Trap

williambrown

In Case You Missed It. . .December 1 is NEXT Week

New and Revised Bankruptcy Forms

By William Houston Brown, Editor and Adviser, NACTT Academy for Consumer Bankruptcy Education, Inc.

This week Judge Brown breaks down the new and revised bankruptcy forms that you need to be aware of.AND . . . below is a link to a really good article on rule amendments you also need to be aware of . . .

Amendments to the Federal Rules of Bankruptcy Procedure Take Effect December 1, 2019

(Not password protected)
November 18, 2019
Archives
AlexSchmidt

In re Crocker: New Approaches to Discharge Enforcement and Student Loan Dischargeability?

By Alexander E. Schmidt, Law Clerk to the Honorable John P. Gustafson (Toledo, OH)
“Not only do these opinions oftentimes illuminate the dark corners of the law, they can also raise or provide answers to questions attorneys did not know they needed to ask.”
ahern_larry

Three Last Things Trustees Should Know About the Small Business Reorganization Act of 2019 – Part V

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

This week, Larry Ahern continues a report on bankruptcy-related legislation. This Part V concludes his review of issues arising under the new small business subchapter added to Chapter 11, of particular interest to Chapter 12 and 13 trustees.See also our previously published articles:

cmoran

Why Your Bankruptcy Client Doesn’t Understand You (And How to Fix the Problem)

By Cathy Moran, Esq. (Redwood City, CA)
We often seem to be speaking different languages.Let’s have some fun with this; please insert your comments in the comments section at the bottom of the article page.
uscourts

From the Courts

(Not password protected)

2019 Director’s Awards Presented for Leadership, Excellence, Bravery

Two of the ten recipients are from Bankruptcy Courts! One of whom you met last week – Double Duty: Reflections of an Army General and Clerk of CourtCongratulations to all!
usbankruptcycourt

From the United States Trustee

(Not password protected)

Location: District of Guam, Missouri
Application Deadline: November 22, 2019

uscourts

From the Courts

(Not password protected)
irs
williambrown

In Case You Missed It. . .

New and Revised Bankruptcy Forms

By William Houston Brown, Editor and Adviser, NACTT Academy for Consumer Bankruptcy Education, Inc.

This week Judge Brown breaks down the new and revised bankruptcy forms that you need to be aware of.AND . . . below is a link to a really good article on rule amendments you also need to be aware of . . .

Amendments to the Federal Rules of Bankruptcy Procedure Take Effect December 1, 2019

(Not password protected)
November 11, 2019
Archives
veterans-and-flag

Happy Veteran’s Day

We at The Academy thank each
of you for your valuable service.

marciaanderson

In honor of Veteran’s Day, we bring you a story from uscourts.gov

(Not password protected)

Double Duty: Reflections of an Army General and Clerk of Court

williambrown

New and Revised Bankruptcy Forms

By William Houston Brown, Editor and Adviser, NACTT Academy for Consumer Bankruptcy Education, Inc.

This week Judge Brown breaks down the new and revised bankruptcy forms that you need to be aware of.AND . . . below is a link to a really good article on rule amendments you also need to be aware of . . .

Amendments to the Federal Rules of Bankruptcy Procedure Take Effect December 1, 2019

(Not password protected)
kennethstill

Memories of a Chapter XIII Trustee

By C. Kenneth Still, Standing Chapter 13 Trustee for the Eastern District of Tennessee, Retired (1968-2015)
The title to this article does not nearly give it justice. This is a delightful, short memoir of a 47-year career.
supremecourt

From the Supreme Court

(Not password protected)
  • Argument Preview: Justices to consider when creditors in bankruptcy can appeal orders denying relief from the automatic stay
ncbrc

From the National Consumer Bankruptcy Rights Center

(Not password protected)
  • No Amortization of Tax Refund in W.D. Texas
    • Note that Standing Trustee Mary Viegelahn (Vega v. Viegelahn and Diaz v. Viegelahn) is Program Chair for the 2020 NACTT conference in San Diego. Mark your calendar NOW; it’s going to be EPIC!!! July 9-11, 2020. BE THERE!
notjustajob

For the Academic Set

(Not password protected)
Not Just a Job: New Evidence on the Quality of Work in the United States – Find out what matters most to U.S. workers and how the quality of their current job compares to the quality of life they want.Pretty interesting findings. To Download the report, you may have to sign in – name/email address – to get a link to download the report.
usbankruptcycourt

From the United States Trustee

(Not password protected)

DEADLINE TO APPLY IS NOVEMBER 15, 2019

Solicitation of Applicants to Serve as Subchapter V Trustees

Announcements are going up, all over the country, for applications to be a Small Business Trustee. Click here for the national, uniform information then scroll to your state for the applicable email address to which submissions should be sent.
farmerfield

Farmers in the News

(Not password protected)
  • Report: Farm bankruptcies rose 24% over past year, growers increasingly depend on federal aid, programs
kristinastanger

Newest Webinar Recording Now Available

The HAVEN Act – Understanding this complicated new law

jessicayoungbergA comment from one debtor attorney:

“One of the best presentations I have heard in many years. Clear,
concise, relevant, thorough. Excellent materials.”

The HAVEN Act – effective NOW – is a helpful, yet complicated new tool in your arsenal to help veterans get the fresh start offered through bankruptcy.

Chapter 13 Trustee Naliko Markel moderates a one hour discussion between Kristina M. Stanger and Jessica Hopton Youngberg. Both Stanger and Youngberg were members of the ABI Task Force and each has extensive experience in the area of veteran affairs.

AND FOR THOSE WHO JOINED THE LIVE PRESENTATION:

There were many questions regarding the example discussed on Slide #26. Click here for an augmented dissection of the example.

debt

Student Loan Chronicles

(Not password protected)
gretchenholland

In Case You Missed It. . .

Hanging Paragraph, Cars for Non-Personal Use, and PMSI

By Gretchen Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina
The hanging paragraph of § 1325(a)(9) prevents bifurcation of a PMSI claim if the collateral securing it was purchased within certain time periods prepetition. A 910-day limitation applies to motor vehicles acquired for the debtor’s personal use. A one-year limitation applies all other PMSI collateral, including a vehicle purchased for non-personal use.
November 4, 2019
Archives
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Standing Chapter 13 Trustee for the Middle District of TN (Nashville)
A creditor may request an extension of time to file a claim under Rule 3002, F.R.B.P. only where the conditions of that rule have been fully satisfied; the filing of a defective list of creditors does not permit an extension of the time for a creditor to file a claim under Rule 3002.
gretchenholland

Hanging Paragraph, Cars for Non-Personal Use, and PMSI

By Gretchen Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina

The hanging paragraph of § 1325(a)(9) prevents bifurcation of a PMSI claim if the collateral securing it was purchased within certain time periods prepetition. A 910-day limitation applies to motor vehicles acquired for the debtor’s personal use. A one-year limitation applies to all other PMSI collateral, including a vehicle purchased for non-personal use.

kilpatrick

Barbara J. Rom Award for Bankruptcy Excellence

(Not password protected)

The 2019 recipient of the Barbara J. Rom Award for Bankruptcy Excellence given by the Federal Bar Association, Eastern District of Michigan chapter, was awarded to NACTT and Academy member Richardo Kilpatrick. We are honored that Kilpatrick will be a speaker at the 2020 NACTT Conference in San Diego.

The Barbara J. Rom Award for Bankruptcy Excellence honors individuals who have exhibited the highest level of overall excellence in the practice of bankruptcy law. The following criteria are among those considered in making this award: Excellence, civility, sophistication of practice, community involvement, Bar association and Court activity involvement, and pro bono participation.

CONGRATULATIONS RICHARDO!!!!

foryourblog

For Your Blog

This week, we offer you a special, not password protected, article on how credit scores go UP after bankruptcy.

Credit Scores Trend Upward After Bankruptcy

By Cathy Moran, Esq. (Redwood City, CA)
usbankruptcycourt

From the United States Trustee

(Not password protected)

Public Notice – Solicitation of Applicants to Serve as Subchapter V Trustees

Announcements are going up, all over the country, for applications to be a Small Business Trustee. Click here for the national, uniform information then scroll to your state for the applicable email address to which submissions should be sent.

DEADLINE TO APPLY IS NOVEMBER 15, 2019

farmerfield

Farmers in the News

(Not password protected)

Farm Bankruptcies Rise Again

kristinastanger

Newest Webinar Recording Now Available

The HAVEN Act – Understanding this complicated new law

jessicayoungbergA comment from one debtor attorney:

“One of the best presentations I have heard in many years. Clear,
concise, relevant, thorough. Excellent materials.”

The HAVEN Act – effective NOW – is a helpful, yet complicated new tool in your arsenal to help veterans get the fresh start offered through bankruptcy.

Chapter 13 Trustee Naliko Markel moderates a one hour discussion between Kristina M. Stanger and Jessica Hopton Youngberg. Both Stanger and Youngberg were members of the ABI Task Force and each has extensive experience in the area of veteran affairs.

AND FOR THOSE WHO JOINED THE LIVE PRESENTATION:

There were many questions regarding the example discussed on Slide #26. Click here for an augmented dissection of the example.

debt

Student Loan Chronicles

(Not password protected)

CFPB Announces Action Against Student Loan Debt Relief Operation

AlexSchmidt

In Case You Missed It. . .

As a Halloween Treat, the following article is NOT password protected.

Evidentiary Issues Arising from Attempts to Prove Alleged “Facts” Stated in The Monster Mash

By Alexander Schmidt, Law Clerk, and The Honorable John P. Gustafson, United States Bankruptcy Court for the Northern District of Ohio (Toledo)
gustafson“You have never heard – or seen – the Monster Mash. What have you heard, is a song ABOUT the Monster Mash. Let that sink in for a minute. Inevitably, that leads to the obvious question: What facts could we actually PROVE about the Monster Mash, in a federal court?”
October 28, 2019
Archives
AlexSchmidt

As a Halloween Treat, the following article is NOT password protected.

