September 26, 2022
Archives
HaleAntico

Quick Confirmation – BAP Says Not so Fast

By Hale Andrew Antico, Esq. (Los Angeles, CA)
In looking at multiple areas of a confirmed but appealed Chapter 13 case, the 9th Circuit BAP struggled because there were no findings of fact or conclusions of law by the Bankruptcy Court.
HHildebrand150v2

Critical Case Comment – Don’t File an Individual Chapter 13 if the Assets Are Owned by an LLC; It Will Cost You – BIG

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Where a debtor and debtor’s counsel initiated a Chapter 13 petition in an effort to halt a foreclosure against property held by the debtor’s LLC, and where the debtor took no steps to correct the filing, sanctions would be imposed against debtor’s counsel.
Jan-Hamilton

“Jan Hamilton” – Need We Say More?

(Not password protected)
By Teresa L. Arnold, Staff Attorney to Trustee Carl B. Davis (Wichita KS)
Happy Retirement Jan!!

“Before and during the oraI arguments I sat next to a former clerk for Justice Rehnquist. She was very impressed with Jan’s abilities, commenting that she had seen many oral arguments and that Jan was really good, one of the best!”

creolajohnson

Interesting New Bankruptcy Study

The Modern Family Debacle: Bankruptcy Judges Decide That Some of the Debtors’ Loved Ones Do Not Count as Household Members

(Not password protected)
Study by Professor Creola Johnson from THE Ohio State University, Moritz School of Law
“. . . a debtor learned that her five children – two biological children and three stepchildren – counted as only 2.59 members of her household . . .”
retirementahead

Fond Farewell to Alabama Trustee

(Not password protected)
Dear Danny,

“. . . we couldn’t let this moment pass without acknowledging how admired and respected you are.”

ncbrc

From NCBRC

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • W.D. PA – The Honorable Gregory L. Taddonio has been appointed Chief Judge of the United States Bankruptcy Court for the Western District of Pennsylvania effective 9/23/22
  • M.D. NC – Please note that on and after October 1, 2022, all new Chapter 13’s in the Durham Division and all new Chapter 13’s in the Greensboro Division (all counties) will be assigned to Trustee Troxler. Pending cases in the Durham Division will also be transferred to Trustee Troxler.
studentloanchronicles

Student Loans Chronicles

(Not password protected)

Temporary restraining order against further collection of discharged student loan debts. In a sequel to the Second Circuit’s decision in Homaidan v. Sallie Mae, Inc., 3 F.3d 595 (2d Cir. 2021), that private loans did not fall within § 523(a)(8)(A)(ii)’s exception from discharge, because those loans were not “an obligation to repay funds as an educational benefit,” the former Chapter 7 debtor sought injunctive relief on behalf of a class of debtors who had received discharge but were subject to continuing collection of private loans like those addressed in the Second Circuit decision. In an extensive discussion, the Bankruptcy Court concluded that it had jurisdiction and authority to issue injunctive relief on behalf of a nationwide putative class. The opinion discusses the views on whether a Bankruptcy Court may enforce the § 524(a) discharge injunction for debtors in other judicial districts, concluding that it may do so. Navient was restrained and enjoined from taking any collection action on “Tuition Answer Loans held by the Plaintiffs and the Putative Class Members…that exceed the cost of attendance as defined by Internal Revenue Code § 221(d), and that have an outstanding balance subject to collection.” In re Homaidan, 640 B.R. 810 (Bankr. E.D. N.Y. 2022), Judge Stong.

openposition

Positions Available

(Not password protected)
  • E.D. Washington – Term Law Clerk – Application Deadline 10/17/22
  • D. Massachusetts – Trusteeship – Application Deadline 10/3/22
  • D. Rhode Island – Trusteeship – Application Deadline 10/3/22
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
September 19, 2022
Archives
ahern

The Effect of “Success” (or the Lack of It) on Attorneys’ Fees – Part 1: Judicial and Legislative Background

By Lawrence R. Ahern, III,Brown & Ahern (Nashville, TN)
Larry Ahern this week explores whether a professional’s success has a bearing on the fee that may be allowed in bankruptcy and focuses on a recent Sixth Circuit decision cutting a fee by half after an unsuccessful engagement.

“Chapter 13 debtors and their counsel may like the result in the case, because it gives them another tool for keeping the cost of professional services under control. However, the “results obtained” measure can cut both ways.”

HHildebrand150v2

Critical Case Comment – You Might as Well Plan for the Wrecked Car

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
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.
rmichaelsmith

The Student Loan Debacle: Causes & Cures

By R. Michael Smith, Esq., Cincinnati, Ohio
“As we observe the growing discussion over the tremendous amount of outstanding student loan debt, several points of clarification might do us well.”
bernicedonald

Former Bankruptcy Judge and NACTT 2021 Featured Speaker Honored

(Not password protected)
Federal Appeals Court Judge Bernice Donald to Receive Sandra Day O’Connor Award for Outstanding Contributions to Justice
joannstevenson

From the Western District of Michigan

(Not password protected)
cfpb

From the CFPB

(Not password protected)

CFPB Study Details the Rapid Growth of “Buy Now, Pay Later” Lending – Business model relies on data collection, and loans serve as close substitute for credit cards

ncbrc

From NCBRC

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • M.D. NC – Please note that on and after October 1, 2022, all new Chapter 13’s in the Durham Division and all new Chapter 13’s in the Greensboro Division (all counties) will be assigned to Trustee Troxler. Pending cases in the Durham Division will also be transferred to Trustee Troxler.
  • M.D. NC – U.S. Court of Appeals for the Fourth Circuit has selected John Paul “JP” H. Cournoyer, of Chapel Hill, N.C., to fill the Bankruptcy Administrator vacancy in the Middle District of North Carolina created by William Miller’s upcoming retirement.
  • M.D. LA – Judge-Select Michael A. Crawford will take the bench 10/3/22, upon the retirement of Judge Douglas D. Dodd.
  • M.D. AL – As of 10/1/22, new presumptive attorney fee in a chapter 13 case is $4,500
studentloanchronicles

Student Loans Chronicles

(Not password protected)

Temporary restraining order against further collection of discharged student loan debts. In a sequel to the Second Circuit’s decision in Homaidan v. Sallie Mae, Inc., 3 F.3d 595 (2d Cir. 2021), that private loans did not fall within § 523(a)(8)(A)(ii)’s exception from discharge, because those loans were not “an obligation to repay funds as an educational benefit,” the former Chapter 7 debtor sought injunctive relief on behalf of a class of debtors who had received discharge but were subject to continuing collection of private loans like those addressed in the Second Circuit decision. In an extensive discussion, the Bankruptcy Court concluded that it had jurisdiction and authority to issue injunctive relief on behalf of a nationwide putative class. The opinion discusses the views on whether a Bankruptcy Court may enforce the § 524(a) discharge injunction for debtors in other judicial districts, concluding that it may do so. Navient was restrained and enjoined from taking any collection action on “Tuition Answer Loans held by the Plaintiffs and the Putative Class Members…that exceed the cost of attendance as defined by Internal Revenue Code § 221(d), and that have an outstanding balance subject to collection.” In re Homaidan, 640 B.R. 810 (Bankr. E.D. N.Y. 2022), Judge Stong.

openposition

Positions Available

(Not password protected)
  • D. Massachusetts – Trusteeship – Application Deadline 10/3/22
  • D. Rhode Island – Trusteeship – Application Deadline 10/3/22
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
September 12, 2022
Archives
NicoleNoll

Bankrupt Attorney Cannot Discharge State Court Sanctions

By Nicole Noll, Esq., Law Offices of Jeffrey M. Sirody & Associates, P.A. (Baltimore, MD)

This case has it all –sex (albeit alleged), lies, drugs, and a big’o’ fat sanction at the end!

“In a recent opinion, the 9th Circuit BAP affirmed a bankruptcy judge’s decision that sanctions order by a state court were nondischargeable under § 523(a)(6) and that the state court proceeding precluded litigating the issue in bankruptcy.”

NicoleNoll

Did You Really Rely Upon That?

By Angela Scolforo, Staff Attorney to Herbert L. Beskin (Charlottsville, VA)

“The Mississippi Bankruptcy Court in The Huntington National Bank vs. Ashley Mosby, case #21-11614, adversary case #21-1028, on September 1, 2022, denied the bank’s request to declare a debt non-dischargeable because the bank did not rely upon the debtor’s false statement.”

Yep, you read that right! If you’ve been around consumer practice a while, you may have attended one of Judge Lundin’s Advanced Bankruptcy Institutes – in those workshops, there was ALWAYS a bank’s witness (thank you very much, Martin Keefer –  we love you!). This case reminds me of that . . . one take-away PREP YOUR WITNESS!

MJHayes

Demystifying Bankruptcy Appeals

(Reprinted with permission – Supplement to the Los Angeles and San Francisco Daily Journal, August 24, 2022)
By M. Jonathan Hayes, 9th Circuit BAP Law Clerk (Los Angeles, CA)
Consumer bankruptcy attorneys in my experience tend to see appeals as a massively expensive undertaking fraught with unfamiliar rules and the threat of sanctions at every turn. That is not the reality. The purpose of this short article is to allay those fears. It’s a fun and satisfying process; dive in says I.
barchart

By the Numbers

(Not password protected)
ncbrc
courtscales

From the Courts

(Not password protected)
  • M.D. NC – U.S. Court of Appeals for the Fourth Circuit has selected John Paul “JP” H. Cournoyer, of Chapel Hill, N.C., to fill the Bankruptcy Administrator vacancy in the Middle District of North Carolina created by William Miller’s upcoming retirement.
  • M.D. LA – Judge-Select Michael A. Crawford will take the bench 10/3/22, upon the retirement of Judge Douglas D. Dodd.
  • M.D. AL – As of 10/1/22, new presumptive attorney fee in a chapter 13 case is $4,500
studentloanchronicles

Student Loans Chronicles

(Not password protected)

Temporary restraining order against further collection of discharged student loan debts. In a sequel to the Second Circuit’s decision in Homaidan v. Sallie Mae, Inc., 3 F.3d 595 (2d Cir. 2021), that private loans did not fall within § 523(a)(8)(A)(ii)’s exception from discharge, because those loans were not “an obligation to repay funds as an educational benefit,” the former Chapter 7 debtor sought injunctive relief on behalf of a class of debtors who had received discharge but were subject to continuing collection of private loans like those addressed in the Second Circuit decision. In an extensive discussion, the Bankruptcy Court concluded that it had jurisdiction and authority to issue injunctive relief on behalf of a nationwide putative class. The opinion discusses the views on whether a Bankruptcy Court may enforce the § 524(a) discharge injunction for debtors in other judicial districts, concluding that it may do so. Navient was restrained and enjoined from taking any collection action on “Tuition Answer Loans held by the Plaintiffs and the Putative Class Members…that exceed the cost of attendance as defined by Internal Revenue Code § 221(d), and that have an outstanding balance subject to collection.” In re Homaidan, 640 B.R. 810 (Bankr. E.D. N.Y. 2022), Judge Stong.

openposition

Positions Available

(Not password protected)
  • D. Massachusetts – Trusteeship – Application Deadline 10/3/22
  • D. Rhode Island – Trusteeship – Application Deadline 10/3/22
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
September 5, 2022
Archives

siegenthaler

More on Marketing/Networking

Continuing our efforts to offer marketing assistance to Debtor Attorneys, we produced a webinar outlining free and low-cost steps you can take, right now, to increase the number of times the phone rings or you get a text from potential clients.

