Consider Chapter 13

January 23, 2012

Do The New Federal Rules Lead To Uniformity?
By: Deanna L. Westfall, Managing Bankruptcy Attorney, Castle Stawiarski, LLC
“Of particular importance to mortgage servicers and their attorneys are the revisions to Rule 3001 and the new Rule 3002.1 which impose major revisions to the Proof of Claim process.” Along with this insightful article, the Academy is pleased to introduce an exclusive resource – A LIST OF CONDUIT JURISDICTIONS

United States v. Kras, 409 U.S. 434 (1973)
By Professor M. Jonathan Hayes
Issue: Does an individual have a constitutional right to a bankruptcy discharge without paying the required filing fees?
Holding: No. “There is no constitutional right to obtain a discharge of one's debts in bankruptcy.”

Running with Scissors and Playing Well with Others
By Professor Michaela White, Editor and Advisor of the NACTT Academy
In the “Business Aids” category, this article takes a look at personalities and productivity. “I grew up in the era of individual academic achievement . . . A recent article in the Sunday New York Times, “The Rise of the New Groupthink,” by Susan Cain” takes a look at individual vs. groupthink.

Cert Denied in Baud - Followup
By Krispen Carroll, Chapter 13 Trustee, Detroit, MI
Be sure to note the Disqus conversation the Baud notice elicited (click the Baud link above and scroll to the bottom of the page).

Another Academy Author Named Judge
Congratulations Rebecca Connelly! Chapter 13 Standing Trustee and Washington & Lee graduate has been named as the first female to the United States Bankruptcy Court for the Western District of Virginia.
Recently by Connelly: Yours, Mine and Ours and Does Saving by Debtors Save the Case?

Hildebrand Quoted in New York Times Article
Regular Academy Contributor Hank Hildebrand is quoted in the New York Times article titled: Blacks Face Bias in Bankruptcy, Study Suggests “We should focus not on picking apart the conclusions, but use this study as an indication that we should be attempting to fix what has become a complex, expensive, unproductive system.”

Supreme Court Grants Cert in RadLAX
By Vijay Malik, Law Student at Creighton University, Omaha, Nebraska

New This Week In Mortgage Morass:

NEW RealtyTrac Report on 2011 Foreclosures

NEW Article: Chase Accused of Fraud in Motions for Relief

This Week In The News..

NEW He’s Losing His Appeal - Judge Gives Foreclosure King the Baum’s Rush

NEW Attn: Florida Practitioners: Seminole judge’s schedule: 300 foreclosure cases in 3 days

Lies, Damned Lies and Statistics

NEW Credit card debt drops 11%

January 16, 2012

Critical Case Comment:
by Hank Hildebrand, Chapter 13 Trustee Middle District of Tennessee
In re Munoz,459 B.R. 621 (Bankr. S.D. Tex., June 21, 2011) (Schmidt)
A creditor that asserted a secured claim in a Chapter 13 case which was subsequently dismissed is estopped from asserting that its claim was an executory contract in a subsequent Chapter 13 case.

Ask Ms. Ps & Qs
By Nancy Rapoport

“. . . the court finds that the mortgage claim is disallowed . . . What is the bankruptcy attorney’s responsibility in informing husband/husband’s divorce attorney about the house?”....More.

The Market for Bankruptcy Claims
By Vijay Malik, Law Student at Creighton University, Omaha, Nebraska
“Bankruptcy debt and delinquent debt sell at materially different prices given the collection efforts needed to collect on each.”...More.

Cert Denied in Baud
By Krispen Carroll, Chapter 13 Trustee, Detroit, MI

New Orleans, Louisiana a/k/a NOLA
By Thomas M. White, Law Offices of White & Jorgensen in Omaha, NE
“New Orleans is more of itself and less of any other place in the world. It runs as deep and wide as the Mississippi River. A great place to explore.” New Orleans is the site of the 2012 NACTT annual conference. Make plans NOW to attend – July 12-14.

New This Week In Mortgage Morass:

Article: Foreclosures Down But Not Out

Article: Documents Show Fed Missed Recognizing Housing Fall

Article: Private Equity Ready for Run on Foreclosures

Article: President NY Fed Urges Mortgage Debt Forgiveness

Article: Feds Want Foreclosures Turned Into Rentals

Article: Short Sale or Foreclosure May Cause Tax Liability

This Week In The News..