Evidentiary Issues Arising from Attempts to Prove Alleged “Facts” Stated in The Monster Mash

By Alexander Schmidt, Law Clerk, and The Honorable John P. Gustafson, United States Bankruptcy Court for the Northern District of Ohio (Toledo)
gustafson“You have never heard – or seen – the Monster Mash. What have you heard, is a song ABOUT the Monster Mash. Let that sink in for a minute. Inevitably, that leads to the obvious question: What facts could we actually PROVE about the Monster Mash, in a federal court?”
ahern_larry

Two More Things Trustees Should Know About the Small Business Reorganization Act of 2019

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

This week, Larry Ahern continues reporting on bankruptcy-related legislation passed in August. This week, Ahern drills further into the new small business subchapter added to Chapter 11, which will also be of interest to Chapter 12 and 13 trustees and practitioners.See also our previously published articles:

williambrown

From the Editor

Judge Brown brings us one case of interest on curing defaults:

usbankruptcy

From the United States Trustee

Public Notice – Solicitation of Applicants to Serve as Subchapter V Trustees

Announcements are going up, all over the country, for applications to be a Small Business Trustee. Click here for the national, uniform information then scroll to your state for the applicable email address to which submissions should be sent.DEADLINE TO APPLY IS NOVEMBER 15, 2019
towtruck

City of Chicago, Illinois v. Fulton Appealed to Supreme Court

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
Issue: Whether an entity that is passively retaining possession of property in which a bankruptcy estate has an interest has an affirmative obligation under the Bankruptcy Code’s automatic stay, 11 U.S.C § 362, to return that property to the debtor or trustee immediately upon the filing of the bankruptcy petition.
cfpb

From the CFPB

(Not password protected)
kristinastanger

Newest Webinar Recording Now Available

The HAVEN Act – Understanding this complicated new law

jessicayoungbergA comment from one debtor attorney:

“One of the best presentations I have heard in many years. Clear,
concise, relevant, thorough. Excellent materials.”

The HAVEN Act – effective NOW – is a helpful, yet complicated new tool in your arsenal to help veterans get the fresh start offered through bankruptcy.

Chapter 13 Trustee Naliko Markel moderates a one hour discussion between Kristina M. Stanger and Jessica Hopton Youngberg. Both Stanger and Youngberg were members of the ABI Task Force and each has extensive experience in the area of veteran affairs.

AND FOR THOSE WHO JOINED THE LIVE PRESENTATION:

There were many questions regarding the example discussed on Slide #26. Click here for an augmented dissection of the example.

debt

Student Loan Chronicles

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
DanielCohn

In Case You Missed It. . .

Fourth Circuit Overrules Own Precedent, Holds Certain Primary Residence Claims Can be Crammed Down in Chapter 13 Bankruptcies

(First published here on August 19, 2019. Used with permission.)
By Daniel Cohn, Esq., Legal Department, Wells Fargo Bank, N.A.
A self-explanatory title which takes a detailed look at the Hulburt decision.
October 21, 2019
Archives
wayland

Some Basics You Always Wanted to Know About the FCRA But Were Too Embarrassed to Ask

By Herb Beskin, Chapter 13 Trustee and Edward M. Wayland, Esq. (Charlottesville, VA)
beskinThis article discusses the FCRA, the rules and practices of those who prepare credit reports, and some of the problems and issues that consumers need to be aware of. Much of it is based on the actual experience of one of the authors in representing consumers with credit report problems.
DanielCohn

Fourth Circuit Overrules Own Precedent, Holds Certain Primary Residence Claims Can be Crammed Down in Chapter 13 Bankruptcies

(First published here on August 19, 2019. Used with permission.)
By Daniel Cohn, Esq., Legal Department, Wells Fargo Bank, N.A.
A self-explanatory title which takes a detailed look at the Hulburt decision.
smallbusinessowner

Small Business Reorganization Act…(“SBRA”) – All previously published articles:

uscourts

From the Courts – Form Changes

(Not password protected)

Forms effective October 1, 2019On August 26, 2019, the President signed into law the Honoring American Veterans in Extreme Need Act of 2019 (the HAVEN Act) Public Law No. 116-52. The HAVEN Act amended 11 U.S.C. § 101(10A) to exclude from the definition of Current Monthly Income certain payments made under title 10, 37, or 38 of the United States Code in connection with a disability, combat-related injury or disability, or death of a member of the uniformed services.At its September 26, 2019 meeting, the Advisory Committee on Bankruptcy Rules made minor conforming amendments to lines 9 and 10 of Official Forms 122A-1, 122B, and 122C-1 to address the HAVEN Act.Click here for New Form 122C-1Forms Effective December 1, 2019Two bankruptcy forms are on track to go into effect this December.

The proposed change to Official Form 122A-1 adds an instruction to line 14a to remind a debtor that if there is no presumption of abuse, that Official Form 122A-2 should not be filled out or filed.

Director’s Form 1340, Application for Payment of Unclaimed Funds, is a new form issued by the Director of the Administrative Office of the United States that bankruptcy courts may adopt or revise as needed to facilitate requests for unclaimed funds.

cfpb

From the CFPB

(Not password protected)
uscourts

Also from the Courts

(Not password protected)
webinar

There is still time . . . REGISTER NOW

The next free Academy webinar is THIS Wednesday, October 23rd at 2 eastern/1 central/12 mountain/11 pacificThe HAVEN Act – Understanding this complicated new law (click here to register)
debt

Student Loan Chronicles

(Not password protected)

Turf War Blocked CFPB From Helping Fix Student Loan Forgiveness Program

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Zombie Debt: How collectors trick consumers into reviving dead debts

October 14, 2019
Archives
cmoran

Taxes, Offset, and Mutuality

By Cathy Moran, Esq. (Redwood City, CA)
Lawyers are accustomed to evaluating the dischargeability of taxes . . . as we approach the end of the tax year, a client’s current year tax situation becomes another moving part in the ‘when do we file’ analysis.
ahern_larry

Small Business Reorganization Act…(“SBRA”)

The First Thing a Chapter 13 Debtor’s Attorney Should Know About the Small Business Reorganization Act of 2019

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

Larry Ahern continues his reporting on bankruptcy-related legislation passed in the first session of the 116th Congress. This week, he answers the single most frequently asked question from the debtors’ bar about the new small business rules: Could the new law require my client to file before the February 19 effective date?See also:

uscourts

From the Courts

(Not password protected)

From the Courts – Form Changes

Forms effective October 1, 2019On August 26, 2019, the President signed into law the Honoring American Veterans in Extreme Need Act of 2019 (the HAVEN Act) Public Law No. 116-52. The HAVEN Act amended 11 U.S.C. § 101(10A) to exclude from the definition of Current Monthly Income certain payments made under title 10, 37, or 38 of the United States Code in connection with a disability, combat-related injury or disability, or death of a member of the uniformed services.At its September 26, 2019 meeting, the Advisory Committee on Bankruptcy Rules made minor conforming amendments to lines 9 and 10 of Official Forms 122A-1, 122B, and 122C-1 to address the HAVEN Act.Click here for New Form 122C-1Forms Effective December 1, 2019Two bankruptcy forms are on track to go into effect this December.

The proposed change to Official Form 122A-1 adds an instruction to line 14a to remind a debtor that if there is no presumption of abuse, that Official Form 122A-2 should not be filled out or filed.

Director’s Form 1340, Application for Payment of Unclaimed Funds, is a new form issued by the Director of the Administrative Office of the United States that bankruptcy courts may adopt or revise as needed to facilitate requests for unclaimed funds.

irs

From the IRS

(Not password protected)

2 Million ITINs Set to Expire in 2019

  • An ITIN is a tax ID number used by taxpayers who don’t qualify to get a Social Security number. Any ITIN with middle digits 83, 84, 85, 86 or 87 will expire at the end of this year.

New Payment Option Available to Taxpayers in Private Debt Collection Program

  • IRS officials announced on 10/8/19 that a new payment option – preauthorized direct debit.

IRS: Sorry, but It’s Just Easier and Cheaper to Audit the Poor

  • Congress asked the IRS to report on why it audits the poor more than the affluent. Its response is that it doesn’t have enough money and people to audit the wealthy properly. So it’s not going to.
openposition

Chapter 13 Trustee Position Opening

(Not password protected)
Location: Western District of New York, Buffalo Division
Application Due Date: October 18, 2019
webinar

REGISTER NOW

(Not password protected)
The next free Academy webinar is Wednesday, October 23rd at 2 eastern/1 central/12 mountain/11 pacificThe HAVEN Act – Understanding this complicated new law (click here to register)

Webinar Recording Now Available

(Not password protected)

How the New MDFL Student Loan Management Program Works

mdflTrustee Laurie Weatherford joins experts Robert Branson and Tammy Branson in a one-hour discussion on the new court supervised student loan modification program recently launched in the Middle District of Florida. Details you need to start a program in your district.This is a moderate to advanced level webinar directed to trustees, judges, attorneys who represent debtors and student loan creditor representatives.This recording is free to Academy subscribers or we offer a pay per view option.