All Academy webinars are free if you participate live. Access to recordings are a benefit of subscription or we offer a pay-per-view option.

Click here for the webinar: Marketing Is Not a Dirty Word with special guest Amy Seigenthaler, Managing Partner, FINN Partners Southeast

********************

Each week, you see this header: For Your Blog (Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)

The links in this ongoing category are meant for use as a springboard for unique articles in your newsletter and/or blog. Some items can be linked to directly, as we do here. Others can serve as a resource for you to cite in your own articles. A client newsletter does not need to be a scholarly essay – correction, SHOULD NOT be scholarly or long!

The main thing it needs to do is get your name/number in front of your previous clients in a manner that says, “I care about you” or “I’m thinking about you.”

It should not convey advertising!

Ideas of things to include: pictures of you engaging in a hobby; pictures of your pet(s); selfies (seriously, selfies sell! but use good discretion – no ‘hold my beer moments’); cost savings reminders; recipes for an inexpensive meal*; local flavor (i.e. Congratulations Pink Armadillos** on The Big Win); gardening tips; offer a discount code for a consultation; easy fitness/exercise/health tips; reminder to change/check car oil/batteries in smoke detectors; share your accolades (this IS a time to brag on yourself); answer questions – (i.e. you received a call from a potential client – put the question and your answer in an article); spotlight different staff members; add a Happy Birthday corner (i.e. Happy Birthday to all July Birthdays – I mean, you are bound to hit someone and if not, nobody knows anyway!).

Click here to share your ideas!

Remember, you can’t simply link to someone else’s work on every item in your newsletter – you MUST write original content!

We would also love to share examples of your newsletter with the group. Click here to upload.

*You cannot ‘steel’ most recipes from online – you MUST cite the source.
**Fill in your local team/athlete.

Additionally, we are providing the below resource – FREE. It is our hope that you can share it with Personal Injury attorneys in your area. USE THIS AS A NETWORKING TOOL to generate new clients.

Personal Injury Attorney’s Duty of Reasonable Inquiry of a Client’s Bankruptcy

By Michael B. Joseph, Esq.

“What duty does a personal injury attorney have to discover or determine the existence of a client’s or a prospective client’s bankruptcy?”

See also:

Critical Case CommentIn re McLemore (Also not password protected.)

cmoran

What’s It Worth . . . to Your Client . . . on the Open Market?

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

“If all the children in Lake Woebegon are above average, all the small businesses our clients run are quite valuable.If the Chapter 13 trustee is asking the question, anyway.

I rail when the Chapter 13 trustee’s business questionnaire asks, ‘how much would you sell your business for.’”

ustrustee

From the United States Trustee

(Not password protected)
practicetip

Practice Tip

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • M.D. LA – Judge-Select Michael A. Crawford will take the bench 10/3/22, upon the retirement of Judge Douglas D. Dodd.
  • M.D. AL – As of 10/1/22, new presumptive attorney fee in a chapter 13 case is $4,500
  • C.D. CA – 10/29/22 Judge Erithe A. Smith will retire therefore effective 9/1/22, his pending cases will be reassigned
  • C.D. CA – Effective 9/1/22 Judge Mark D. Houles pending Riverside Division cases will be reassigned
  • S.D. CA – Request for Comments on Proposed Amendments to Local Rules and Forms due 10/10/22
nactt

Couldn’t make it to NACTT San Francisco?

Get the ENTIRE educational experience for
ONLY $150!

Individual sessions are also available.

studentloanchronicles

Student Loans Chronicles

(Not password protected)
openposition

Positions Available

(Not password protected)
  • D. Massachusetts – Trusteeship – Application Deadline 10/3/22
  • D. Rhode Island – Trusteeship – Application Deadline 10/3/22
  • W.D. Tennessee – Trusteeship – Application Deadline 9/15/22
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
August 29, 2022
Archives
michaeljoseph

Personal Injury Attorney’s Duty of Reasonable Inquiry of a Client’s Bankruptcy

By Michael B. Joseph, Esq.
(Not password protected)

“What duty does a personal injury attorney have to discover or determine the existence of a client’s or a prospective client’s bankruptcy?”

We are providing this excellent resource to you FREE. It is our hope that you can share it with the Personal Injury attorneys in your area. USE THIS AS A NETWORKING TOOL to generate new clients.

See also:

Critical Case CommentIn re McLemore (Also not password protected.)

Molly

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

By Molly Simons, Senior Bankruptcy Counsel, Sottile & Barile Attorneys at Law (Loveland, OH)

“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, and would still require a response be filed by secured lender.”

See also:

3002.01 Proposed Rule Changes: The Webinar
3002.1 The Dialogue Continues

HHildebrand150v2

Critical Case Comment – In the Windfalls Category

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville)
Something for everyone in this case comment. Unanticipated post-petition acquisitions, constituting property of the estate, can be captured for the purpose of repaying creditors.
sotomayor

Justice Sonia Sotomayor Spoke Out for Debtors. Bankruptcy Judges Listened.

(Not password protected)

(If you aren’t a subscriber to the National Law Journal, you will have to create an account to read the entire article. They give you one free article per month.)

The Judicial Conference Committee on Rules of Practice and Procedure approved for public comment a proposed amendment to the bankruptcy rules that was in response to a concurring opinion from Sotomayor in City of Chicago v. Fulton.

ustrustee
practicetip

Practice Tip

(Not password protected)

The equivalent of a “Reply All” oops! – Attorney’s Group Text Goof Leads to Mistrial (Not bankruptcy related.)

ncbrc
courtscales

From the Courts

(Not password protected)
  • M.D. AL – As of 10/1/22,new presumptive attorney fee in a chapter 13 case is $4,500
  • C.D. CA – 10/29/22 Judge Erithe A. Smith will retire therefore effective 9/1/22, his pending cases will be reassigned
  • C.D. CA – Effective 9/1/22 Judge Mark D. Houles pending Riverside Division cases will be reassigned
  • S.D. CA – Request for Comments on Proposed Amendments to Local Rules and Forms due 10/10/22
  • S.D. GA – 9/1/22 the Honorable Susan D. Barrett will return to holding in-person hearings in the Augusta and Dublin Divisions
nactt

Couldn’t make it to NACTT San Francisco?

Get the ENTIRE educational experience for
ONLY $150!

Individual sessions are also available.

studentloanchronicles

Student Loans Chronicles

(Not password protected)
openposition

Positions Available

(Not password protected)
  • C.D. Illinois – Judgeship – Application Deadline 8/29/22
  • N.D. New York – Judgeship – Application Deadline 9/6/22
  • D. Massachusetts – Trusteeship – Application Deadline 10/3/22
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
August 22, 2022
Archives
HHildebrand150v2

Critical Case Comment – Watch for Opportunities to Bifurcate Home Mortgage Claims

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Where a Chapter 13 plan treats a claim secured only by the debtor’s mobile home under § 506 and not real property, the effect of a notice of fees, costs and charges is irrelevant.
cmoran

What’s It Worth to You?

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

“If all the children in Lake Woebegon are above average, all the small businesses our clients run are quite valuable.If the Chapter 13 trustee is asking the question, anyway.

I rail when the Chapter 13 trustee’s business questionnaire asks, ‘how much would you sell your business for.’”

ustrustee
marketingstrategy

FREE WEBINAR

*** REGISTER NOW ***

“Marketing is Not a Dirty Word”
August 26th 2:00 Eastern

In these lean times, we have heard from many debtor attorneys asking for resources on generating business. We have heard you. On August 26th, join Trustee Hank Hildebrand as he interviews Amy Seigenthaler, Managing Partner of FINN Partners Southeast. FINN are specialist in marketing and creative strategy, research and insights, and branding. Amy will discuss FREE and low-cost things you can do right now to increase business!

nclc
courtscales

From the Courts

(Not password protected)
  • C.D. CA – 10/29/22 Judge Erithe A. Smith will retire therefore effective 9/1/22, his pending cases will be reassigned
  • C.D. CA – Effective 9/1/22 Judge Mark D. Houles pending Riverside Division cases will be reassigned
  • S.D. CA – Request for Comments on Proposed Amendments to Local Rules and Forms due 10/10/22
  • S.D. GA – 9/1/22 the Honorable Susan D. Barrett will return to holding in-person hearings in the Augusta and Dublin Divisions
nactt

Couldn’t make it to NACTT San Francisco?

Get the ENTIRE educational experience for
ONLY $150!

Individual sessions are also available.

debt

Debt in America: An Interactive Map

(Not password protected)
This is really cool! Check it out.
openposition

Positions Available

(Not password protected)
  • W.D. Pennsylvania – Term Law Clerk – Application Deadline 12/1/22
August 15, 2022
Archives
meridethakers

Put Me in Coach, I’m Ready to Play

By Merideth Akers, CPA, PHR, Comptroller for Bradford W. Caraway (Birmingham, AL)

The genial, insightful, learned Merideth Akers brings us another installment in our “Staff Corner” series. This series not only applies to Trustees’ offices but is applicable to everyone who manages/employs others.

