By Cathy Moran, Esq., Moran Law Group (Redwood City, CA) For Californians, the CA Supreme Court’s decision in Brace this summer upended our understanding of joint tenancy and community property. For decades, we “knew” that a property couldn’t be . . . It looks like you are not signed in or registered! This content is only available to members. Join...

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN) Introduction This series has focused on the four bankruptcy-related bills that were enacted during the 116th Congress and signed into law on August 23, 2019. One bill, the Small Business Reorganization Act of 2019 (SBRA), will be effective February 19, 2020. It appears in its entirety in Appendix B to...

In these times of fewer case filings, it may be helpful to look at ways that debtor attorneys may build and strengthen their chapter 13 bankruptcy practice. The following are some recommendations and ideas from the Emeritus Trustee Committee:

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN) A prior servicer of a mortgage claim subsequently transferred to another servicer could be held liable if the transferor servicer provided inadequate or incorrect information to the transferee. (Aron) In re Bivens vs. NewRez LLC (In re Bivens), 625 B.R. 843 (Bankr. M.D. N.C., March 25, 2021) Case Summary...

Conduit vs. Direct Mortgage Payments – The Case Law To Consider1 The requirement that debtors pay their mortgage payments to their Chapter 13 Trustee as a “conduit” has advantages and disadvantages. One advantage is the fact that the Chapter 13 Trustee’s records are readily accepted by both the court and creditors in the event of a payment dispute. This advantage...

11/14/19, the IRS issued guidance for taxpayers with certain deductible expenses to reflect changes resulting from the Tax Cuts and Jobs Act (TCJA). Revenue Procedure 2019-46, posted today on IRS.gov, updates the rules for using the optional standard mileage rates in computing the deductible costs of operating an automobile for business, charitable, medical or moving expense purposes. The guidance also...

Chapter 13 plan cannot be modified to treat a priority claim as general unsecured after the time for reconsideration of the order has passed. (Easterbrook) Matter of Terrell, 39 F.4th 888 (7th Cir. July 12, 2022) Case Summary The Terrells’ Chapter 13 plan proposed a classification to pay the State of Wisconsin in full as a priority claim because, they...

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN) Introduction We saw in Part 1 that the circuits are falling in line to follow the "snapshot" rule, fixing the debtor's exemption rights as of the date of the petition and finding support in both the Code and recent Supreme Court jurisprudence. As the First Circuit put it . ....

By Herb Beskin, Chapter 13 Trustee and Edward M. Wayland, Esq. (Charlottesville, VA) Trustees are not privy to the struggles of Debtors as they emerge from Chapter 13 and work to re-establish (establish?) their credit worthiness. A crucial factor in this process is the Debtor’s credit report. In this article, we discuss the Fair Credit Reporting Act (“FCRA”), the rules...

By The Honorable William Houston Brown (Retired) Undistributed funds returned to debtor upon dismissal. Under § 1327(b)’s vesting requirement, unless a confirmed plan provides otherwise, any undistributed funds held by the trustee at dismissal of the case must be returned to the debtor. Although not necessary to rely on § 347(b)(3), the conclusion on effect of vesting at confirmation was...