Session Recordings Now Available

(Not password protected)
Audio recordings of The ENTIRE NACTT 2019 Conference, are now available for a mere $35 per session. Click here to purchase any session.Or Click here to purchase the entire conference!
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

The $51,000 Mistake Thousands of Retirement Savers Have Already Made

October 7, 2019
Archives
janhamilton

Small Business Reorganization Act…(“SBRA”) H.R. 3311 – Part Three

By Jan Hamilton, Chapter 13 Standing Trustee (Topeka, KS)

“What needs to be in a plan filed in a case under the SBRA? Start with the statute…”Yes, MORE on SBRA. We realize that to attorneys February of 2020 seems a LONG way away but it really isn’t, um, this is OCTOBER! We are building our library on this important legislation so it is available when YOU are ready for it.See also:

mikefitzgerald

Senior Moments

We are pleased to introduce a new article series which we are affectionately calling “Senior Moments.” These articles will be sporadic but will come from retired trustees. The inaugural piece comes from the recently retired Standing Trustee for the Western District of Washington, Mike Fitzgerald.
hildebrand

ABI Commission on Consumer Bankruptcy – Collateral Repossessed Pre-Petition

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
“The post-petition continued retention of property that is necessary for a debtor would no longer be an option and the property would need to be turned over through specific statutory requirement. The practical effect of the proposed changes simply recognizes current reality.”Previously published articles on recommendations:Recommendations Related to Exemptions
Post-Petition Changes in Value
A Chapter 7 Trustee’s Sale of Encumbered Property
Judicial Estoppel
Statement of Intention: Deadlines and Consequences
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
Definition of “Tax Return” for Purposes of Nondischargeability
openposition

Chapter 13 Trustee Position Opening

(Not password protected)
Location: Western District of New York, Buffalo Division
Application Due Date: October 18, 2019
webinar

SAVE THE DATE

(Not password protected)
The next free Academy webinar is Wednesday, October 23rd at 2 eastern/1 central/12 mountain/11 pacificThe HAVEN Act – Understanding this complicated new law (click here to register)
redcar

There’s Always a Car

(Not password protected)

Americans Are Taking Out Ridiculously Long Auto Loans

Webinar Recording Now Available

(Not password protected)

How the New MDFL Student Loan Management Program Works

mdflTrustee Laurie Weatherford joins experts Robert Branson and Tammy Branson in a one-hour discussion on the new court supervised student loan modification program recently launched in the Middle District of Florida. Details you need to start a program in your district.This is a moderate to advanced level webinar directed to trustees, judges, attorneys who represent debtors and student loan creditor representatives.This recording is free to Academy subscribers or we offer a pay per view option.
farmer

Session Recordings Now Available

(Not password protected)
Audio recordings of The ENTIRE NACTT 2019 Conference, are now available for a mere $35 per session. Click here to purchase any session.Or Click here to purchase the entire conference!
debt

Student Loan Chronicles

(Not password protected)

Student Loan Crisis Driving Racial Wealth Gap

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Taxpayers Should Beware of Property Lien Scam

With scam artists hard at work all year, taxpayers should watch for new versions of tax-related scams. One such scam involves fake property liens. It threatens taxpayers with a tax bill from a fictional government agency.
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)

IN CASE YOU MISSED IT. . .

johnson Johnson Retires
By Academy Staff
Jeff-Kellner Kellner Retires
By Academy Staff
A Sappy Farewell to Jeff Kellner as the Dayton Chapter 13 Trustee
By The Honorable Guy R. Humphrey, Southern District of Ohio
September 30, 2019
Archives
HannahBlumenstiel

Small Business Reorganization Act

By The Honorable Hannah Blumenstiel

Yes, MORE on SBRA. We realize that to attorneys February of 2020 seems a LONG way away but it really isn’t. We are building our library on this important legislation so it is available when YOU are ready for it.In this week’s installation, Judge Blumenstiel, analyzes the legislation. The first two and a half pages are of particular importance as she very briefly summarizes the chief take-aways.See also:

Katy-Brewer

It Takes a Village

By Katherine B. Brewer, Esq. (Westerville, OH)
“As lawyers, especially bankruptcy lawyers, it’s so important to admit if we aren’t OK. . . . It should never be seen as out of line to ask a colleague if they are having any problems.”
Jeff-Kellner

Kellner Retires

By Academy Staff

AND

A Sappy Farewell to Jeff Kellner as the Dayton Chapter 13 Trustee

By The Honorable Guy R. Humphrey, Southern District of Ohio
Above are two tribute articles – Jeff, you will be greatly missed!!
openposition

Term Law Clerk Posting

(Not password protected)
johnson

Johnson Retires

By Academy Staff
Jan P. Johnson served as a Chapter Standing 13 Trustee for the Eastern District of California, Sacramento Division, from 1998 to September 30, 2019, and also served as Trustee in Puerto Rico and the Virgin Islands.This article contains a ‘love’ letter to Jan.Jan, we will miss you immensely!
joanfeeney

Bankruptcy Judge Receives Award

(Not password protected)
Judge Joan N. Feeney (Ret.) to Receive the 2019 American Inns of Court Bankruptcy Inn Alliance Distinguished Service Award
farmer
court

PACER in the News

(Not password protected)

A popular link from last week. . . . Judiciary Doubles Fee Waiver for PACER Access to Court Records

Session Recordings Now Available

(Not password protected)
Audio recordings of The ENTIRE NACTT 2019 Conference, are now available for a mere $35 per session. Click here to purchase any session.Or Click here to purchase the entire conference!
debt

Student Loan Chronicles

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

The No. 1 Thing People with Fat Savings Accounts Scrimp on That You Likely Don’t

cmoran

IN CASE YOU MISSED IT. . .

Tax Projections and the Means Test – Part II

By Cathy Moran, Esq. (Redwood City, CA)
“ . . .what if things aren’t the same year over year? . . . Mindful that we’re not preparing a tax return, we’re estimating future expense, what do we look for to get a meaningful projection?”See also: Tax Projections and the Means Test Part I
September 23, 2019
Archives
janhamilton

Small Business Reorganization Act…(“SBRA”) H.R. 3311 – Part Two

By Jan Hamilton, Standing Chapter 13 Trustee (Topeka, KS)

Part 2 of Trustee Hamilton’s dissection at SBRA looks at the Plan . . . specifically notions to consider before the plan is filed.See also:

cmoran

Tax Projections and the Means Test – Part II

By Cathy Moran, Esq. (Redwood City, CA)
“ . . .what if things aren’t the same year over year? . . . Mindful that we’re not preparing a tax return, we’re estimating future expense, what do we look for to get a meaningful projection?”See also: Tax Projections and the Means Test Part I
williambrown

From the Editor – Avoidance

By The Honorable William Houston Brown (Retired)

Judge Brown takes a look at two cases on avoidance. The first one is an important finding.

redcar

There’s Always a Car

(Not password protected)

Driven to Bankruptcy — New Research from the Consumer Bankruptcy Project

marijuana

Medicaid Estate Recovery Program

(Not password protected)
Re-run from last week but many of you found this interesting . . . (A little long but interesting if you are not aware of the Medicaid Estate Recovery Program)Medicaid’s Dark Secret – For many participants, the program that provides health care to millions of low-income Americans isn’t free. It’s a loan. And the government expects to be repaid.
farmer
court

PACER in the News

(Not password protected)

Judiciary Doubles Fee Waiver for PACER Access to Court Records

cfpb

CFPB in the News

(Not password protected)

Session Recordings Now Available

(Not password protected)
Audio recordings of The ENTIRE NACTT 2019 Conference, are now available for a mere $35 per session. Click here to purchase any session.Or Click here to purchase the entire conference!
debt

Student Loan Chronicles

(Not password protected)

Why You Got Rejected for Student Loan Forgiveness

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Should I Pay Off Mortgage Early?

September 16, 2019
Archives
janhamilton

Small Business Reorganization Act…(“SBRA”) H.R. 3311 – PART ONE

By Jan Hamilton, Standing Chapter 13 Trustee (Topeka, KS)

“I do not suggest my thoughts here are anywhere close to exhaustive. . . . Of course, my thoughts may be off mark on one or more items, but the discussions need to start somewhere, so here we go…”See also:

cmoran

Tax Projections and the Means Test

By Cathy Moran, Esq. (Redwood City, CA)
Mention tax calculations to a bankruptcy attorney and 7 out of 10 freeze on the spot.I’m not a tax attorney, they retort.That’s right, but, if you are a bankruptcy attorney, that doesn’t relieve you from knowing enough tax to get the means test right.
williambrown

From the Editor

By The Honorable William Houston Brown (Retired)
marijuana
farmer

Session Recordings Now Available

(Not password protected)
Audio recordings of The ENTIRE NACTT 2019 Conference, are now available for a mere $35 per session.Click here to purchase any session.Or Click here to purchase the entire conference!
debt

Student Loan Chronicles

(Not password protected)

5th Circuit Finds No Room for Sympathy for Student Loan Debtor

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

How Student Loan Fees Work and What They Cost

scolforo

In Case You Missed It . . .

Undersecured Short-Term Mortgages May be Crammed Down

By Angela M. Scolforo, Staff Attorney to Herbert L. Beskin, Chapter 13 Trustee (Charlottesville, VA)
“ . . . Fourth Circuit Court of Appeals overturned its prior decision . . . This is a powerful tool for saving homes.”
September 9, 2019
Archives
scolforo

Undersecured Short-Term Mortgages May be Crammed Down

By Angela M. Scolforo, Staff Attorney to Herbert L. Beskin, Chapter 13 Trustee (Charlottesville, VA)
“ . . . Fourth Circuit Court of Appeals overturned its prior decision . . . This is a powerful tool for saving homes.”
ahern_larry

2019 Legislation Affecting Bankruptcy Practice

Five Things Trustees Should Know About the Small Business Reorganization Act of 2019

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

This week, Larry Ahern continues a report on bankruptcy-related legislation passed in the first session of the 116th Congress. This installment begins to drill down into the new small business subchapter added to Chapter 11, which will also be of interest to Chapter 12 and 13 trustees and practitioners.

See also:

cmoran

When $400 Emergency Pushes You Over the Edge

By Cathy Moran, Esq. (Redwood City, CA)
Federal Reserve reported that 40% of Americans couldn’t meet a $400 emergency without borrowing. . . . So, a Bloomberg economist devoted his column to deconstructing how the press and political figures misused that finding. . . .OMGoodness.
farmer
seniorcitizen

The Graying of Debtors

(Not password protected)

Rising Senior Debt Levels are Concerning Researchers

Session Recording Now Available

At the NACTT 2019 conference, an exceptional panel addressed the ‘graying’ of debtors across the country. Click here* to purchase this 75 minute session featuring Trustee Krispen Carroll, Professor Robert Lawless, William Rule PhD, and Debtor Counsel David Cox.

*Ninth session from the top – a mere $35 for the session.

paydaylender

Payday Lenders

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
September 2, 2019
Archives

laborday

In observance of Labor Day, The Academy brings you an abbreviated/”Greatest Hits” weekly update. This would be a great time to catch up on the 2019 Legislation.

ahern_larry

First published 8/19. Bills have now been signed into law.

