Consumer Bankruptcy

Fourth Circuit Says Chapter 13 Can’t Reinstate Non-Default Rate on Home Mortgage

Bar to modification of a home mortgage trumps ability to cure in chapter 13.
Court: 

Eighth Circuit Ignores Supreme Court’s Loose Language in Harris

Clever debtor’s lawyer trots out Bankruptcy Act concepts but loses.
Court: 

Involuntary Servitude Claim Raised in Involuntary Chapter 11

Did Congress make another constitutional mistake in BAPCPA?

Courts Split on Standards Justifying Hardship Discharge

‘Catastrophic event’ not required for hardship discharge.

Valuation Date Chosen to Avoid ‘Gamesmanship’

Early valuation aids a debtor in stripping off during an up market.

Courts Gravitating Toward Paying Lawyers on Chapter 13 Dismissals

Chapter 13 debtor lawyers are paid when cases dismiss rather than convert.
Court: 

Trustee Has No Private Right of Action for Debtor’s Failure to Cooperate

Discharge denial is enough sanction for a debtor who doesn’t cooperate with the trustee.

Courts Split on Stripping Down Partially Commercial Mortgages

Buffalo case begs for circuit court ruling to set up a circuit conflict and cert petition.

Austin Judge Writes Treatise on Valuation of Personal Property

Lender needs more than Blue Book value to win a valuation trial.
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