More from the author:

HHildebrand150v2

Critical Case Comment – Be Careful What You Stipulate

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Where a stipulation of a settlement of an objection to confirmation provided that a creditor’s claim would be “excepted from discharge pursuant to 11 U.S.C. § 523(a)(6)”, the stipulation would not prevent the discharge of the claim based upon a breach of fiduciary duty, tortious interference with business relations, unfair competition, defamation, and conversion which resulted in a state jury verdict.
NicoleNoll

Meet New Trustee Brian Tucci

By Nicole Noll, Esq., Law Offices of Jeffrey M. Sirody & Associates, P.A. (Baltimore, MD)
In April, Brian Tucci started his appointment as the Chapter 13 Standing Trustee for Baltimore, Maryland.
marketingstrategy

FREE WEBINAR

*** REGISTER NOW ***

“Marketing is Not a Dirty Word”
August 26th 2:00 Eastern

In these lean times, we have heard from many debtor attorneys asking for resources on generating business. We have heard you. On August 26th, join Trustee Hank Hildebrand as he interviews Amy Seigenthaler, Managing Partner of FINN Partners Southeast. FINN are specialist in marketing and creative strategy, research and insights, and branding. Amy will discuss FREE and low-cost things you can do right now to increase business!

courtscales

New Clerk of Court

(Not password protected)
L. Jefferson (“Jeff”) Davis, IV, begins his service as Clerk of Court for the District of South Carolina on August 15, 2022.
ncbrc

From NCBRC

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
August 8, 2022
Archives
rapoport

Ms. Ps & Qs

By Nancy B. Rapoport, UNLV Distinguished Professor, the Garman Turner Gordon Professor of Law at the William S. Boyd School of Law, University of Nevada (Las Vegas)
“When a judge issues a 28-page opinion sanctioning a lawyer, usually that means that the lawyer has done so many things wrong that he or she has caused the judge to roll up his or her respective sleeves . . . to deal with the mess.” Ouch – can you hear the benchslap from where you are?
HHildebrand150v2

Critical Case Comment – How Many Cats?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Even though the Chapter 13 debtor’s 36 cats were property of the estate, the county animal control office could pursue possession of the cats and resulting disposition.
Jaworski

Meet a Brand Spankin’ New Trustee

William F. Jaworski, Jr. – Bill – was appointed Chapter 13 Standing Trustee for the District of Delaware on April 1, 2022. Jaworski has very large shoes to fill as he is taking over for Michael Joseph upon his well-deserved retirement.
marketingstrategy

FREE WEBINAR

*** REGISTER NOW ***

“Marketing is Not a Dirty Word”
August 26th 2:00 Eastern

In these lean times, we have heard from many debtor attorneys asking for resources on generating business. We have heard you. On August 26th, join Trustee Hank Hildebrand as he interviews Amy Seigenthaler, Managing Partner of FINN Partners Southeast. FINN are specialist in marketing and creative strategy, research and insights, and branding. Amy will discuss FREE and low-cost things you can do right now to increase business!

paulbonapfel

Sub V

(Not password protected)

A Guide to the Small Business Reorganization Act of 2019

By Paul W. Bonapfel, June 2022
Judge Bonapfel has updated his comprehensive resource on Sub V. Thank you, Judge Bonapfel!
ncbrc

From NCBRC

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
August 1, 2022
Archives
cmoran

Think Beyond the Means Test

By Cathy Moran, Esq. (Redwood City, CA)
“ . . . even the grey-beards can benefit by stepping back and looking at the big picture.”
HHildebrand150v2

Critical Case Comment – Hell Hath No Fury, Until It Meets the S.D. of PA

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

So many click bait phrases – Bad Faith, Ms. Debtor, Bad Faith; Creditor Attorneys, Pay Attention; Debtor Attorneys Beware – As Attorney Moran points out in Think Beyond the Means Test, being a bankruptcy lawyer takes much more than just filling out forms.

Chapter 13 debtor’s profligate, pre-petition spending and post-petition lack of candor, demonstrated that the plan was not proposed in good faith and the petition was not filed in good faith.

Not a subscriber? Use THIS invoice for a discounted subscription.

amyx

WE LOVE AND WILL MISS YOU, HELEN

By Elizabeth Vaughan, Chapter 13 Standing Trustee for the Northern District of Ohio (Toledo)

Helen Morris, the Standing Chapter 13 and 12 Trustee for West Virginia is retiring at the end of this fiscal year.

Over the years, Helen has taught us valuable lessons while entertaining us along the way. Below are many of her articles – ENJOY!

  • Debtor Math (Regina’s personal favorite! And for you young’uns who have never seen this “debtor math” video, take two minutes to watch – you will never forget it!)
marketingstrategy

FREE WEBINAR

*** REGISTER NOW ***

“Marketing is Not a Dirty Word”
August 26th 2:00 Eastern

In these lean times, we have heard from many debtor attorneys asking for resources on generating business. We have heard you. On August 26th, join Trustee Hank Hildebrand as he interviews Amy Seigenthaler, Managing Partner of FINN Partners Southeast. FINN are specialist in marketing and creative strategy, research and insights, and branding. Amy will discuss FREE and low cost things you can do right now!

paulbonapfel

Sub V

(Not password protected)

A Guide to the Small Business Reorganization Act of 2019

By Paul W. Bonapfel, June 2022
Judge Bonapfel has updated his comprehensive resource on Sub V. Thank you, Judge Bonapfel!
cfpb

From the CFPB

(Not password protected)
courtscales

From the Courts

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
openposition

Positions Available

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
July 25, 2022
Archives
emily-connor-kennedy

Finding Your Village: An Introductory Guide to Bringing Fair Credit Reporting Act Claims for Clients Post-Bankruptcy

By Emily Connor Kennedy, Boleman Law Firm, P.C. (Richmond, VA)
“There are three main statutory sections for bringing post-bankruptcy Fair Credit Reporting Act cases: . . .”
HHildebrand150v2

Critical Case Comment – Secured Creditor Granted Relief from Stay. But, Wait There’s More . . . No Proof of Claim.

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
“Judge Conley followed the strict terms of § 362(d) in holding that the court was required to grant relief from the stay if the creditor lacks adequate protection.”
marketingstrategy

Marketing Resources

Save the Date –August 26th 2:00 Eastern
– FREE Webinar –
“Marketing is Not a Dirty Word”

Below are a few marketing resources:

Webinar – Are You a Lawyer or a Marketer? How to be Both

Articles:

Not a subscriber? Use THIS invoice for a discounted subscription.

maxgardner

New from Max

(Not password protected)
As a free resource, Max Gardner provides ConsiderChapter13.org readers with an all-inclusive checklist for deeming a mortgage current.
paulbonapfel

Sub V

(Not password protected)

A Guide to the Small Business Reorganization Act of 2019

By Paul W. Bonapfel, on June 2022
Judge Bonapfel has updated his comprehensive resource on Sub V. Thank you, Judge Bonapfel!
cfpb

From the CFPB

(Not password protected)
ncbrc
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
July 18, 2022
Archives
cmoran

4 Reasons to Keep Time Records No One Discusses

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

“Mention keeping time records to a bankruptcy lawyer and you’re likely met with expressions of utter revulsion. . . .What a mistake.Penny-wise and pound-foolish, in my view. Here are my big four reasons why.”

See also:

Tell the Story

HHildebrand150v2

Critical Case Comment – Sec. 328 vs. Sec. 327 Not Exactly a Smack Down

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
FA referral fee by retained special counsel paid to debtor’s attorney violates the prohibition in § 504 in that the referral fee constitutes an unauthorized splitting of attorney’s fees.
Mccormick

Mortgage Escrow

AND, there are two webinars:

Demystifying Mortgage Escrow – In Escrow Analysis 101, Michael J. McCormick and W. Jeffrey Collier do a stellar job of helping us understand an escrow analysis and how to use the information contained in an escrow statement. This webinar is specifically designed for trustees’ and debtors’ attorneys’ staff but could also be of assistance to anyone required to analyze escrow statements and resolve problems short of litigation.

Escrow Analysis Beyond the Basics – A continuation of Demystifying Mortgage Escrow, this resource drills down beyond the basics and analyzes common problems found in deciphering escrow statements. Experts Ramona Daniels, Joel Ackerman and Denise Carlon look at case law and statutes and answer viewer questions.

During the Mortgage Committee Meeting in San Francisco, Judge Keith Lundin mentioned a series of articles from last year by McCalla Raymer’s Michael McCormick.

These articles alone are worth the annual cost of subscribing to ConsiderChapter13.org. If you – or your employees – are still confused about escrow, here are the answers! And thank you Mike!!

Escrow 101 – Part 1 of 3

Escrow 101 – Part 2 of 3 – The Escrow Analysis

Escrow 101 – Part 3 of 3 – Frequently Asked Questions

Escrow 102 – Part 1 of 4

Escrow 102 – Part 2 of 4 – The History of Escrow Treatment in Bankruptcy

Escrow 102 – Part 3 of 4 – Official Form 410A1

Escrow 102 – Part 4 of 4 – The Shortage-Only Arrears Claim

Not a subscriber? Use THIS invoice for a discounted subscription.

cfpb

From the CFPB

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
tech

In the Tech Department

(Not password protected)
openposition

Positions Available

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
courtscales

From the Courts

(Not password protected)
  • S.D. NY – Two new judges appointed – Read the Press Release for John P. Mastando III here, and the Press Release for Philip Bentley here.
July 11, 2022
Archives
Relyea

Safeguarding the Promise of a Fresh Start: Utilizing RESPA to Challenge Mortgage Servicing Errors Post-Discharge

By Stephen F. Relyea, Boleman Law (Richmond, VA)
“Until recently, when our prior bankruptcy clients sought our assistance after their bankruptcy case concluded with . . . mortgage servicing errors . . ., our ability to help them was limited . . . .” But now . . .
HHildebrand150v2

Critical Case Comment – Pay the TAXES!

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Failure of Chapter 13 debtors to satisfy post-petition property tax payments to the county, specifically required in the debtors’ Chapter 13 plan, renders the debtors ineligible for a discharge, even where the debtors proposed a loan modification to repay the mortgage creditor which had advanced the post-petition taxes.
Mccormick

You only thought you were finished hearing about NACTT’s annual conference for the year . . .

During the Mortgage Committee Meeting in San Francisco, Judge Keith Lundin mentioned a series of articles from last year by McCalla Raymer’s Michael McCormick.