2019 Legislation Affecting Bankruptcy Practice

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

This week, Larry Ahern begins a report on bankruptcy-related legislation passed in the first session of the 116th Congress. This Part I summarizes four bills that would amend both business and consumer provisions in the Bankruptcy Code and related statutes. If the legislation becomes law, Part II will drill down into the new small business subchapter added to Chapter 11, which will also be of interest to Chapter 12 and 13 practitioners.

See also: New Bankruptcy Act Makes Chapter 11 Plan Confirmation Easier for Small Business Debtors and Offers Benefits to Preference Defendants

ditech

Ditech Bank in the News

(Not password protected)

See also, Academy Webinar Recording

Ditech – What Consumer Bankruptcy Folks Need to Know

Join experts Tara Twomey and Thad Bartholow in a discussion regarding Ditech consumer claims. You will learn how/where to file claims; the bar date; the entire list of entities involved; why your client may not have received notice and what to do about it; what the proposed plan does and doesn’t say; and more.

ostafy

Less Than 100% Dividend, Can a Chapter 13 Plan be Paid Off Early? Originally published 4/22/19

By Stacey A. O’Stafy, Staff Attorney, Office of the Chapter 13 Trustee Faye D. English (Columbus, OH)
Paid off early? Temporal interpretation or monetary/multiplier approach? Since BAPCPA many questions remain in this issue we see every week.
williambrown

From the Editor

Bankruptcy Protections Limited for Repeat Filers Originally published 1/14/19

By William H. Brown, United States Bankruptcy Judge (Retired) and Academy Editor & Advisor
Judge Brown takes a quick look at a First Circuit decision.
comment

Proposed Amendments Published for Public Comment

(Not password protected)
  • Appellate Rules 3, 6, 42, and Forms 1 and 2;
  • Bankruptcy Rules 2005, 3007, 7007.1, and 9036; and
  • Civil Rule 7.1.

The comment period is open from August 19, 2019 to February 19, 2020.

debt

Student Loan Chronicles

(Not password protected)

99% of Public Workers Who Seek Student Debt Relief Don’t Qualify. California wants to know why

gretchenholland

IN CASE YOU MISSED IT . . .very popular article from last week. . .

Trustee Cannot Require Debtor to Treat Nondischargeable Student Loan Debts in a Separate Class

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina

“In fact, some discrimination is even allowed – as long as it’s not unfair discrimination.”

Be sure to scroll to the end of the article for a surprise!

August 26, 2019
Archives
gretchenholland

Trustee Cannot Require Debtor to Treat Nondischargeable Student Loan Debts in a Separate Class

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina
“In fact, some discrimination is even allowed – as long as it’s not unfair discrimination.”Be sure to scroll to the end of the article for a surprise!
amyx

What to Do with the Dreaded Timeshare?

By Karin N. Amyx, Staff Attorney to the Trustee Carl Davis (Wichita, KS)
. . . what is a timeshare? And how do you deal with them in bankruptcy? Is it an executory contract? A secured debt? What do you own and how do you keep it . . . or get rid of it?
ckelly

As reported in March, we are pleased to publish articles written by law students who benefited from the grant money provided by the National Data Center.

The Bankruptcy Moot Court Experience – Duberstein 2019

By Cameron Kelly & Michael Carroll, Law Students, The University of Texas School of Law

“. . . I had no idea what I was getting myself into. . . . coach’s question was challenging. It made it seem like the Court siding with my position would bring an end to the financial world as we know it. . . . I diverted and acted like the question had never been asked. And that was it, I was hooked on bankruptcy moot court.”See also:

farmer
comment

Proposed Amendments Published for Public Comment

(Not password protected)
  • Appellate Rules 3, 6, 42, and Forms 1 and 2;
  • Bankruptcy Rules 2005, 3007, 7007.1, and 9036; and
  • Civil Rule 7.1.

The comment period is open from August 19, 2019 to February 19, 2020.

irs
bootcamp

Bankruptcy Boot Camp 2019

(Not password protected)
If you are newer to bankruptcy practice or would like to brush up your skills, Bankruptcy Boot Camp is for you! The seminar will be held on September 27, 2019 at Grand Valley State University’s Eberhard Center. Speakers include the Bankruptcy Judges for the Western District of Michigan. The deadline for registration is September 20, 2019, but space is limited so register soon!
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Car Payment Trouble? How to turn it around

ahern_larry

IN CASE YOU MISSED IT . . .

2019 Legislation Affecting Bankruptcy Practice

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern begins a report on bankruptcy-related legislation passed in the first session of the 116th Congress. This Part I summarizes four bills that would amend both business and consumer provisions in the Bankruptcy Code and related statutes. If the legislation becomes law, Part II will drill down into the new small business subchapter added to Chapter 11, which will also be of interest to Chapter 12 and 13 practitioners.
August 19, 2019
Archives
cmoran

Win Now, Wreck Later: A Tale of Bankruptcy and Mortgage Servicing

By Cathy Moran, Esq. (Redwood City, CA)
. . . “As a debtor attorney, I’m on board so far. . . . But I doubt this resolution will be the last dispute on the matter.”
ahern_larry

2019 Legislation Affecting Bankruptcy Practice

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern begins a report on bankruptcy-related legislation passed in the first session of the 116th Congress. This Part I summarizes four bills that would amend both business and consumer provisions in the Bankruptcy Code and related statutes. If the legislation becomes law, Part II will drill down into the new small business subchapter added to Chapter 11, which will also be of interest to Chapter 12 and 13 practitioners.
rebeccagarcia

Chapter 12 and Act2/Conference Update

(Not password protected)
By Rebecca Garcia and Jan Sensenich, Chapters 12 and 13 Standing Trustees

jan sensenich“The presentations and materials are a great start for someone just getting into chapter 12, and for those more experienced practitioners the conference provided a chance to sharpen some skills and get up to date on the latest in Chapter 12.”This article contains valuable information about materials and the Act2 officers.

farmer
Bob-Drummond

Drummond Receives Professionalism Award

(not password protected)
By Regina Logsdon, Executive Director, The Academy d/b/a ConsiderChapter13.org
Drummond was awarded the 2019 Don Torgenrud Professionalism Award which recognizes an individual who exemplifies the highest standards of professional conduct in their everyday practice.
irs

From the IRS

(Not password protected)
debt

Student Loan Chronicles

(Not password protected)
debt

Student Loan Chronicles Part B

(Not password protected)

CFPB Settles Lawsuit Against ITT Educational Services

CFPB announced 8/12/19 a proposed settlement with ITT Educational Services, Inc. to resolve the lawsuit which alleges that ITT engaged in unfair and abusive practices in connection with its private loan program in violation of the Consumer Financial Protection Act of 2010.The Complaint, filed in the U.S. District Court for the Southern District of Indiana in 2014, alleges that ITT helped to create private loan programs for students at ITT Technical Institute, the school run by ITT until it filed for bankruptcy and ceased operations in 2016. The Bureau alleges that ITT improperly induced students to take out those loans to pay the tuition amounts not covered by loans or other tuition assistance from the federal government. The Bureau’s complaint also alleges that ITT knew the student borrowers did not understand the terms and conditions of the loans and could not afford them, resulting in high default rates and other negative consequences.

The terms of the proposed stipulated order include, among other things, a judgment against ITT for $60 million and an injunction prohibiting ITT from offering or providing student loans in the future.

In a separate action filed by the Bureau on June 14, 2019, a final stipulated judgment was entered against the entity holding the private loans at issue, Student CU Connect CUSO, LLC. Under the terms of that judgment all collection on such loans must cease, all outstanding loans must be discharged, and all negative credit reporting must be corrected.

See also:

U.S. Regulator Settles Lawsuit Against ITT Educational, Will Not Collect $60 Million

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

15 Spending Habits Personal Finance Experts Hate the Most

selwyn

IN CASE YOU MISSED IT . . .

Score One for the United States Bankruptcy Court in the Service of the African America Community

Within Johnson Publishing Company, LLC’s Chapter 7 Liquidation Bankruptcy there is a treasure trove of irreplaceable American history. Although the images primarily depict Americans of color, it is a portion of history of all Americans . . . In 2005, the then-future President Obama gave words to why the images in the archive have meant and still mean so much to Blacks . . .
August 12, 2019
Archives
selwyn

Score One for the United States Bankruptcy Court in the Service of the African America Community

Within Johnson Publishing Company, LLC’s Chapter 7 Liquidation Bankruptcy there is a treasure trove of irreplaceable American history. Although the images primarily depict Americans of color, it is a portion of history of all Americans . . . In 2005, the then-future President Obama gave words to why the images in the archive have meant and still mean so much to Blacks . . .
2019seminar

Don’t forget to complete your NACTT Indy Evaluation

NACTT Indianapolis EVALUATION TIME – Attention NACTT Indy Attendees: Your Voice is Important

Thank you for your recent participation at the NACTT Indianapolis Seminar! We value your opinion. Please take a few moments to complete this evaluation. Your feedback is important to us and will assist in planning the 2020 San Diego Seminar. We look forward to seeing you there next year. Mark your calendar NOW – July 8-11, 2020.Click Here To Let Your Voice Be Heard

gustafson

Post-Petition Causes of Action, Inheritances and Windfalls Are Property of the Estate and Must Be Reported to the Trustee – Part 5 of 5

By John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio, Western Division
The conclusion of this detailed resource looks at the Tyler decision which details how Chapter 7 filers do not escape from these post-petition issues.
hildebrand

ABI Commission on Consumer Bankruptcy – Recommendations Related to Exemptions

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

NEW – Commission Member Hildebrand continues looking individually at the recommendations of the Commission.“Applying that convoluted mechanism, debtors get to assert the exemptions of the state in which they reside or, in several jurisdictions that did not ‘opt out’ of the federal exemptions, unless the debtor has moved to that jurisdiction within two years of filing of the bankruptcy petition.”

