Social media and internet dating sites have given rise to romance and confidence schemes.  Catfishing and spear phishing are extensively used.  Catfishing is faking an identity on the internet. Spear phishing uses more sophisticated and direct messages to trick the victim. New AI programs make it easier to reach and victimize the targets. The fraudsters prey upon the elderly, widowed...

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN) PART IV: What's an Attorney to Do? Considerations for Counsel on all Sides of the Arbitration Question Click here for Part I Click here for Part II

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville) Where pro se debtors filed numerous groundless complaints and made specious allegations against their former counsel, sanctions under Rule 9011 were appropriate notwithstanding the fact that the debtors were now acting pro se. (Hopkins) In re Jones, 2021 WL 4168110 (Bankr. S.D. O.H., Sept....

By Wm. Houston Brown, United States Bankruptcy Judge (Retired) Confirmation - Debtors could not deduct ownership costs for vehicle secured by non-purchase money lien. The above-median debtors claimed ownership deduction of $497 from projected disposable income, when the title loan payments on the vehicle were only $66.67. The difference in these amounts meant unsecured creditors could receive $25,819.80 over the...

Insurance proceeds generated due to a totaled car treated under the “hanging paragraph” of 1325(a) covers the entire claim; interest, however, is not recalculated even though it was a higher rate than the interest paid under the plan. (Hanan) In re Pagan, 638 B.R. 887 (Bankr. E.D. Wis. Jan. 24, 2022) Case Summary Bankruptcy judges have been overheard saying that...

In the case of In re Ilyev, 17-12987-KHK (Bankr. E.D. VA July 26, 2022), Judge Kenney granted the Chapter 13 Trustee’s motion to modify the plan to require the Debtor to repay some of the $29,250 of disposable income he retained by not making his mortgage payments during an 18-month Covid forbearance. The Debtor never disclosed to the Trustee, or...

In order for a debtor to succeed in setting aside a dismissal in a motion filed under Rule 9024, F.R.B.P., the debtor must prove specific grounds as outlined in Federal Rule of Civil Procedure 60(b). (Oxholm) In re Gardner, 2022 WL 654410 (Bankr. E.D. Mich. May 24, 2022) Case Summary Carl and Taisha Gardner filed Chapter 13 in September of...

BULLETIN SMALL BUSINESS REORGANIZATION ACT POSTSCRIPT CARES Act Passed by Senate Increases Eligibility to Small Business Debtors with Aggregate Debts Up to $7,500,000 And Other Changes Early last Thursday morning, the Senate passed a substitute for H.R. 748, called the “Coronavirus Aid, Relief, and Economic Security Act” (the “CARES Act”). The bill passed the House on Friday, and the President...

As a professional in an occupation that may often interface with people handling life disruptions (e.g., divorce/separation, unemployment, mortgage foreclosure) you are being asked to participate in a study being conducted by the University of Southern California.

By Wm. Houston Brown, United States Bankruptcy Judge (Retired) Lien Modification - Modification of mortgage on mixed-use property. Reviewing the split of authority on whether a Chapter 13 debtor may modify a mortgage on property used for both business and residential purposes and when the use determination is made, the bankruptcy court adopted the filing date as the appropriate time...