These articles alone are with the annual cost of subscribing to ConsiderChapter13.org. If you – or your employees – are still confused about escrow, here are the answers! And thank you Mike!!

Escrow 101 – Part 1 of 3

Escrow 101 – Part 2 of 3 – The Escrow Analysis

Escrow 101 – Part 3 of 3 – Frequently Asked Questions

Escrow 102 – Part 1 of 4

Escrow 102 – Part 2 of 4 – The History of Escrow Treatment in Bankruptcy

Escrow 102 – Part 3 of 4 – Official Form 410A1

Escrow 102 – Part 4 of 4 – The Shortage-Only Arrears Claim

cfpb

From the CFPB

(Not password protected)
CFPB Moves to Reduce Junk Fees Charged by Debt Collectors – Advisory opinion explains that most “pay-to-pay” fees charged by debt collectors violate federal law
ncbrc
openposition

Positions Available

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
courtscales

From the Courts

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
July 4, 2022
Archives
americanflag

Happy Birthday, America

Let Freedom Ring!

If you are like me, it is unbelievable that it is JULY 2022! But here we are. As with other federal holidays (plus NACTT’s annual seminar this week), we bring you an abbreviated update. RL

chains

How to Build and Strengthen Your Chapter 13 Debtor Practice

By The NACTT Emeritus Trustee Committee

As a gift to all of our readers, we give this resource not password protected.

“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.”

markleffler

One comment regarding this series: “Mark, your articles on how to stop leaving money on the table are OUTSTANDING. Thank you for sharing your experiences. I learned a great deal, and I’m sure the debtors’ bar will appreciate the suggestions for work during these sluggish times.”

How My Law Firm Learned to Stop Leaving Money on the Table Part 4 – Making Willful Stay Violations Pay Off

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA

A very popular series from Mark Leffler, of the Boleman Law Firm in Virginia. Mark is also President of the Academy for Consumer Bankruptcy Education (d/b/a ConsiderChapter13.org).

This week, the final installation of his series describing his firm’s development of a broader practice on behalf of consumer debtors.

**Special offer for those who read the fine print. Not a subscriber but want these articles? Click here for a discounted subscription rate.

Molly

Very popular from last week . . .

The Unintended Filing Bar – Don’t Ignore MFR on Surrendered Property

By Molly Simons, Senior Bankruptcy Counsel, Sottile & Barile Attorneys at Law (Loveland, OH)

New author. New topic.

“. . . we can dismiss your case and refile and include this new post-petition medical debt. . . . it is only then that you are hit with the big red “THOU SHALL NOT PASS” sign. In fine print below it states ‘11 U.S.C. 109(g)(2)’.”

hildebrand

He signed the Bill!!!

Bankruptcy Threshold Adjustment and Technical Corrections Act

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

Hank Hildebrand expounds on S. 3823, which was signed by the President on 6/21. This Act increases the eligibility for Chapter 13 debtors to $2,750,000, while eliminating the distinction between secured and unsecured debt for two years.

  • Official Form 101, Voluntary Petition for Individuals (revises line 13 – The Act reinstates the definition of “debtor” for determining eligibility to proceed under subchapter V of chapter 11 that was in effect from March 27, 2020 through March 27, 2022, under the CARES Act, as amended)
cfpb

Lots out of the CFPB this week . . .

From the CFPB

(Not password protected)
openposition

Positions Available

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • M.D. FL – New and amended Local Rules, effective 7/1/22 – Click HERE for memorandum from Judge Lori V. Vaughan summarizing the changes. Click HERE for the new and amended Local Rules.
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
June 27, 2022
Archives
Molly

The Unintended Filing Bar – Don’t Ignore MFR on Surrendered Property

By Molly Simons, Senior Bankruptcy Counsel, Sottile & Barile Attorneys at Law (Loveland, OH)

New author. New topic.

“. . . we can dismiss your case and refile and include this new post-petition medical debt. . . . it is only then that you are hit with the big red “THOU SHALL NOT PASS” sign. In fine print below it states ‘11 U.S.C. 109(g)(2)’.”

bankruptcythreshold

He signed the Bill!!!

Bankruptcy Threshold Adjustment and Technical Corrections Act

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

Hank Hildebrand expounds on S. 3823, which was signed by the President on 6/21. This Act increases the eligibility for Chapter 13 debtors to $2,750,000, while eliminating the distinction between secured and unsecured debt for two years.

  • Official Form 101, Voluntary Petition for Individuals (revises line 13 – The Act reinstates the definition of “debtor” for determining eligibility to proceed under subchapter V of chapter 11 that was in effect from March 27, 2020 through March 27, 2022, under the CARES Act, as amended)
kevinanderson

Consumers Are Consuming Cash at an Unsustainable Rate

By Honorable Kevin R. Anderson,United States Bankruptcy Judge, District of Utah (Salt Lake City)

From one of our favorite authors, a look at the statistics of spending in the US.

“If consumers continue to withdraw cash at the present rate, savings will be depleted by Sept.

2022.”

hildebrand

Critical Case Comment – Pre-Confirmation Payments

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Even though the Model Plan in the district provides that the applicable commitment period starts from confirmation, the debtor may not apply pre-confirmation payments toward payments made during the applicable commitment period but must apply those payments in addition to the applicable commitment period payments.
nclc
cfpb

From the CFPB

(Not password protected)
waites

From the U.S. Bankruptcy Court for the District of South Carolina

(Not password protected)

REGISTER NOW

Don’t miss out.
Great educational experience, CLE, AND,
SAN FRANCISCO!!!!!

openposition

Positions Available

(Not password protected)

Clerk of Court Vacancy

      • The Bankruptcy Court for the District of South Carolina announced that Laura A. Austin has been selected as the new Clerk of Court for the U.S. District Court for the Western District of Virginia in Roanoke, effective August 15, 2022. “Laura has provided excellent service to our Court since 2013. We wish her well in her new position.” A resulting vacancy announcement for the position of Clerk of Court is found here. Candidates should submit their applications on or before July 5, 2022.
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
courtscales

From the Courts

(Not password protected)
  • N.D. NY – Pursuant to Administrative Order 22-04, the Rights and Responsibilities of Chapter 13 Debtors and Their Attorneys is no longer required to be filed.
  • S.D. NY – Effective 7/1/22, duty station of Judge Sean H. Lane will be transferred from the Manhattan Division to the White Plains Division. Judge Lane will replace Judge Robert D. Drain who is scheduled to retire on June 30, 2022. Press Release and General Order
  • M.D. FL – New and amended Local Rules, effective 7/1/22 – Click HERE for memorandum from Judge Lori V. Vaughan summarizing the changes. Click HERE for the new and amended Local Rules.
michaeljoseph

In Case You Missed It . . .

Best Practices in Bankruptcy: Power of Attorney or Guardian

By Michael B. Joseph, Esq., Ferry Joseph, P.A.
Another excellent resource for your everyday practice.
June 20, 2022
Archives

In honor of our newest federal holiday,
we bring an abbreviated update.
Go out and celebrate FREEDOM!!

williambrown

United States Trustee Guidelines for Enforcement Related to Bifurcated Chapter 7 Fee Agreements

By William Houston Brown, Editor/Adviser, Academy for Consumer Bankruptcy Education

On June 10, 2022, the Acting Director for United States Trustee Program announced Guidelines for the United States Trustees’ enforcement of bifurcated Chapter 7 fee agreements. Click here for Guidelines

See also: Bifurcated Fees Under Examination By Wm. Houston Brown (Password Protected)

interestratechange

Till Interest Rate Change

(Not password protected)

Wall Street Banks Raise Prime Rates to Match Fed’s Hike – U.S. banks JPMorgan Chase & Co, Citigroup Inc and Wells Fargo & Co said on Wednesday they had raised their prime lending rates by 75 basis points to 4.75%, effective Thursday, matching the Federal Reserve’s rate hike earlier in the day.

See also:

hildebrand

Critical Case Comment – Siegel v. Fitzgerald

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

Congress’ enactment of differing fees for U.S. Trustee states and Bankruptcy Administrator states violated the uniformity provision of the Bankruptcy Clause of Article I of the Constitution.

See also:

Siegel v. Fitzgerald – U.S. Trustee Fee Unconstitutional

By William Houston Brown, Editor/Adviser, Academy for Consumer Bankruptcy Education

Click here for the opinion

markleffler

If you haven’t read this series, today is the perfect time to do it.

How My Law Firm Learned to Stop Leaving Money on the Table Part 4 – Making Willful Stay Violations Pay Off

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA

A very popular series from Mark Leffler, of the Boleman Law Firm in Virginia. Mark is also President of the Academy for Consumer Bankruptcy Education (d/b/a ConsiderChapter13.org).

This week, the final installation of his series describing his firm’s development of a broader practice on behalf of consumer debtors.

ncbrc

REGISTER NOW

WeeerrreeeBaaaack!

NACTT is back!
Live registration numbers are back to pre-pandemic levels.
Don’t miss out.
Great educational experience, CLE, AND, hey, it’s
SAN FRANCISCO!!!!!

openposition

Positions Available

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • S.D. NY – Effective 7/1/22, duty station of Judge Sean H. Lane will be transferred from the Manhattan Division to the White Plains Division. Judge Lane will replace Judge Robert D. Drain who is scheduled to retire on June 30, 2022. Press Release and General Order
  • M.D. FL – New and amended Local Rules, effective 7/1/22 – Click HERE for memorandum from Judge Lori V. Vaughan summarizing the changes. Click HERE for the new and amended Local Rules.
June 13, 2022
Archives
michaeljoseph

Best Practices in Bankruptcy: Power of Attorney or Guardian

By Michael B. Joseph, Esq., Ferry Joseph, P.A.

Another excellent resource for your everyday practice.

“It is always troublesome when an individual bankruptcy petition is filed by power of attorney. . . . More worrisome is the incompetent or advanced aged debtor who has been placed in a chapter 13 by someone holding a power of attorney . . . . What sort of inquiry is necessary and proper in those cases?”

hildebrand

Bankruptcy Threshold Adjustment andTechnical Corrections Act

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

Hank Hildebrand expounds on S. 3823, which is awaiting the President’s signature. Congress has passed this legislation that would increase the eligibility for Chapter 13 debtors, at the same time eliminating the distinction between secured and unsecured debt.