See also previous recommendations:

Post-Petition Changes in Value
A Chapter 7 Trustee’s Sale of Encumbered Property
Judicial Estoppel
Statement of Intention: Deadlines and Consequences
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
Definition of “Tax Return” for Purposes of Nondischargeability

farmer
cfpbsettlement
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
  • Judges Explain Rule of Law, Why It Matters
    What does the rule of law mean, and how does it affect our daily lives?This five minute “Court Shorts” video, explains how fair and consistent adherence to the law protects our rights and well-being in everyday situations like buying a breakfast sandwich, reading mail, and investing in the stock market. Definitely not our ‘normal’ For Your Blog option but a short, interesting reminder of why ‘the Rule of Law’ is important.
forcedvesting

IN CASE YOU MISSED IT . . .

Forced Vesting by Any Other Name – Just Might Work

By Academy Staff
“A decision from the Bankruptcy Court in the Eastern District of Kentucky may provide an alternative to forced vesting while effectively accomplishing the same result. . . .The concept of ‘dirt for debt’ may not work in all cases, but is something a Debtor (and Debtor’s Counsel) may want to consider.”
August 5, 2019
Archives
forcedvesting

Forced Vesting by Any Other Name – Just Might Work

By Academy Staff
“A decision from the Bankruptcy Court in the Eastern District of Kentucky may provide an alternative to forced vesting while effectively accomplishing the same result. . . .The concept of ‘dirt for debt’ may not work in all cases, but is something a Debtor (and Debtor’s Counsel) may want to consider.”
2019seminar

NACTT Indianapolis EVALUATION TIME – Attention NACTT Indy Attendees: Your Voice is Important

(Not password protected)

Thank you for your recent participation at the NACTT Indianapolis Seminar! We value your opinion. Please take a few moments to complete this evaluation. Your feedback is important to us and will assist in planning the 2020 San Diego Seminar. We look forward to seeing you there next year. Mark your calendar NOW – July 8-11, 2020.

Click Here To Let Your Voice Be Heard

gustafson

Post-Petition Causes of Action, Inheritances and Windfalls Are Property of the Estate and Must Be Reported to the Trustee – Part 4 of 5

By John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio, Western Division
Part D’s title says it all: Talking Turkey About the Respective Dilemmas of the Chapter 13 Trustee and Debtors in Dealing with Post-Petition Windfalls – Conversion, Dismissal, Early Payoffs, Etc.
mccormick

Hot Off the Press – Judgment and Memorandum Opinion

(Not password protected)

Mortgage servicer was not required to specifically state on its proof of claim that it was servicing the loan on behalf of Freddie Mac. Nor was it necessary for there to be a specific endorsement of the Note or an assignment of the Mortgage to Freddie Mac. The servicer was in physical possession of the Note with an affixed endorsement in blank, and was therefore the holder of a negotiable instrument under the Alabama Uniform Commercial Code. Accordingly, the servicer had standing to file a proof of claim in the Debtors’ Chapter 13 case and to enforce the Note. Furthermore, the post-petition assignment of the Mortgage was not a violation of the automatic stay or an avoidable transfer. Moreover, under Eleventh Circuit law, the Debtors did not have standing to challenge the assignment of their Mortgage.

The Court further found that the Debtors (i) failed to establish by competent evidence that the servicer made any misrepresentations either pre-petition or during the post-petition loan modification process regarding the servicer’s ability to foreclose, (ii) failed to establish that the servicer’s proof of claim was materially defective, and (iii) failed to establish that their loan modification agreement was unenforceable.

Click here for Judgment
Click here for Memorandum Opinion

janhamilton

Stop and Smell the . . . Well, Corn

By Jan Hamilton, Standing Chapter 13 Trustee (Topeka, KS)
(Not password protected)
IMG_0223I stop and visit with folks a lot. (Surprise…) I had an encounter this year that I found meaningful. It greatly reminded me of my days of representing farmers in 12s and 11s. And it made me stop for a moment and think about how we, as trustees, interact with debtors and how, for the most part, they are just case numbers to us. But they all have stories.
farmer

Farmers in the News

(Not password protected)
safedepositbox

Safe Deposit Boxes

(Not password protected)
  • Unclaimed Property (a second article about safe deposit boxes and how they become unclaimed property in states’ coffers)
PhilLamos

An Oldie But a Goodie – Original Publication 12/9/18

Watch the Clock – Timing of Appeals

By Phil Lamos, Chief Legal Counsel, Office of the Chapter 13 Trustee Lauren A. Helbling (Cleveland, OH)
Regardless of the merits of an appeal, an appeal must be timely filed to have even a chance at succeeding.
debt

Student Loan Chronicles

(Not password protected)

Thousands of Scammed Student-Loan Borrowers Filed Claims for Debt Relief – the feds haven’t approved any in over a year

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Have a Capital One Credit Card? Then take these 5 steps

schuman

IN CASE YOU MISSED IT . . .

A Well-Deserved Thank You to Attorneys Who Represent Debtors . . .

Ordinary Heroes Deliver Second Chances with Bankruptcy

By Robert (Bob) Schuman, Owner/Managing Broker, Network Financial Group
(Not password protected)

“With your help, a mother or father can enjoy their child’s soccer game without fear that a tow truck might show up at the game and take their car, or show up at their door when they have guests or a myriad of other embarrassing situations.”

Be sure to check-out the NEW comments at the end of this article.

July 29, 2019
Archives
schuman

A Well-Deserved Thank You to Attorneys Who Represent Debtors . . .

Ordinary Heroes Deliver Second Chances with Bankruptcy

By Robert (Bob) Schuman, Owner/Managing Broker, Network Financial Group
“With your help, a mother or father can enjoy their child’s soccer game without fear that a tow truck might show up at the game and take their car, or show up at their door when they have guests or a myriad of other embarrassing situations.”
gustafson

Post-Petition Causes of Action, Inheritances and Windfalls Are Property of the Estate and Must Be Reported to the Trustee – Part 3 of 5

By John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio, Western Division
This detailed resource continues this week by looking at which post-petition assets are, indeed, property of the chapter 13 estate.
tiffanycornejo

Meet A Newish Trustee

(Not password protected)
“Tiffany M. Cornejo was appointed as the Chapter 13 Standing Trustee for the District of New Mexico on December 1, 2017. She took the reins from retiring Kelley Skehen.”
irs

From the IRS

(Not password protected)

IRS Attempting to Collect on Virtual Currency

IRS has begun sending letters to virtual currency owners advising them to pay back taxes, file amended returns; part of agency’s larger efforts.
gavel

From the Judiciary

(Not password protected)
Bankruptcy Judge Up for Reappointment in Augusta – Comments on the reappointment of Bankruptcy Judge Susan Barrett of Augusta should be sent Circuit Executive James P. Gerstenlauer by Aug. 19.
usbankruptcycourt

From the Courts

(Not password protected)
ncbrc

From the National Consumer Bankruptcy Rights Center

(Not password protected)

City Did Not Violate Stay by Failing to Rescind Warrant

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

From Dead Broke to $100,000 in Cash, in One Quick and Simple Side Hustle

July 22, 2019
Archives
indy

Due to the Annual NACTT Conference,
we bring you a Greatest Hits Update – Enjoy!

Shout Out to NACTT Indianapolis Attendees.
Indianapolis is a fun city and it was a great conference.

Indy-Car
gustafson

NEWPost-Petition Causes of Action, Inheritances and Windfalls Are Property of the Estate and Must Be Reported to the Trustee – Part 2 of 5

By John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio, Western Division
This detailed resource begins its analysis by discussing property acquired after the filing of the chapter 13 case and different approaches. Part 2 looks at the duty to disclose post-petition causes of action.
Burden

A very popular article from last week . . .

Unscheduled Creditor May Not File a Late Proof of Claim

By Beverly M. Burden, Standing Chapter 13 Trustee (Lexington, KY)

Unscheduled creditor without notice of the bankruptcy case was denied an extension of time to file a proof of claim pursuant to Bankruptcy Rule 3002(c)(6)(A).More from this author:

Tips and Traps: Issuing A Subpoena for Bank Records

carriehaydenjohnson

Complete Termination of The Automatic Stay Under §362(c)(3)(A) According to the First Circuit

By Carri Hayden Johnson, Staff Attorney to O. Byron Meredith, Chapter 13 Trustee (Savannah, GA)
“Moving forward, in cases where the debtor is filing a subsequent petition within a year of the prior case being filed and dismissed it is important for debtors to take advantage of §362(c)(3)(B).”
beskin

Trustee May Use Any Law Available to Avoid a Transfer

By Herbert L. Beskin, Chapter 13 Trustee for the Western District of Virginia (Charlottesville)
*Special thanks to Gretchen D. Holland for editing this article.
Although this is a Chpt 7 case, there are Chpt13implications: “The plain language of §544(b)(1) ‘permits a trustee to step into the shoes of any existing unsecured creditor, including the IRS, and utilize any ‘applicable law’ to avoid a transfer, including the FDCPA.’”
hildebrand

ABI Commission on Consumer Bankruptcy – Post-Petition Changes in Value

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
Another issue concerns Chapter 7 trustees who would not take prompt action to abandon exempt or partially exempt assets but, would retain assets in the hope that there might be equity in the future to sell the asset for the full lien amount and exemption. In doing so, the trustee delays the debtor’s ability to use the asset as part of the fresh start.
usbankruptcycourt

From the UST

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Successful Side Hustlers Share Their Best Secrets

caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
bobbranson

IN CASE YOU MISSED IT . . .

Court Supervised Student Loan Modification

By Robert B. Branson and Tammy Branson, Branson Law PLLC (Orlando, FL)

TB-Headshot-270x270“The Order provides for use of online software to assist Debtors with student loan repayment options.”See also original article: Teaching Old Dogs New Tricks: New Ideas for Treatment of Student Loans in Bankruptcy

Watch for a webinar on this topic in September!!

