Chapter 13 Discharge Expanded by COVID Relief Legislation

By Cathy Moran, Esq., Moran Law Group (Redwood City, CA)

Chapter 13 debtors got a huge “gift” among the COVID relief provisions of the Consolidated Appropriations Act of 2021, signed December 27, 2020 by the president.

Debtors may get a full -compliance discharge of dischargeable debts if they have a residential mortgage and have not made all the payments required by their plan. See the text of the new . . .

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Serendipity, a Tribute to Judge Jack B. Schmetterer

March 14, 2021

By Mark S. Wheeler, Staff Attorney to M.O. Marshall, Standing Chapter 13 Trustee (Chicago, IL) (Used with expressed permission. Published February 2021 in the Northern District of Illinois Bankruptcy Court Liaison Committee Newsletter.) Despite appearing before the Senior Bankruptcy Judge for the Northern District of Illinois perhaps hundreds of times over the last 29 years, I was uncharacteristically nervous to...

What the FICO? Reaffirming Doesn’t Help My Credit Score?

May 23, 2021

By The Honorable John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio (Toledo) Reaffirmation hearings during the pandemic have been difficult, at least for me. The economic risks for debtors are greater. There are uncertainties about the availability of credit, and the availability of suitable vehicles. Prices of used cars have gone up – with stimulus money pushing...

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Critical Case Comment

June 14, 2020

By Henry E. Hildebrand, III, Chapter 13 Trustee (Nashville, TN) Chapter 13 debtor may exclude from disposable income amounts projected to be paid to an employer sponsored 401(k) where such payments are consistent with pre-filing contributions made to the retirement account. Davis v. Helbling, 2020 WL 2831172 (6th Cir. June 1, 2020) (Larsen) Case Summary In 2017, Camille Davis filed...

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Are 401(k) Contributions Disposable Income or Not?

Cathy Moran

May 21, 2023

For a system that is supposed to rehabilitate personal finances and set debtors back on their feet, Chapter 13 nationwide is schizophrenic about on- going retirement savings, divided about whether post petition contributions to retirement accounts preclude confirmation of a Chapter 13 plan. Too many courts, in my opinion, come down barring voluntary provisions for old age for the 5...

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Critical Case Comment – No Approval No Pay

Henry E. Hildebrand, III

May 15, 2022

It is incumbent upon nonbankruptcy attorneys, including personal injury attorneys, to verify on PACER that their client is not a debtor and that the cause of action as to which they represent their client is not property of the estate; failure to obtain approval of the bankruptcy court for representing a debtor or settlement of a personal injury action is...

All Taxpayers Should Plan Ahead for Natural Disasters

June 9, 2019

Floods, wildfires, hurricanes, tornados and other natural disasters happen quickly and often with little warning. No one can prevent these disasters from happening, but people can prepare for them. Here are some things taxpayers can do to help protect their financial safety should a disaster occur. Taxpayers should: Update emergency plans. A disaster can strike any time. Personal and business...

2022 Bankruptcy Procedure Year in Review: Revised Statute and Rules and Selected Cases – Part 3 Rules Related to SBRA (Continued)

Lawrence R. Ahern, III

December 4, 2022

Introduction This series reviews developments in bankruptcy procedure during 2022. Amendments to 16 rules and new one new rule take effect December 1, 2022, absent Congressional action. Many reflect changes necessitated by the Small Business Reorganization Act of 2019 (SBRA),1 and have been in place in the same or similar form on an interim basis since that legislation took effect.

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Bankruptcy Conversion and Exemption Objection Deadlines

Hale Andrew Antico

December 17, 2023

Does a converted bankruptcy case restart the deadline for objections to exemptions? This is one of those articles that makes subscription to ConsiderChapter13.org “worth the price of admission”!

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An Argument in Favor of the Mid-Case Audit: B.R. 3002.1 Proposed Changes

Molly Simons

August 28, 2022

If you put your ear to the ground you may hear the rumblings regarding a change to Bankruptcy Rule 3002.1 requiring the institution of a mid-case bankruptcy audit. This mid-case audit would be like the Notice of Final Cure but would be performed by a trustee’s office in the middle of a pending Chapter 13, rather than at the end,...

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WE LOVE AND WILL MISS YOU, HELEN

Elizabeth Vaughan

July 31, 2022

Helen Morris, the Standing Chapter 13 and 12 Trustee for West Virginia is retiring at the end of this fiscal year. I first met Helen over lunch at NACTT, where we chatted about a non-legal interest we both share, writing fiction. I was delighted to discover, then as now, a friend with a razor wit, a wicked sense of humor...