S. 3823: Bankruptcy Threshold Adjustment and Technical Corrections Act

williambrown

Hot Off the Press and NOT Password Protected

Siegel v. Fitzgerald – U.S. Trustee Fee Unconstitutional

By William Houston Brown, Editor/Adviser, Academy for Consumer Bankruptcy Education
markleffler

How My Law Firm Learned to Stop Leaving Money on the Table Part 4 – Making Willful Stay Violations Pay Off

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA

A very popular series from Mark Leffler, of the Boleman Law Firm in Virginia. Mark is also President of the Academy for Consumer Bankruptcy Education (d/b/a ConsiderChapter13.org).

This week, the final installation of his series describing his firm’s development of a broader practice on behalf of consumer debtors.

hildebrand

Critical Case Comment – The Not DSO POC/Arbitration Language

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville)

We are re-running this one because “The Not DSO POC” may not have been a good description of this case. This case has many levels of application in Chapter 13 cases particularly specific arbitration language.

The bankruptcy rights of an ex-member of an unmarried domestic couple, now separated are not the same as those of an ex-spouse; the language of a domestic arbitration can clearly dictate if property is vested in the ex or is a simple money judgment.

cfpb

From the CFPB

(Not password protected)
juneteenth

Reminder

(Not password protected)
Monday, June 20th, is a new federal holiday JUNETEENTH
ncbrc
mortgageorb

From Mortgageorb.com

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

REGISTER NOW

WeeerrreeeBaaaack!

NACTT is back!
Live registration numbers are back to pre-pandemic levels.
Don’t miss out. Be there or be square!!
Great educational experience, CLE, AND, hey, it’s
SAN FRANCISCO!!!!!

openposition

Positions Available

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • S.D. NY – Effective 7/1/22, duty station of Judge Sean H. Lane will be transferred from the Manhattan Division to the White Plains Division. Judge Lane will replace Judge Robert D. Drain who is scheduled to retire on June 30, 2022. Press Release and General Order
  • M.D. FL – New and amended Local Rules, effective 7/1/22 – Click HERE for memorandum from Judge Lori V. Vaughan summarizing the changes. Click HERE for the new and amended Local Rules.
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
June 5, 2022
Archives
markleffler

How My Law Firm Learned to Stop Leaving Money on the Table Part 3 – Valuable Lessons Learned in Automatic Stay Litigation

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA

Mark Leffler, of the Boleman Law Firm in Virginia, and President of the Academy for Consumer Bankruptcy Education (d/b/a ConsiderChapter13.org), continues his series describing his firm’s development of a broader practice on behalf of consumer debtors.

hildebrand

Critical Case Comment – The Not DSO POC

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
The bankruptcy rights of an ex-member of an unmarried domestic couple, now separated are not the same as those of an ex-spouse; the language of a domestic arbitration can clearly dictate if property is vested in the ex or is a simple money judgment.
cfpb

From the CFPB

(Not password protected)
CFPB Bolsters Enforcement Efforts by States – Interpretive Rule Seeks to Clarify Scope of States’ Ability to Enforce Federal Consumer Financial Protection Laws

Still plenty of time to make your plans!!!!!

REGISTER NOW

openposition

Positions Available

(Not password protected)
courtscales

From the Courts

(Not password protected)
M.D. FL – New and amended Local Rules, effective 7/1/22 – Click HERE for memorandum from Judge Lori V. Vaughan summarizing the changes. Click HERE for the new and amended Local Rules.
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
May 30, 2022
Archives
memorialday

In observance of Memorial Day and so Academy staff may spend time with friends and family, we bring you an abbreviated update.

hildebrand

Critical Case Comment – 3002.1 and Reverse Mortgages (from 1/23/22)

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
Requirements and remedies in Rule 3002.1 apply to reverse mortgages as well as conventional mortgages; while discharge of Chapter 13 plan does not discharge a mortgage obligation treated pursuant to § 1325(b)(5), the Court may prohibit prospective use of a nondisclosed obligation as grounds for a default. A decision from Judge Waites – see below.
waites

Highest Award Given to Civilians in South Carolina

(Not password protected)
hildebrand

Critical Case Comment – Nonbankruptcy Lawyers MUST Check PACER (from 5/15/22)

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

We are offering this Critical Case Comment NOT PASSWORD PROTECTED so you can share with your nonbankruptcy colleagues. It is important that particularly personal injury attorneys understand the importance of following the Bankruptcy Code.

PLEASE SHARE!!

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 conversion of property of the estate. (Sawyer) In re McLemore, 2022 WL 362915 (Bankr. M.D. Ala. February 7, 2022)

Beskin

A very popular item from 1/9/22. Another Judge Waites decision.

Do I Really Have to Tell the Trustee About Newly Acquired Assets?

By Herbert L. Beskin, Chapter 13 Standing Trustee for the Western District of Virginia (Charlottesville)
It has long been a vexing question for Trustees and attorneys alike: do Debtors have to disclose assets acquired post-petition? Chief Bankruptcy Court Judge John Waites has presented his take on this issue and concluded, with some important exceptions, that they do not, but be sure to read the Note at the end of this case.
nclc

New Reverse Mortgage Resource from NCLC

(Not password protected)

Here is a short issue brief on how Homeowner Assistance Funds should be usable by RM borrowers to cure property charge defaults. Note the discussion telling RM borrowers and heirs to request the “COVID-19 HECM Extension period.” This is the equivalent of a forbearance, and very few reverse mortgage borrowers in default have ever requested it (because they don’t understand they should). It gives 6 months of foreclosure pause, extendable for another 6 months if extended before the end of the presidentially declared disaster period.

The key in most reverse mortgage foreclosure cases is escalating with either the servicer or with the National Servicing Center, or both. If you email me (Sarah Bolling Mancini smancini@nclc.org) or Odette Williamson, we are always happy to help escalate a reverse mortgage case (and/or to chat about options) any time.

NCLC also has a reverse mortgage list serv. To request to join, go here. By adding yourself to the listserv, you have access to an entire reverse mortgage litigation toolkit – free.

Make your plans NOW!!!!!

CLICK HERE TO REGISTER

 

Plenaries Include:

  • Enforcement of Court Orders and Rules: Does Contempt Power Exist in the Bankruptcy Court?
  • Ethical Implications of Remote Lawyering Post-Pandemic
  • Virtual Court Hearings: Maximizing the Benefits and Avoiding the Pitfalls
  • Windfalls: Who Gets Postpetition Property or Appreciated Values?
  • Conversion from Chapter 7 to 13: Issues to be Considered Before Conversion
  • Student Loans: Where is Litigation Headed and What is Happening in the Department of Education?
  • No Cure After 60 Months: Judicial Splits on Debtor’s Ability to Cure After Plan Term Expires
  • Dismissals with Prejudice: When Appropriate and What Conditions Apply?
  • The Future of Consumer Bankruptcy: When Will Consumer Filings Increase or Will They?
  • Chapter 13 Case Law Update – 2.5 HOURS!!
openposition

Positions Available

(Not password protected)
nclc

New Reverse Mortgage Resource from NCLC

(Not password protected)
Summer Mortgage Conference, June 22-24 in St. Louis
federalbarnj

Free Webinar

(Not password protected)

U.S. District Court for the District of New Jersey, in conjunction with the Association of the Federal Bar of New Jersey, presents: Federal Subpoena Practice: Strategy, Substance and Procedure

Tuesday, June 7, 2022 – 12:30 – 2:00 pm – Virtual Webinar

While we realize it would be rare for consumer bankruptcy attorneys/trustees to have need of federal subpoenas, it could happen so wanted you to have the information on this free resource.

courtscales

From the Courts

(Not password protected)
  • NCNCHousing Finance Agency Now Requires Court Approval – To participate in the NC Homeowner Assistance Fund, applicants in bankruptcy must obtain approval from the Court or Trustee. While NC Homeowner Assistance Fund understands that this is not typically a condition of bankruptcy proceedings, the NCHAF was informed by mortgage loan servicers and other eligible payees that such approval must accompany the program’s payment on the applicant’s behalf in order for the payee to accept and apply payment to the applicant’s account(s).
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
IRS Updates Feature on ‘Where’s My Refund?’ Taxpayers Can Now Track Refunds for Past Two Years
hildebrand

In Case You Missed It . . .

Critical Case Comment – Reverse Mortgage May be Modified

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville)
A reverse mortgage, having fallen due as a result of the death of the borrower, is not protected from modification by the borrower’s heirs by virtue of § 1322(c)(2).
May 23, 2022
Archives
hildebrand

Critical Case Comment – Reverse Mortgage May be Modified

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville)
A reverse mortgage, having fallen due as a result of the death of the borrower, is not protected from modification by the borrower’s heirs by virtue of § 1322(c)(2).
williambrown

Bifurcated Fees Under Examination

By William Houston Brown, Editor/Adviser for Academy
“As this issue is being developed in the courts, rather than in congressional amendment of the Bankruptcy Code, “some attorneys have begun using so-called ‘bifurcated’ fee agreements as a means of enabling debtors to pay most of the fees after they file for bankruptcy.”
scotus
nclc

New Reverse Mortgage Resource from NCLC

(Not password protected)

Here is a short issue brief on how Homeowner Assistance Funds should be usable by RM borrowers to cure property charge defaults. Note the discussion in there of telling RM borrowers and heirs to request the “COVID-19 HECM Extension period.” this is the equivalent of a forbearance, and very few reverse mortgage borrowers in default have ever requested it (because they don’t understand they should). It gives 6 months of foreclosure pause, extendable for another 6 months if extended before the end of the presidentially declared disaster period.

The key in most reverse mortgage foreclosure cases is escalating with either the servicer or with the National Servicing Center, or both. If you email me (Sarah Bolling Mancini smancini@nclc.org) or Odette Williamson, we are always happy to help escalate a reverse mortgage case (and/or to chat about options) any time.

NCLC also has a reverse mortgage list serv. To request to join, go here. By adding yourself to the listserv, you have access to an entire reverse mortgage litigation toolkit – free.

bankruptcymeanstest

Updated Means Test Information

(Not password protected)
The Means Test numbers are increasing as of May 15th.
cfpb

From the CFPB

(Not password protected)
ncbrc

Still time to make your plans!!!!!

REGISTER NOW!!