July 15, 2019
Archives
Burden

Unscheduled Creditor May Not File a Late Proof of Claim

By Beverly M. Burden, Standing Chapter 13 Trustee (Lexington, KY)
Unscheduled creditor without notice of the bankruptcy case was denied an extension of time to file a proof of claim pursuant to Bankruptcy Rule 3002(c)(6)(A).
gustafson

Post-Petition Causes of Action, Inheritances and Windfalls Are Property of the Estate and Must Be Reported to the Trustee – Part 1 of 5

By John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio, Western Division
This detailed resource begins its analysis by discussing property acquired after the filing of the chapter 13 case and different approaches.
hildebrand

ABI Commission on Consumer Bankruptcy – Post-Petition Changes in Value

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

Another issue concerns Chapter 7 trustees who would not take prompt action to abandon exempt or partially exempt assets but, would retain assets in the hope that there might be equity in the future to sell the asset for the full lien amount and exemption. In doing so, the trustee delays the debtor’s ability to use the asset as part of the fresh start.

See also previous recommendations:

A Chapter 7 Trustee’s Sale of Encumbered Property
Judicial Estoppel
Statement of Intention: Deadlines and Consequences
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
Definition of “Tax Return” for Purposes of Nondischargeability

glenn
usbankruptcycourt

From the Courts

(Not password protected)
farmer
ncbrc

From the National Consumer Bankruptcy Rights Center

(Not password protected)

Debt for Overpayment of DSO Not Itself DSO

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
bobbranson

IN CASE YOU MISSED IT . . .

Court Supervised Student Loan Modification

By Robert B. Branson and Tammy Branson, Branson Law PLLC (Orlando, FL)

TB-Headshot-270x270“The Order provides for use of online software to assist Debtors with student loan repayment options.”

See also original article: Teaching Old Dogs New Tricks: New Ideas for Treatment of Student Loans in Bankruptcy

July 8, 2019
Archives
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Where confirmation order of a Chapter 12 plan specifically provides for payments to a creditor and Chapter 12 trustee supported confirmation of the plan, the trustee would be precluded from seeking to disallow a late-filed claim. Following the plan, the trustee must make payments to creditors even if a proof of claim is not timely filed
bobbranson

Court Supervised Student Loan Modification

By Robert B. Branson and Tammy Branson, Branson Law PLLC (Orlando, FL)

TB-Headshot-270x270“The Order provides for use of online software to assist Debtors with student loan repayment options.”

See also original article: Teaching Old Dogs New Tricks: New Ideas for Treatment of Student Loans in Bankruptcy

hildebrand

ABI Commission on Consumer Bankruptcy – A Chapter 7 Trustee’s Sale of Encumbered Property

By Henry E. Hildebrand, III, Chapter 13 Trustee (Nashville, TN)

The Commission heard from several individuals and attorneys that related tales of Chapter 7 trustees negotiating a “carve out” with a lienholder on the debtor’s real property when there was no equity available in the property. This article addresses the Commission’s recommendations regarding prevention of such “carve out.”

Click here to register for the NACTT conference

See also:

Judicial Estoppel
Statement of Intention: Deadlines and Consequences
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
Definition of “Tax Return” for Purposes of Nondischargeability

unitedstatescourts

From the United States Courts

(Not password protected)

Judiciary Creates Public User Group for PACER

The federal Judiciary has created and is seeking members for a public user group to provide advice and feedback on ways to improve its electronic public access services. . . . membership will be selected from interested applicants who represent the legal sector, media, academia, government agencies, the public, and other entities that use PACER to access federal court records. The group will allow for the exchange of information about issues experienced by users, and it will recommend ideas for expanding and improving services.
farmer

Farmers in the News

(Not password protected)
ridgway

On the Judiciary

(Not password protected)

Balls and Strikes: New Bankruptcy Court Chief Judge is also a hall of fame baseball umpire

foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
  • Savvy Senior: Can a debt collector take my Social Security benefits?
PhilLamos

IN CASE YOU MISSED IT . . .

What IS a Principal Residence?

By Phil Lamos, Chief Legal Counsel, Office of the Chapter 13 Trustee Lauren A. Helbling (Cleveland, OH)
Section 1322(b)(2) of the Bankruptcy Code states that a Chapter 13 plan may not modify a claim that is “secured only by a security interest in real property that is the debtor’s principal residence.” But the inverse of this statute is true; if a debtor can prove that a claim is secured by something other than “the debtor’s principal residence” then the claim can be modified in a Chapter 13 plan. A debtor can bifurcate or even totally avoid a security interest if the debtor can prove that the claim is secured by something other than “the debtor’s principal residence.” But what exactly is a “principal residence?” This question has been the subject of much litigation since BAPCPA went into effect in 2005.
July 1, 2019
Archives
americanflag

Happy Independence Day

ahern_larry

In re Fulton: Seventh Circuit Affirms Its Position with Majority of Circuits on Passive Retention of Property as Violation of Sections 362 and 542

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern analyzes the Seventh Circuit’s June 19 decision in In re Fulton that a municipality’s passive retention of impounded property constitutes a violation of § 362. He also considers implications of the decision for consumer loan transactions.
PhilLamos

What IS a Principal Residence?

By Phil Lamos, Chief Legal Counsel, Office of the Chapter 13 Trustee Lauren A. Helbling (Cleveland, OH)
Section 1322(b)(2) of the Bankruptcy Code states that a Chapter 13 plan may not modify a claim that is “secured only by a security interest in real property that is the debtor’s principal residence.” But the inverse of this statute is true; if a debtor can prove that a claim is secured by something other than “the debtor’s principal residence” then the claim can be modified in a Chapter 13 plan. A debtor can bifurcate or even totally avoid a security interest if the debtor can prove that the claim is secured by something other than “the debtor’s principal residence.” But what exactly is a “principal residence?” This question has been the subject of much litigation since BAPCPA went into effect in 2005.
unitedstatescourts

From the United States Courts

(Not password protected)

Judiciary Creates Public User Group for PACER

The federal Judiciary has created and is seeking members for a public user group to provide advice and feedback on ways to improve its electronic public access services. . . . membership will be selected from interested applicants who represent the legal sector, media, academia, government agencies, the public, and other entities that use PACER to access federal court records. The group will allow for the exchange of information about issues experienced by users, and it will recommend ideas for expanding and improving services.
hildebrand

ABI Commission on Consumer Bankruptcy – Judicial Estoppel

By Henry E. Hildebrand, III, Chapter 13 Trustee (Nashville, TN)
“Over the past twenty years, the judicial estoppel doctrine has had a significant impact on people who file bankruptcy. Judicial estoppel has grown to be a significant issue within the consumer bankruptcy system. The Commission was asked to address it.”
Click here to register for the NACTT conference
farmer

Farmers in the News

(Not password protected)

Ohio Farmland Underwater – Big Trouble for Corn Industry

There is still time to register for the Chapter 12 conference July 15-16 in Indianapolis. Click here for more information.
oldcase

OLD Cases

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

7 Keys to Keeping Your House: Chapter 13 After You File

Beskin

IN CASE YOU MISSED IT . . .

The Brunner Student Loan Hardship Test: Alive and Well in The Big Apple

By Herbert L. Beskin, Chapter 13 Trustee for the Western District of Virginia (Charlottesville)
Let’s take a certain set of facts and see how it plays out in the labyrinthian world of hardship discharge of student loan debt. . . . the saga begins with failing the bar exam . . .
June 24, 2019
Archives
Beskin

The Brunner Student Loan Hardship Test: Alive and Well in The Big Apple

By Herbert L. Beskin, Chapter 13 Trustee for the Western District of Virginia (Charlottesville)
Let’s take a certain set of facts and see how it plays out in the labyrinthian world of hardship discharge of student loan debt. . . . the saga begins with failing the bar exam . . .
gretchenholland

Marijuana in Bankruptcy

That Didn’t Take Long: Ninth Circuit’s Cannabis Bankruptcy Decision in Garvin v. Cook Invs. NW is Challenged

(Not password protected)
See our previous article:A Confirmed Plan with a Marijuana Wrinkle
By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South CarolinaAlthough this article is about a Chapter 11 case, it has Chapter 13 implications because the confirmation requirement that a plan be “proposed in good faith and not by any means forbidden by law” is identical in both chapters.
janhamilton

In the Trenches: Secrets to Settlement – Competency in the Courtroom Part 3 of 3

By Jan Hamilton, Chapter 13 Trustee (Topeka, KS)
Part 3 addresses behaviors ‘in the courtroom’ and ‘overarching’ considerations. A MUST READ!Click here for Part 1 of 3 – A comment received regarding Part 1 of Trustee Hamilton’s article – “Excellent work, Jan. I will share it with my staff attorney and local consumer bankruptcy bar.”Click here for Part 2 of 3 – Discovery and trial prep – EARLY trial prep!!
hildebrand

ABI Commission on Consumer Bankruptcy – Statement of Intention: Deadlines and Consequences

By Henry E. Hildebrand, III, Chapter 13 Trustee and Sloan Hastings, Vanderbilt Law Student (Nashville, TN)
hastings“The Commission recommends a harmonization of the conflicting provisions of the Code.”At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice.Click here to register for the NACTT conferenceSee also:Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
Definition of “Tax Return” for Purposes of Nondischargeability
ncbrc

From the National Consumer Bankruptcy Rights Center

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Millions of ITINs Set to Expire in 2019; IRS Says Renew Early to Prevent Refund Delays

hildebrand

IN CASE YOU MISSED IT . . .

