Comparative Fault Doesn’t Require Reduced Attorneys’ Fees for Discharge Violations
Seventh Circuit holds that comparative fault requires a reduction in compensatory damages for a discharge violation but not for a debtor’s attorneys’ fees.
Court:
Judge Furay Sides with the Minority on Stay Termination After a Repeat Filing
Courts are divided on whether automatic stay termination in Section 362(c)(3) applies to property of the debtor’s estate.
In ‘13,’ a Creditor Wanted Debtors’ Counsels’ Fees to Come Last, Not First
Chicago’s Bankruptcy Judge Donald Cassling nixed an idea that would have made chapter 13 unpalatable for debtors’ counsel.
Married Immediately Before Bankruptcy, the ‘Household’ Is Two, Not One
Wife who contributed nothing toward household expenses is still counted as part of the ‘household,’ Chicago’s Judge Slade says.
Arbitration in Bankruptcy Isn’t All or Nothing, Judge David Cleary Says
Chicago’s Judge David Cleary called for post-confirmation arbitration of claims between the debtor and a creditor, but no arbitration for the creditor’s defenses, raising questions of bankruptcy law.
Class Actions: The Answer for Stay Violations with Small Damages for Each Debtor
A class action in Chicago will decide whether bankruptcy judges have the tools to rectify a single creditor’s violation of the rights of similarly situated debtors.
For Fraudulent Transfers, Retailers Needn’t Police Who Receives Value from the Purchase
Judge Peter Henderson declined to adopt an interpretation of Section 548 that would turn innocent retailers into recipients of fraudulent transfers when someone buys goods but turns the goods over to someone else.
Chicago Judge Devises a Better Method to Allocate Income Tax Refunds Between Spouses
Whoever was overwithheld is entitled to the IRS refund when one spouse doesn’t file, Judge Michael Slade says.
Forbearance Agreement Wasn’t an Enforceable Waiver of the Automatic Stay
Bankruptcy Judge Laura Grandy (politely) faulted other federal courts for failing to follow the Illinois mortgage statute and decisions by the Illinois Supreme Court.
Companies Can Be ‘Bankruptcy Remote,’ if Properly Done
Bankruptcy Judge David Cleary wrote a manual on how a company can be ‘bankruptcy remote’ without violating public policy.