 

Another session of note is a plenary by the ever popular, energetic and entertaining Nancy B. Rapoport, UNLV Distinguished Professor, Garman Turner Gordon Professor of Law, Boyd School of Law, University of Nevada (Las Vegas) entitled:

Ethical Implications of Remote Lawyering Post-Pandemic

See also a free article in the news on topic:

Ethics of Virtual Consultations

openposition

Positions Available

(Not password protected)
epiqbankruptcy

New From Epiq

(Not password protected)

A Guide to Changes in Bankruptcy Compliance

This new guide covers relevant changes and amendments from the past few years, plus new and recent considerations still on the horizon related to bankruptcy and consumer finance. Mitigate risk by staying informed and compliant in this rapidly changing landscape.

federalbarnj

Free Webinar

(Not password protected)

U.S. District Court for the District of New Jersey, in conjunction with the Association of the Federal Bar of New Jersey, presents: Federal Subpoena Practice: Strategy, Substance and Procedure

Tuesday, June 7, 2022 – 12:30 – 2:00 pm – Virtual Webinar

While we realize it would be rare for consumer bankruptcy attorneys/trustees to have need of federal subpoenas, it could happen so wanted you to have the information on this free resource.

courtscales

From the Courts

(Not password protected)
  • NCNC Housing Finance Agency Now Requires Court Approval – To participate in the NC Homeowner Assistance Fund, applicants in bankruptcy must obtain approval from the Court or Trustee. While NC Homeowner Assistance Fund understands that this is not typically a condition of bankruptcy proceedings, the NCHAF was informed by mortgage loan servicers and other eligible payees that such approval must accompany the program’s payment on the applicant’s behalf in order for the payee to accept and apply payment to the applicant’s account(s).
  • S.D. AL – Beginning 5/16 proposed orders should be submitted through the E-Orders program. The old email addresses will be turned off at the end of May. Please visit the Submitting Proposed Orders page for additional details, such as document requirements and training aids. E-Orders help desk – (251) 436-5445.
hildebrand

In Case You Missed It . . .

Critical Case Comment – $67k Windfall to Debtors. Fraudulent??

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
Chapter 13 trustee’s request to dismiss case upon discovery of an undisclosed asset held by the debtor cannot be granted after the debtor completes payments under the plan.
May 16, 2022
Archives
ahern

Still Trying to Apply Taggart: Fourth Circuit Vacates Beckhart v. Newrez, LLC

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
The lower courts continue to have difficulty with the Supreme Court’s 2019 opinion in Taggart v. Lorenzen, which has had the effect of limiting not only the contempt powers of the bankruptcy courts in cases of discharge-injunction violations but also their equitable powers more broadly. This week, Larry Ahern revisits one such case, which was recently vacated and remanded by the Fourth Circuit in Beckhart v. Newrez, LLC.
rapoport

Ms. Ps & Qs

By Nancy B. Rapoport,Garman Turner Gordon Professor of Law, Boyd School of Law, and Affiliate Professor of Business Law & Ethics, Lee Business School, William S. Boyd School of Law, University of Nevada, Las Vegas
“Bad choices will end in blood and stitches.” Classic Rapoport. EVERYONE needs to read this article!
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)

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 conversion of property of the estate.

See also: Is Nunc Pro Tunc Really Sunk?

bankruptcymeanstest

Updated Means Test Information

(Not password protected)
The Means Test numbers are increasing as of May 15th.

DISCOUNTED REGISTRATION ENDS TODAY (5/16)

 

Another panel of note is Conversions from 7 to 13. This panel will examine things to be considered prior to conversion. Judge on the panel is The Honorable Charles Novack, Chief Judge N.D. of CA. Prior to his appointment as Judge, he was in private practice in consumer bankruptcy law. Rounding out the panel is Dynele Schinker-Kuharich, Leslie Gladstone and Jill Olsen.

 

REGISTER NOW!!

openposition

Positions Available

(Not password protected)
courtscales

From the Courts

(Not password protected)
S.D. AL – Beginning 5/16 proposed orders should be submitted through the E-Orders program. The old email addresses will be turned off at the end of May. Please visit the Submitting Proposed Orders page for additional details, such as document requirements and training aids. E-Orders help desk – (251) 436-5445.
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
  • Consumer Advisory: Don’t give money or information to scammers promising student loan forgiveness
michaeljoseph

In Case You Missed It . . .

Game Stop: Dismissals with Prejudice

By Michael B. Joseph, Esq. Chapter 13 Standing Trustee (Retired)
“Faced with abusive and serial bankruptcy cases, courts have fashioned various sanctions to put a stop to gaming the system. The favored sanction of the majority of courts is to enter an order of dismissal with prejudice . . .”
May 9, 2022
Archives
markleffler

How My Law Firm Learned to Stop Leaving Money on the Table Part 2 – The “Other Appropriate Relief” of Rule 3001

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA

Mark Leffler, of the Boleman Law Firm in Virginia, who is also the current President of the Academy for Consumer Bankruptcy Education (d/b/a ConsiderChapter13.org), begin a series describing his firm’s development of a broader practice on behalf of consumer debtors.

Click here for Part 1 – Looking at Bankruptcy Cases Differently

michaeljoseph

Game Stop: Dismissals with Prejudice

By Michael B. Joseph, Esq. Chapter 13 Standing Trustee (Retired)
“Faced with abusive and serial bankruptcy cases, courts have fashioned various sanctions to put a stop to gaming the system. The favored sanction of the majority of courts is to enter an order of dismissal with prejudice . . .”

HAPPY 40th ANNIVERSARY HENRY EDWARD AND GEORGE!!!!

In a follow-up to our well wishes to George Stevenson and Hank Hildebrand for FORTY years as Standing Chapter 13 Trustees, we are pleased to bring you a “how I got my start” from each of them.

How I Got Started

George Stevenson, Chapter 13 Standing Trustee for the Western District of Tennessee (Memphis)

The Day the Music Died

Hank Hildebrand, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

ramonaelliott

Meet the Acting Director Ramona Elliott

(Not password protected)

Click here for Press Release

Click here for Other Information

bankruptcymeanstest

Updated Means Test Information

(Not password protected)
The Means Test numbers are increasing as of May 15th.

DISCOUNTED REGISTRATION EXTENDED TO MAY 16th

 

Enforcement of Court Orders and Rules: Does Contempt Power Exist in the Bankruptcy Court is a Not-to-Miss panel.

On this panel, we are pleased to feature The Honorable Craig A. Gargotta, Chief United States Bankruptcy Judge for the Western District of Texas in San Antonio. Judge Gargotta practices what he preaches (article is behind a paywall). Judge Gargotta jailed a longtime accountant for failure to pay $7,500 in sanctions. Carl Merkle, who calls himself God’s Fraud Auditor, has been incarcerated since December 6th. This panel, moderated by the ever popular Martha Bronitsky, Standing Trustee in Oakland, CA, is enhanced by The Honorable William Lafferty, United States Bankruptcy Judge for the Northern District of California in San Francisco.

REGISTER NOW!!

openposition

Positions Available

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
casestudy

Study of Interest

(Not password protected)

Consumer Bankruptcy, Mortgage Default and Labor Supply

We specify and estimate a lifecycle model of consumption, housing demand and labor supply in an environment where individuals may file for bankruptcy or default on their mortgage. Uncertainty in the model is driven by house price shocks, {education specific} productivity shocks, and catastrophic consumption events, while bankruptcy is governed by the basic institutional framework in the US as implied by Chapter 7 and Chapter 13. The model is estimated using micro data on credit reports and mortgages combined with data from the American Community Survey. We use the model to understand the relative importance of the two chapters (7 and 13) for each of our two education groups that differ in both preferences and wage profiles. We also provide an evaluation of the BACPCA reform. Our paper demonstrates importance of distributional effects of Bankruptcy policy.

irs

From the IRS

(Not password protected)

Work Opportunity Tax Credit – This could apply to you or your small business clients.

The work opportunity tax credit is a federal tax credit available to employers for hiring individuals from certain target groups who have consistently faced significant barriers to employment. This one- time credit is available for wages paid to certain individuals who begin work on or before December 31, 2025 – $2,400 per employee.

courtscales

From the Courts

(Not password protected)
Middle District of AL – Effective 4/8 Alliance Credit Counseling, Effective 4/13 Garden State Credit Counseling, Effective 4/26 The Family Center of Columbus, Inc., aka Consumer Credit Counseling Service of West Georgia/East Alabama are no longer an approved provider for creditor counseling or personal financial management courses in the Middle District of Alabama.
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
NicoleNoll

In Case You Missed It . . .

Special Counsel 101: Getting Paid and Protecting Clients

By Nicole Noll, Esq., Law Offices of Jeffrey M. Sirody & Associates, P.A. (Baltimore, MD)
“ . . . , in In re Smith, a Georgia personal injury attorney received a not so gentle reminder of this duty when his fees were disgorged.”
May 2, 2022
Archives
reginalogsdon She’s baaaaack. . .

This has been a very difficult month. As reported on the 18th, my sweet, wonderful, husband passed away. I want to thank everyone for your thoughts, prayers, hugs, well-wishes, flowers, cards, and overall love.

I also want to specifically thank Bill Brown, Mark Leffler and all those who picked up my slack throughout the entire ordeal and continued to get the weekly updates out.

With much love, appreciation, and gratefulness,
Regina Logsdon

cmoran

The Complex World of Interspousal Claims in Bankruptcy

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

“. . . One of those traps involves the differing treatment in bankruptcy of debts to a former spouse incurred in the course of a divorce.”

Another excellent piece relevant to your day to day practice.

NicoleNoll

Special Counsel 101: Getting Paid and Protecting Clients

By Nicole Noll, Esq., Law Offices of Jeffrey M. Sirody & Associates, P.A. (Baltimore, MD)
“ . . . , in In re Smith, a Georgia personal injury attorney received a not so gentle reminder of this duty when his fees were disgorged.”

HAPPY 40th ANNIVERSARY HENRY EDWARD AND GEORGE!!!!

On May 1st just forty short years ago, both Hank and George were appointed as Standing Chapter 13 Trustees.