No Take Backs – Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee
Mortgage creditor may not withdraw a notice of fees, costs, and charges filed in a case after the supplement to the claim has been challenged without court approval; the allowance of such a notice will not be permitted where a state statute forbids it.
June 17, 2019
Archives
bankruptcyonthebeach

Shout Out to the GREAT folks at
Bankruptcy at the Beach
Alabama State Bar
Bankruptcy/Commercial Law Section

Even with the rain, it was a great conference.
Congratulations to drawing winners
William Baxley and William C. Poole

hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee
Mortgage creditor may not withdraw a notice of fees, costs, and charges filed in a case after the supplement to the claim has been challenged without court approval; the allowance of such a notice will not be permitted where a state statute forbids it.
ahern_larry

Supreme Court Stakes Out Middle Ground on Contempt Standard for Discharge Injunction Violations, Leaves Clues About Automatic Stay Violations

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN)
Larry Ahern has previously analyzed the Taggart case, both when it was decided by the Ninth Circuit and after it was argued before the Supreme Court on April 24. In the second piece, he considered whether the outcome of Taggart may also inform the standard for contempt arising from a stay violation. Now he reports on the Supreme Court’s decision and considers some implications of the high court’s ruling.
janhamilton

In the Trenches: Secrets to Settlement – Competency in the Courtroom Part 2 of 3

By Jan Hamilton, Chapter 13 Trustee (Topeka, KS)
Part 2 of Trustee Hamilton’s outline covers topics such as discovery and trial prep – EARLY trial prep!!Click here for Part 1 of 3 – A comment received regarding Part 1 of Trustee Hamilton’s article – “Excellent work, Jan. I will share it with my staff attorney and local consumer bankruptcy bar.”
aboutthejudiciary

About the Judiciary

(Not password protected)
ncbrc

From the National Consumer Bankruptcy Rights Center

(Not password protected)

Rooker-Feldman Bars Motion to Vacate

openposition

Positions Open

(Not password protected)
Chapter 12 Trusteeship Open
Location: Eastern District of California (primarily Sacramento and Modesto) and District of Nevada
Application Due Date: June 21, 2019Chapter 7 Trusteeship Open
Location: District of New Jersey, primarily in the Newark and Camden Vicinages
Application Due Date: June 30, 2019
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
nicholasmiller

IN CASE YOU MISSED IT . . .

Substantial Contribution Claims

By Nicholas Miller and Madison Haueisen, Law Students at the University of Texas School of Law and Duberstein Moot Court Team Members

haueisen“Statutes ought to be construed, if possible, so that no clause, sentence, or word shall be superfluous, void, or insignificant.”The second issue at hand in this year’s Duberstein moot court problem involves a matter of statutory interpretation—specifically, whether §503(b) of the Bankruptcy Code allows a creditor to recover costs and expenses incurred in making a substantial contribution to the bankruptcy estate in a case under chapter 7.See also: Passive Retention: A Creditor’s Right or an Act to Exercise Control?

By John Andreasen and Patrick Lombardi, Law Students at the University of Illinois College of Law and Duberstein Moot Court Team Members

As reported in March, we are pleased to publish articles written by law students who benefited from the grant money provided by the National Data Center.

June 10, 2019
Archives
janhamilton

In the Trenches: Secrets to Settlement – Competency in the Courtroom Part 1 of 3

By Jan Hamilton, Chapter 13 Trustee (Topeka, KS)
In this detailed piece, Trustee Hamilton shares years of trial experience in a concise and humorous, yet profoundly educational, way.
nicholasmiller

Substantial Contribution Claims

By Nicholas Miller and Madison Haueisen, Law Students at the University of Texas School of Law and Duberstein Moot Court Team Members
haueisen“Statutes ought to be construed, if possible, so that no clause, sentence, or word shall be superfluous, void, or insignificant.”The second issue at hand in this year’s Duberstein moot court problem involves a matter of statutory interpretation—specifically, whether §503(b) of the Bankruptcy Code allows a creditor to recover costs and expenses incurred in making a substantial contribution to the bankruptcy estate in a case under chapter 7.See also: Passive Retention: A Creditor’s Right or an Act to Exercise Control?
By John Andreasen and Patrick Lombardi, Law Students at the University of Illinois College of Law and Duberstein Moot Court Team MembersAs reported in March, we are pleased to publish articles written by law students who benefited from the grant money provided by the National Data Center.
irs

From the IRS

(Not password protected)

All Taxpayers Should Plan Ahead for Natural Disasters

  • Update emergency plan
  • Create electronic copies
  • Document valuables
farmer

Farmers in the News

(Not password protected)
‘It Ain’t Fun Anymore’: Auctioneers are busy selling off dying Wisconsin dairy farms
Auctioneers have an up-close view of the pain behind the dairy crisis. They see no sign of better times to come.There is still time to register for the Chapter 12 conference July 15-16. Click here for more information.
hildebrand

ABI Commission on Consumer Bankruptcy – Definition of “Tax Return” for Purposes of Nondischargeability

By Henry E. Hildebrand, III, Chapter 13 Trustee and Sloan Hastings, Vanderbilt Law Student (Nashville, TN)
hastings“So, a critical question has arisen: what is a “return” and when is it too late to file one?”At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.See also:Report of the ABI’s Commission on Consumer Bankruptcy
Report – Introduction
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
supremecourt
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
debt

Student Loan Chronicles

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Some Americans Using Retirement Accounts to Pay Student Loans — That’s Bad

burks

IN CASE YOU MISSED IT . . .

Surrender of Collateral in a Plan- What Is the Court to Do if the Debtor Doesn’t Follow Through?

By Tammy E. Stickley and Francis J. DiCesare, Staff Attorneys for Margaret A. Burks, Esq.
Chapter 13 Standing Trustee (Cincinnati, OH)
In a media age in which people expect to be told when “spoilers” are ahead, this summary needs no such warning. Courts have little patience for debtors who surrender collateral – especially real estate – then oppose the foreclosure of collateral in state proceedings. The interesting question isn’t whether the creditor will get the collateral in the end, but rather where the dispute is fought.
June 3, 2019
Archives
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee
If a Chapter 13 debtor does not list a creditor on the creditor matrix when filing the petition and makes no effort to provide supplemental notice to the creditor, the provisions of Rule 3002 allow the extension of time for the creditor to file a claim after the passage of the bar date.
burks

Surrender of Collateral in a Plan- What Is the Court to Do if the Debtor Doesn’t Follow Through?

By Tammy E. Stickley and Francis J. DiCesare, Staff Attorneys for Margaret A. Burks, Esq.
Chapter 13 Standing Trustee (Cincinnati, OH)
In a media age in which people expect to be told when “spoilers” are ahead, this summary needs no such warning. Courts have little patience for debtors who surrender collateral – especially real estate – then oppose the foreclosure of collateral in state proceedings. The interesting question isn’t whether the creditor will get the collateral in the end, but rather where the dispute is fought.
volk

New Bankruptcy Judge Appointed to Bench

(Not password protected)
volk

Bankruptcy Judge Appointed to District Seat

(Not password protected)
hildebrand

ABI Commission on Consumer Bankruptcy – Definition of “Tax Return” for Purposes of Nondischargeability

By Henry E. Hildebrand, III, Chapter 13 Trustee and Sloan Hastings, Vanderbilt Law Student (Nashville, TN)
SWH Headshot“So, a critical question has arisen: what is a “return” and when is it too late to file one?”At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.See also:Report of the ABI’s Commission on Consumer Bankruptcy
Report – Introduction
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation
Dischargeability of Homeowner Association Fees
supremecourt
debt

Student Loan Chronicles

(Not password protected)
gretchenholland

IN CASE YOU MISSED IT . . .

A Confirmed Plan with a Marijuana Wrinkle

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina
Although this article is about a Chapter 11 case, it has Chapter 13 implications because the confirmation requirement that a plan be “proposed in good faith and not by any means forbidden by law” is identical in both chapters.
May 27, 2019
Archives
memorialday

In Memory of All Who Gave All

(In observance of Memorial Day, we bring you an abbreviated updated.)

ahern_larry

Supreme Court Agrees to Revisit Finality of Orders in Bankruptcy

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN)

This week, Larry Ahern addresses the May 20 writ of certiorari in Ritzen Group, Inc. v. Jackson Masonry, LLC (In re Jackson Masonry, LLC), in which the Supreme Court is to decide whether an order denying relief from the automatic stay is “final.” Ahern considers the broader context in which the federal judiciary struggles with finality in bankruptcy proceedings.

Hildebrand headed to the Supreme Court . . . no, not that one . . . in a fun twist to those of us in the consumer bankruptcy world, the next generation – Henry E. “Ned” Hildebrand, IV – represents Jackson Masonry.

fagone

Postpetition Borrowing by a Consumer Debtor in Chapter 13

By Judge Michael A. Fagone & Career Law Clerk Ciera S. Dye

“Although our Nation’s bankruptcy laws are uniform, chapter 13 practice in our Nation’s bankruptcy courts varies to a significant extent in the different judicial districts. One example of this variation is the treatment of postpetition borrowing by a consumer debtor in chapter 13.”

In this Part 1, Judge Fagone and Ciera Dye outline the statutory framework as well as the caselaw.

In this Part 2, Judge Fagone and Ciera Dye look at policy considerations.

hildebrand

Behind on the ABI Commission articles, take this opportunity to catch up.

ABI Commission on Consumer Bankruptcy – Dischargeability of Homeowner Association Fees

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

As most of you know, the ABI Board of Directors charged the Consumer Commission with recommending improvements to the consumer bankruptcy system which could be “implemented within its existing structure.”In this installment, Trustee Hildebrand looks at suggested changes in dealing with HOA fees.

“While HOA fees and assessments serve a valid purpose, when a debtor seeks to obtain a fresh start, often HOA fees can become a substantial obstacle to that goal.”

At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.

See also:

Report of the ABI’s Commission on Consumer Bankruptcy
Report – Introduction
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation

debt

Student Loan Chronicles

(Not password protected)
cmoran

IN CASE YOU MISSED IT . . .

