Discharge of Debt Does Not, Necessarily, Remove Secured Lien

By Douglas B. Jacobs, Jacobs, Anderson, Potter & Chaplin, LLP (Chico, CA)

Remember those days in law school when the professor tried to explain the difference between “a debt” and “a lien”? Well, here we are again. In bankruptcy, that distinction can be very important.
“A debt”, according to Black’s Law Dictionary is “a sum of money due by contract.”

“A lien” is defined by Black’s Law Dictionary as “A qualified right of property which a creditor has in or over specific property of his debtor, as security for the debt …”

For example . . .

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An Update on Student Debt Relief and What this Means for Chapter 13 Practitioners

MaryAnn Bennett Bride

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What is the Student Debt Relief Plan? On August 24, 2022, President Joe Biden announced a three-part student debt relief plan to help borrowers transition back to regular payments as pandemic-related support expires. The plan includes loan forgiveness of up to $20,000 for Pell Grant recipients with loans held by the Department of Education and up to $10,000 in debt...

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Henry E. Hildebrand, III

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From the Editor

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Cathy Moran

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Community property works differently in bankruptcy. I probably don’t have to tell you that. On the issue of assets and debts, community property is pretty straightforward. All of the community property comes into the estate upon the commencement of a bankruptcy case, even when only one spouse files. §541(a)(2). Every creditor with a right to be paid from the community...

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Cathy Moran

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