George Stevenson, Chapter 13 Standing Trustee for the Western District of Tennessee (Memphis)
Hank Hildebrand, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
geyer

Judges Appointed

(Not password protected)

Judge Jason A. Burgess and Judge Tiffany Geyer Sworn in as Middle District of Florida Bankruptcy Judges

nclc
cornish

Passing of Judge Thomas R. Cornish

(Not password protected)

Thomas Robert Cornish, retired United States Bankruptcy Judge for the Eastern District of Oklahoma, passed away on February 2, 2022.

openposition

Positions Available

(Not password protected)
ncbrc
courtscales

From the Courts

(Not password protected)
Middle District of AL – Effective 4/8 Alliance Credit Counseling, Effective 4/13 Garden State Credit Counseling, Effective 4/26 The Family Center of Columbus, Inc., aka Consumer Credit Counseling Service of West Georgia/East Alabama are no longer an approved provider for creditor counseling or personal financial management courses in the Middle District of Alabama.
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)

Understanding Taxpayer Rights: The right to challenge the IRS’s position and be heard

gustafson

In Case You Missed It . . .

Cui Pro Bono?

By The Honorable John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio (Toledo) and Daniel M. Tavera, Law Clerk to the Honorable John P. Gustafson
taveraJudge Gustafson and Daniel Tavera explore “Who Benefits” from work done in a Chapter 13 case, and they suggest that the title of this piece comes from an old-time radio show – “Yours Truly, Johnny Dollar” – one of the most popular radio shows in its day. It was a five-part show called “The Cui Bono Matter.” To hear a show, search for “Yours Truly, Johnny Dollar” on YouTube.
April 25, 2022
Archives
ahern

May the Chapter 13 Trustee Keep Fees Paid Before Dismissal? – Part 2

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
Larry Ahern last week began a two-part examination of whether a Chapter 13 trustee may retain fees paid without a confirmed plan before dismissal. The first part was mislabeled as being on arbitration. Part 1 is a detailed analysis of McCallister v. Evans, a recent case accepting the trustee’s position considering a division in the caselaw and analyzing in detail the relevant statutes.
kevinanderson

While Chapter 7 Filings Continue to Decline, Chapter 13 Filings are Trending Slightly Upward

By Honorable Kevin R. Anderson,United States Bankruptcy Judge, District of Utah (Salt Lake City)
Recent headlines noted that March 2022 saw a 33.5% increase in bankruptcy filings over February. This could suggest the coming swell in bankruptcy cases anticipated since the start of the COVID pandemic. However, bankruptcy professionals recognize that consumer filings always spike in March.
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
A Chapter 13 trustee’s request to dismiss a Chapter 13 case upon discovery of an undisclosed asset held by the debtor cannot be granted after the debtor completes payments under the plan. (Brown)
ahern

IN CASE YOU MISSED IT . . .

May the Chapter 13 Trustee Keep Fees Paid Before Dismissal? – Part 1

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
A detailed analysis of McCallister v. Evans, a recent case accepting the trustee’s position considering a division in the caselaw and analyzing in detail the relevant statutes.

IT’S TIME TO REGISTER

NACTT

57TH ANNUAL SEMINAR

WHEN:
July 6-9, 2022

WHERE:
San Francisco Marriot Marquis
San Francisco, CA

Hot Topics in Chapter 13

Please join David Peake, Marie Ann Greenberg and Jason Wilson-Aguilar for a free Zoom webinar August 17, 2022, 1:00pm EST
April 18, 2022
Archives
larrylogsdon

It is with sadness that we let the readers know that our colleague Regina Logsdon’s husband Larry passed away on April 14, 2022, while in the hospital after a heart event. If you attended NACTT’s annual seminars or other events, you would have met Larry as he worked with Regina. Read his obituary here.

gustafson

Cui Pro Bono?

By The Honorable John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio (Toledo) and Daniel M. Tavera, Law Clerk to the Honorable John P. Gustafson
taveraJudge Gustafson and Daniel Tavera explore “Who Benefits” from work done in a Chapter 13 case, and they suggest that the title of this piece comes from an old-time radio show – “Yours Truly, Johnny Dollar” – one of the most popular radio shows in its day. It was a five-part show called “The Cui Bono Matter.” To hear a show, search for “Yours Truly, Johnny Dollar” on YouTube.
markleffler

How My Law Firm Learned to Stop Leaving Money on the Table Part 1 – Looking at Bankruptcy Cases Differently

By Mark C. Leffler, Boleman Law Firm P.C., Virginia Beach, VA
Mark Leffler, of the Boleman Law Firm in Virginia and also the current President of the Academy for Consumer Bankruptcy Education, begins a series of articles describing his firm’s development of a broader practice on behalf of consumer debtors. Look for subsequent parts of this series over the next few weeks.
hildebrand

Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
A Chapter 13 trustee’s final audit and notice of completion of payments is not necessary or a precondition to the court granting a discharge to a debtor who has satisfied the requirements of § 1328.

IT’S TIME TO REGISTER

NACTT

57TH ANNUAL SEMINAR

WHEN:
July 6-9, 2022

WHERE:
San Francisco Marriot Marquis
San Francisco, CA

Click here to see some of the topics

Free Webinar Opportunity – Hot Topics in Chapter 13

Please join David Peake, Marie Ann Greenberg and Jason Wilson-Aguilar for a free Zoom webinar August 17, 2022, 1:00pm EST
ahern

IN CASE YOU MISSED IT . . .

Arbitration Fairness for Consumers Act

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

SB 3755 was introduced on March 3, 2022 by Sen. Brown of Ohio. The Act would amend the Consumer Financial Protection Act of 2020 with respect to arbitration. The stated purposes of the Act are to:

(1) Prohibit predispute arbitration agreements that force arbitration of a future consumer financial product or service dispute; and
(2) Prohibit agreements and practices that interfere with the right of consumers to participate in a joint, class, or collective action related to a consumer financial product or service dispute.

See also:

Supreme Court on Arbitration

(Not password protected)
On March 31, 2022, the Supreme Court decided another arbitration issue, Badgerow v. Walters, et al., 2022 WL 959675, which had no direct implications for bankruptcy matters. The Supreme Court held that when deciding whether it had jurisdiction over an arbitration award the federal court looks only to the application submitted to the court and it does not look beyond the application to the parties’ underlying substantive controversy.
April 11, 2022
Archives
ahern

Arbitration Fairness for Consumers Act

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)

SB 3755 was introduced on March 3, 2022 by Sen. Brown of Ohio. The Act would amend the Consumer Financial Protection Act of 2020 with respect to arbitration. The stated purposes of the Act are to:

(1) Prohibit predispute arbitration agreements that force arbitration of a future consumer financial product or service dispute; and
(2) Prohibit agreements and practices that interfere with the right of consumers to participate in a joint, class, or collective action related to a consumer financial product or service dispute.

See also:

Supreme Court on Arbitration

(Not password protected)
On March 31, 2022, the Supreme Court decided another arbitration issue, Badgerow v. Walters, et al., 2022 WL 959675, which had no direct implications for bankruptcy matters. The Supreme Court held that when deciding whether it had jurisdiction over an arbitration award the federal court looks only to the application submitted to the court and it does not look beyond the application to the parties’ underlying substantive controversy.
williambrown

Automatic Stay

By William Houston Brown, Adviser, Academy for Consumer Bankruptcy Education, Inc.
Denial of stay relief was final and appealable, although it was “without prejudice.”

NACTT

57TH ANNUAL SEMINAR

WHEN: July 6-9, 2022

WHERE: San Francisco Marriot Marquis, San Francisco, CA

Click here to see some of the topics

viegelahn

Promotion letter from Mary Viegelahn

By Mary Viegelahn, Chapter 13 Trustee San Antonio, Texas
(Not password protected)

New Acting Director of Executive Office of United States Trustees

(Not password protected)

Ramona D. Elliott was appointed Acting Director of the Executive Office for United States Trustees on April 1, 2022, after having served as its Principal Deputy Director and General Counsel since January 2011. Ms. Elliott has 27 years of federal service, the majority of which has been with the United States Trustee Program, including formerly as the Deputy General Counsel and as the Acting Assistant United States Trustee for the District of Puerto Rico. She also previously was Counsel for Bankruptcy and Redress to the Federal Trade Commission’s Bureau of Consumer Protection and in private practice.

Ms. Elliott graduated from the University of Florida with a B.S. in Accounting and received her J.D. from Emory University School of Law.

extraextra

Bankruptcy Filing Increase in March

(Not password protected)
The American Bankruptcy Institute reported that bankruptcy filings increased in March over the February filings, while total filings for the first quarter of 2022 showed a 17% decrease from the first quarter 2021. See www.abi.org.

In the News

(Not password protected)
On April 7, 2022 the Senate confirmed Judge Ketanji Brown Jackson to the Supreme Court, by a vote 53-47. Justice Jackson will replace Justice Stephen Breyer upon his retirement this summer.
cfpb

From the CFPB

(Not password protected)

The Consumer Finance Protection Bureau published its report on Medical Debt Burden in the Unites States, showing that $88 billion of outstanding medical det was in collection, affecting one in five consumers. Subsequent to this report, the three major credit reporting agencies announced that starting in July 2022 paid medical bills would not be included in their credit reports, and unpaid bills would only be reported if they remained unpaid for twelve months or more. See https://www.consumerfinance.gov/about-us/newsroom/cfpb-estimates-88-billion-in-medical-bills-on-credit-reports/

hildebrand

In Case You Missed It . . .

Critical Case Comment – Who is Responsible to Address Eligibility Questions?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Bankruptcy Court is under an obligation to examine the eligibility of a debtor to file Chapter 13 even where no party raises a timely, written objection.
April 4, 2022
Archives
hildebrand

Critical Case Comment – Who is Responsible to Address Eligibility Questions?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

Bankruptcy Court is under an obligation to examine the eligibility of a debtor to file Chapter 13 even where no party raises a timely, written objection.

See also:

Meet a New AND Newish Trustee

(Not password protected)
cmoran

Tax Deductions Hidden in Chapter 13

By Cathy Moran, Esq., Moran Law Group (Redwood City, CA)
True. Most people no longer itemize under the current Tax Code. However, the amount of money involved varies and should be considered.
behr

Selection of Bankruptcy Administrator

(Not password protected)
Brian C. Behr of Raleigh, N.C., selected to be the next Bankruptcy Administrator for the Eastern District of North Carolina.
justabill

Bill Introduced

(Not password protected)

Bill did NOT pass . . . at least yet.
Sub V debt limit is $2,725,625

Click here for New Official Forms

SB 3823 introduced on 3/14/22 by Sen. Grassley to raise the ceiling for chapter 13 relief, following the ABI’s Consumer Commission recommendation. It also eliminates the distinction between secured and unsecured debt. The bill would also make the $7.5 million Sub V debt limit permanent.