How Guarantors Can Escape Tax on Soured Debt

By Cathy Moran, Esq. (Redwood City, CA) and William J. Purdy, III, Simmons & Purdy (Soquel, CA)
purdy-billTax lawyer Bill Purdy and Cathy Moran shared a client with a small interest in a failed corporation with a huge SBA loan. Could our client escape the tax consequences should we be able to settle his liability on a million dollars in unpaid loan. Was the client looking at a million dollars of cancellation of debt income? Here’s the marvelous result that Bill’s caper through the IRS regs returned.See also:Tax Form 1099 Needs A Closer Look: Chances Are It’s Wrong
May 20, 2019
Archives
gretchenholland

A Confirmed Plan with a Marijuana Wrinkle

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina
Although this article is about a Chapter 11 case, it has Chapter 13 implications because the confirmation requirement that a plan be “proposed in good faith and not by any means forbidden by law” is identical in both chapters.
cmoran

How Guarantors Can Escape Tax on Soured Debt on Soured Debt

By Cathy Moran, Esq. (Redwood City, CA) and William J. Purdy, III, Simmons & Purdy (Soquel, CA)

purdy-billTax lawyer Bill Purdy and Cathy Moran shared a client with a small interest in a failed corporation with a huge SBA loan. Could our client escape the tax consequences should we be able to settle his liability on a million dollars in unpaid loan. Was the client looking at a million dollars of cancellation of debt income? Here’s the marvelous result that Bill’s caper through the IRS regs returned.

See also: Tax Form 1099 Needs A Closer Look: Chances Are It’s Wrong

hildebrand

ABI Commission on Consumer Bankruptcy – Dischargeability of Homeowner Association Fees

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

As most of you know, the ABI Board of Directors charged the Consumer Commission with recommending improvements to the consumer bankruptcy system which could be “implemented within its existing structure.”

In this installment, Trustee Hildebrand looks at suggested changes in dealing with HOA fees.

“While HOA fees and assessments serve a valid purpose, when a debtor seeks to obtain a fresh start, often HOA fees can become a substantial obstacle to that goal.”

At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.

See also previous articles:

Report of the ABI’s Commission on Consumer Bankruptcy
Report – Introduction
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes
Remedies for Discharge Violation

ditech

Ditech in the News

(Not password protected)
ust

From the UST

(Not password protected)

Multiple Chapter 7 Trustees Wanted

irs

From the IRS

(Not password protected)

Tax Tips for Taxpayers to Consider When Selling Their Home

The IRS has some good news for taxpayers who are selling their home. When filing their taxes, they may qualify to exclude all or part of any gain from the sale from their income. Here are some things that homeowners should think about when selling a home:
cfpb

From the CFPB

(Not password protected)

CFPB Gearing Up to Further Relax HMDA and Possibly Other Rules

CFPB Files Suit Against Forster & Garbus, LLP – On 5/17/19 the CFPB filed a lawsuit in the federal district court in the Eastern District of New York against Forster & Garbus, LLP, a New York debt-collection law firm. The complaint alleges Forster & Garbus violated the Fair Debt Collection Practices Act by representing to consumers that attorneys were meaningfully involved in its lawsuits when, in fact, attorneys were not meaningfully involved in preparing or filing them. It further alleges that Forster & Garbus violated the Consumer Financial Protection Act’s prohibition against deceptive acts and practices by making such representations to consumers through its lawsuits. The complaint seeks an injunction against Forster & Garbus, as well as damages, redress to consumers, disgorgement of ill-gotten gains, and the imposition of a civil money penalty.
farmer
debt

Student Loan Chronicles

(Not password protected)
bobbranson

IN CASE YOU MISSED IT . . .

Teaching Old Dogs New Tricks: New Ideas for Treatment of Student Loans in Bankruptcy

By Robert B. Branson and Tammy Branson, Branson Law PLLC (Orlando, FL)
TB-Headshot-270x270Probably the most thought provoking article The Academy has run on student loans in a long time. A must read . . .
May 13, 2019
Archives
bobbranson

Teaching Old Dogs New Tricks: New Ideas for Treatment of Student Loans in Bankruptcy

By Robert B. Branson and Tammy Branson, Branson Law PLLC (Orlando, FL)
TB-Headshot-270x270Probably the most thought provoking article The Academy has run on student loans in a long time. A must read . . .
fagone

Postpetition Borrowing by a Consumer Debtor in Chapter 13 – Part 2 of 2

By Judge Michael A. Fagone & Career Law Clerk Ciera S. Dye
“Although our Nation’s bankruptcy laws are uniform, chapter 13 practice in our Nation’s bankruptcy courts varies to a significant extent in the different judicial districts. One example of this variation is the treatment of postpetition borrowing by a consumer debtor in chapter 13.”In this Part 2, Judge Fagone and Ciera Dye look at policy considerations.Click here for Part 1
hildebrand

ABI Commission on Consumer Bankruptcy – Remedies for Discharge Violation

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

“ . . . the Consumer Commission has sought to balance the interests of the creditors in obtaining clearance before they engage in any particular conduct, with the interests of debtors seeking to enforce the discharge injunction.”At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.

See also previous articles:

Report of the ABI’s Commission on Consumer Bankruptcy
Report – Introduction
Student Loans – Suggested Statutory Changes
Student Loans – Suggested Regulatory and Judicial Changes

burks

A Day in the Life of a Chapter 13 Trustee

By Margaret A. Burks, Esq., Chapter 13 Trustee (Cincinnati, OH)

“I was recently asked to expound on a ‘Day in the Life of a Chapter 13 Trustee.’ . . . so here goes.”As part of Trustee Burks’ article, she shares a treasure you may not have seen before . . . ‘Effective Communication Guide.’ It’s a very useful document. Please share it with your Judges especially those who believe they cannot speak to you. They CAN on procedural issues.

ust

From the UST

(Not password protected)
Chapter 7 Trustees WantedNew Posting:
Location: Eastern District of Virginia, primarily Norfolk/Newport News Divisions
Application Due Date: May 31, 2019

***********************************

Indiana U.S. Bankruptcy Trustee Appointed as Interim Trustee in Region Including Georgia

irs

From the IRS

(Not password protected)

Taking Care of Business: Recordkeeping for Small Businesses

Small business owners should keep good records. Whether they install software or make soft-serve. Whether they cut hair or cut lawns. Keeping good records is an important part of running a successful business.
cfpb

From the CFPB

(Not password protected)
farmer
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
ahern_larry

IN CASE YOU MISSED IT . . .

Looking Beyond Taggart: Is the Contempt Standard for a Stay Violation the Same as for a Discharge Injunction Violation?

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN)

The Ninth Circuit’s In re Taggart decision, previously analyzed by Larry Ahern, was argued before the Supreme Court on April 24. This week, Larry looks to the Sixth Circuit’s recent “good faith” decisions in In re Nicole Gas Production, Ltd. and In re Wohleber and considers whether the outcome of Taggart may also inform the standard for contempt arising from a stay violation.

Click here for a summary of Taggart v. Lorenzen

Click here for Oral argument transcripts — Taggart v. Lorenzen

May 6, 2019
Archives
fagone

Postpetition Borrowing by a Consumer Debtor in Chapter 13 – Part 1 of 2

By Judge Michael A. Fagone & Career Law Clerk Ciera S. Dye

“Although our Nation’s bankruptcy laws are uniform, chapter 13 practice in our Nation’s bankruptcy courts varies to a significant extent in the different judicial districts. One example of this variation is the treatment of postpetition borrowing by a consumer debtor in chapter 13.”In this Part 1, Judge Fagone and Ciera Dye outline the statutory framework as well as the caselaw.

ahern_larry

Looking Beyond Taggart: Is the Contempt Standard for a Stay Violation the Same as for a Discharge Injunction Violation?

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN)

The Ninth Circuit’s In re Taggart decision, previously analyzed by Larry Ahern, was argued before the Supreme Court on April 24. This week, Larry looks to the Sixth Circuit’s recent “good faith” decisions in In re Nicole Gas Production, Ltd. and In re Wohleber and considers whether the outcome of Taggart may also inform the standard for contempt arising from a stay violation.Click here for a summary of Taggart v. Lorenzen

Click here for Oral argument transcripts — Taggart v. Lorenzen

hildebrand

ABI Commission on Consumer Bankruptcy – Student Loans – Suggested Regulatory and Judicial Changes

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

In this, the newest, article regarding the ABI Commission, Hildebrand states:“ . . . , recognizing that effectuating statutory modifications entails an extremely long, grueling and difficult process, made suggestions for non-statutory modifications by regulation and by case law. . . . Commission recommended that the U.S. Department of Education promulgate very clear rules as to the position the Department would take when confronted with an assertion that the repayment of a student loan would work an undue hardship under 523(a)(8).”

At the Indianapolis NACTT meeting (July 16-19), a panel of Commissioners will explore recommendations that directly affect Chapter 13 practice. Click here to register for the NACTT conference.

See also previous articles:

Report of the American Bankruptcy Institute’s Commission on Consumer Bankruptcy

ABI Commission on Consumer Bankruptcy – Introduction

ABI Commission on Consumer Bankruptcy – Student Loans – Suggested Statutory Changes

ust

From the UST

(Not password protected)

Chapter 7 Trustees WantedApplication due date for all 3 is: May 17, 2019

  • Northern District of New York, primarily in the Utica/Binghamton/Syracuse Division
  • Western District of New York, primarily in the Rochester Division
  • District of Connecticut, in the Bridgeport/Hartford/New Haven Divisions
irs

On the IRS

(Not password protected)

Six Things Taxpayers Should Know About the Sharing Economy and Their Taxes

“There are special rules for rentals.”
cfpb

From the CFPB

(Not password protected)

CFPB Proposes Changes to HMDA Rules

The CFPB issued a Notice of Proposed Rulemaking, which proposes to raise the coverage thresholds for collecting and reporting data about closed-end mortgage loans and open-end lines of credit under the Home Mortgage Disclosure Act . . . which would provide much needed relief to smaller community banks and credit unions.
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Done with Taxes This Year? Use 2018 Return to Get 2019 Withholding Right

Who should do a Paycheck Checkup? Those who owed additional tax; had a refund that was larger or smaller than expected; and/or had life changes such as marriage, childbirth, adoption, buying a home or income change.
williambrown

IN CASE YOU MISSED IT . . .A Hot Case. Hot Off the Press.

Are Direct Payments by Debtor on Mortgage Considered Payments “Under the Plan” for Purposes of Discharge?

By William H. Brown, Adviser to The Academy d/b/a ConsiderChapter13.org
In the most recent opinion on the issue, the Court, in perhaps still a minority view, concluded that debtors’ default in making all direct postpetition mortgage payments was not a failure to complete payments required “under the plan.”