Lawyer's Tactics Leave Him Bankrupt. “Attorney John Murrin would say he's living proof of the old saying, No good deed goes unpunished.”

IRS to Chapter 13 Debtors: File Your Returns by February 5!

What Happened At Chase’s Credit-Card Collections Arm?

Just For Fun

Business Aid - Read this if you are in a supervisory role: Sit Next To A Lazy Worker? Watch Out, It’s Catching

Lies, Damned Lies, and Statistics

Personal Bankruptcies Fall In 2011 To One Out Of 175 Americans

January 9, 2012

United Student Aid Funds, Inc v. Espinosa
By Professor M. Jonathan Hayes, Northridge, CA
Issue: Is “an order [confirming a chapter 13 plan] that confirms the discharge of a student loan debt in the absence of an undue hardship finding or an adversary proceeding, or both, … a void judgment for Rule 60(b)(4) purposes”?
Holding: No ...More.

Stripping - The Finale
By John Gustafson
After a holiday break, we bring you the final in an ongoing series regarding lien stripping. Heads up Chapter 7 practitioners – this installment is for you. Previous installments of Trustee Gustafson’s detailed outline can be found by clicking The Toolbox tab above, then “Stripping” on the dropdown menu or by clicking here ...More.

LAW STUDENT WRITING CONTEST
Once again, the NACTT is proud to sponsor its LAW STUDENT WRITING CONTEST. Click here for details clicking here

The Glannon Guide to Bankruptcy
The Third Edition to The Glannon Guide to Bankruptcy, written by University of New Mexico School of Law professor Nathalie Martin, recently came out for Kindle. The text, ideal for law students but which can also be used by lawyers to review basic topics, is structured around multiple choice questions and in-depth explanations of bankruptcy topics. The Guide can be purchased clicking here

New This Week In Mortgage Morass:

Nevada Supreme Court Considers Assignment of Loan in Foreclosure Case

Home Prices Down for Six Straight Months

Who Maintains Foreclosures?

Surge of Foreclosures for 2012

Man Nearly Loses Home Due to Typo

Sloppy Seconds: Feds Probe Million$ In 'Double-Billing' By Banks

Minnesota: Lien Stripping - Case Could Allow Practice Now Barred In Bankruptcy

This Week In The News..

Attn: Debtor Attorneys, this is a new credit card trick your clients need to know about: Bringing Expired Debt Back to Life

Attn: Maryland Practitioners: Rules Make Judgments Harder To Obtain - Judgments Against Consumers Need Greater Proof

Follow-up to a previous article: Lawyers Fined $5,000 For Religious Slurs Against Judge; One Is A No-Show And Judge Orders Her Arrest

Lies, Damned Lies, and Statistics

Florida: Bankruptcy Filings Fell in 2011

Texas: Bankruptcy Filings Are Down 10%

January 3, 2012

Critical Case Comment:
by Hank Hildebrand, Chapter 13 Trustee Middle District of Tennessee
In re Davis,
2011 WL 5884015 (Bankr. N.D. Tex., November 23, 2011) (Lynn)
To determine whether a “special circumstance” exists to permit extra deductions in calculating a debtor’s projected disposable income, a court must examine: what the IRS would have considered a normal expense; must look at a debtor’s circumstances to see if they differ from a typical person; and must consider whether there is a reasonable alternative to incurring the expense.

Special Feature:
General Rules in Creating Fee Applications (With a Side-Dish of How to Act as Local Counsel)
By Nancy Rapoport

This week we treat you to a special article by Prof. Rapoport on the ends and outs of fee applications....More.

See also In The News Link:
Suit by Fired Lawyer Claims Law Firm Encouraged Fraud with 3,000-Hour Billable Quota

Senate Judiciary Passes Bill Authorizing Temporary Bankruptcy Judgeship Extension
By Vijay Malik, Law Student at Creighton University, Omaha, Nebraska

New Federal Bankruptcy Judges Appointed in California
A very special congratulations to the Academy’s ‘own’ Fredrick E. Clement.

The Perfect Gift For Bankruptcy Geeks!
What better gift (for yourself!) than a new book about bankruptcy? Broke, How Debt Bankrupts the Middle Class, edited by Professor Katherine Porter. We will be reviewing this book . . . so, get ahead of the curve and be ready to add your own point of view to these upcoming Academy e-zine articles.
Simply type “Broke Middle Class” into the Amazon search box (right). The Academy (a non-profit) receives a small commission on purchases made via this link.