IT’S TIME TO REGISTER

OH- MY – GOODNESS IT IS GOING TO BE A GREAT CONFERENCE!

Seriously, you want to be there. LIVE. In-person.

Professor Nancy Rapoport with a brand new schtick on Remote Lawyering

Maximizing the Benefits of Virtual Court Hearings

Technology Trends for the Bankruptcy Office

Watch for spotlights of other panels over the next few weeks.

BUT REGISTER NOW!!

nclc

Free Webinar Opportunity

(Not password protected)

Please join Max Gardner and Modification Consultant Bobby Rivera for a special FREE webinar!

Free Zoom Webinar on Thursday, April 7, 2022 from 4 – 5 p.m. EST

Who Really Makes the Final Decisions on Mortgage Loan Modifications? How are these Decisions Made?

openposition

Positions Available

(Not password protected)
ncbrc
courtscales

From the Courts

(Not password protected)
  • We have noticed that many courts are going back to in-person hearings – Pay Attention to Those Notices!!
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)

Andrew R. Vara, U.S. Trustee for Region 9 v. Steven P. McDonald – New opinion from the Sixth Circuit Court of Appeals (While the decision itself is no surprise, the opinion/saga is a good Chpt7 read.)

hildebrand

In Case You Missed It . . .

Critical Case Comment – Sex, Lies and the Barton Doctrine

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

The issuance of a subpoena to a Chapter 7 trustee by a third party was subject to the Barton Doctrine and could not be permitted without the parties seeking bankruptcy court consent.

See also:

When the Trustee Gets Subpoenaed

March 28, 2022
Archives
cmoran

Claim Preclusion and the Opportunities for Mischief

By Cathy Moran, Esq., Moran Law Group (Redwood City, CA)
“I’ve been having nightmares about the 9th Circuit’s decision in Siegel for 20 years. . . . The 9th Circuit did not address the point that screams at every consumer bankruptcy lawyer: no one had motivation or need to review claims in a no asset Chapter 7.
hildebrand

Critical Case Comment – Sex, Lies and the Barton Doctrine

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)

The issuance of a subpoena to a Chapter 7 trustee by a third party was subject to the Barton Doctrine and could not be permitted without the parties seeking bankruptcy court consent.

See also:

When the Trustee Gets Subpoenaed

Preuss

Meet a New AND Newish Trustee

Yep, two trusteeships. Can you say o-v-e-r-a-c-h-i-e-v-e-r?

Krista M. Preuss was appointed as the Chapter 13 Standing Trustee for the Southern District of New York on February 1, 2018. She succeeded Jeffrey Sapir after his retirement. On October 1, 2021, she was appointed as the Chapter 13 Standing Trustee for the Eastern District of New York, succeeding Marianne DeRosa upon her retirement.

justabill

New Bill Introduced

(Not password protected)
Well, hold the presses . . . SB 3823 was introduced on 3/14/22 by Sen. Grassley to raise the ceiling for chapter 13 relief, following the ABI’s Consumer Commission recommendation. It also eliminates the distinction between secured and unsecured debt. The bill would also make the $7.5 million Sub V debt limit permanent. If enacted, the currently proposed changes set to take effect on 4/1 would be moot.
heathercooper

New Judge Announced

(Not password protected)

Selection of Heather Z. Cooper to Serve as Bankruptcy Judge in the District of Vermont

Ms. Cooper, who once clerked for Judge Brown, now takes the bench upon retirement of Judge Colleen A. Brown who retired last month after a very distinguished 22 years on the bench. “A Standing Trustee could not have asked for a better judge to work with. Judge Brown was a diligent, thoughtful, intelligent and courageous judge and we already miss her on the bench” commented Jan Sensenich, Chapter 13 Standing Trustee for the District of Vermont.

catliota

Judge Announces Retirement

(Not password protected)
Chief Bankruptcy Judge Thomas J. Catliota has informed the United States Court of Appeals for the Fourth Circuit that he will retire from his position as U.S. Bankruptcy Judge for the District of Maryland on October 3, 2022, after 16 and a half years of outstanding service to the Court.
koyama

Lawyers Are People Too

An Interview with Aki Koyama, Staff Attorney to Chapter 13 Standing Trustee Kathy Dockery

(Used with permission, Volume 1, Issue 3:3 6 March, 2022 cdcbaa)
By M. Jonathan Hayes, 9th Circuit BAP Law Clerk (Los Angeles, CA)

Jon: Hi Aki. I can’t believe after knowing you for 30 years now that I don’t know where you were born.

Aki: Ha! I was born in Tokyo, Japan . . .

openposition

Positions Available

(Not password protected)
ncbrc
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee or debtor attorneys’ blogs)
courtscales

From the Courts

(Not password protected)
  • Central District of IL – Effective April of 2022, Judge Perkins will be resuming in-person hearings for Chapter 13 cases in Urbana and Peoria. Telephonic participation is not permitted. We have noticed that many courts are going back to in-person hearings – Pay Attention to Those Notices!!
  • Southern District of GA – Effective 3/28, address change for U.S. Trustee’s Savannah Office: Office of U.S. Trustee; 33 Bull Street, Suite 400, Savannah, GA 31401
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
NicoleNoll

In Case You Missed It . . .

Bankruptcy Intersecting with Tevis Equals Malpractice Claim

By Nicole Noll, Jeffrey M. Sirody & Associates P.A. (Baltimore, MD)
New Jersey attorney is the subject of a legal malpractice complaint for allegedly failing to properly preserve a marital tort claim as an exception to discharge.
March 21, 2022
Archives
ahern

Can Good Facts Also Make Bad Law? Finality of Orders in Bankruptcy Revisited after Ritzen

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
This week, Larry Ahern is prompted by recent caselaw to return to the subject of the Supreme Court’s opinions in Ritzen Group, Inc. v. Jackson Masonry, LLC (2020) and Bullard v. Blue Hills Bank (2015), both of which attempted to define when a bankruptcy court’s order is “final.”
NicoleNoll

Bankruptcy Intersecting with Tevis Equals Malpractice Claim

By Nicole Noll, Jeffrey M. Sirody & Associates P.A. (Baltimore, MD)
New Jersey attorney is the subject of a legal malpractice complaint for allegedly failing to properly preserve a marital tort claim as an exception to discharge.
robertwilson

Bankruptcy Icon Retires . . . Well, Sort of

(Not password protected)

From 5 Divisions to 4 Grandchildren, 3+ pets, 2 Hobbies and 1 Private Practice:The “Retirement” of Robert Wilson

By Katherine L. Davis, Chapter 13 Standing Trustee for the Northern District of Texas (Lubbock)

“The trouble with retirement is that you never get a day off!”

extraextra

A Free Knowledge Nugget

(Not password protected)

On March 10, 2022, the Wage and Hour Division of the Department of Labor issued Field Assistance Bulletin No. 2022-02 with the subject line “Protecting Workers from Retaliation.”

While a portion of the Bulletin concerns the FMLA (which probably doesn’t apply to most Academy readers as it requires 50 or more employees), it also addresses the Fair Labor Standards Act which would apply. The Bulletin provides some specific examples which might be helpful to you.

cfpb

From the CFPB

(Not password protected)

CFPB Targets Unfair Discrimination in Consumer Finance – Discrimination or improper exclusion can trigger liability under ban on unfair acts and practices

ncbrc

From NCBRC

(Not password protected)
courtscales

From the Courts

(Not password protected)
  • District of North Dakota – UST’s Office advises effective April 1, 2022, chapter 7 panel trustee, Kip Kaler will no longer accept new cases. Given the historically low caseload and continuing remote 341s, the UST does not intend to replace Mr. Kaler’s position at this time. Effective with cases filed April 1, 2022, trustee Gene Doeling will handle all chapter 7 cases in North Dakota.
  • Southern District of FL – April 4 is your turn for NextGen
March 14, 2022
Archives
hildebrand

Critical Case Comment – Debtor Not Current But May Invoke CARES Remedies

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
In order to invoke remedies granted under the CARES Act, Chapter 13 debtor need not have been current on the date of enactment as long as the debtor satisfies the conditions in the CARES Act.
MichaelJoseph

Delaware Trustee Michael Joseph to Retire

By Paul Chael, Chapter 13 Standing Trustee for the Northern District of Indiana (Merrillville)
The debtors will miss him. The creditors will miss him. Even more, his colleagues will miss him.
debtlimit

Debt Limits on the Rise

(Not password protected)

Section 109(e)—debt limits for individual filing bankruptcy under chapter 13.

From $419,275 for unsecured debtors to $465,275 for unsecured creditors.
From $1,257,850 for secured debts to $1,395,875 for secured debts.

Click here for all dollar amount increases as of 4/1/22.

forsale

A Free Knowledge Nugget

(Not password protected)

Metro Homeowners Locked into 40 Year Contracts with Real Estate Company (Oy vey)

MV Realty contacts homeowners usually in low-income areas and offers them $500-1,000 cash and in exchange, the homeowner gives them the exclusive right to sell their home –and locks them into this for 40 years. (You may want to blog about this.)

ketanjijackson
nclc

New Reg F

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
openposition

Positions Available

(Not password protected)
  • Southern District of Ohio – Term Law Clerk Application Deadline 3/24/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • District of North Dakota – UST’s Office advises effective April 1, 2022, chapter 7 panel trustee, Kip Kaler will no longer accept new cases. Given the historically low caseload and continuing remote 341s, the UST does not intend to replace Mr. Kaler’s position at this time. Effective with cases filed April 1, 2022, trustee Gene Doeling will handle all chapter 7 cases in North Dakota.
  • Southern District of FL – April 4 is your turn for NextGen
emilyconnorkennedy

IN CASE YOU MISSED IT. . .

Discharges and the DoD: The Interplay between Bankruptcy & Security Clearances

By Emily Connor Kennedy, Esq., Boleman Law Firm, P.C.
“Despite having needed to file two bankruptcies within seven years, the applicant was able to meet her burden of demonstrating that it was clearly consistent with the national interest to continue her security clearance.”
March 7, 2022
Archives
cmoran

Lenders Can’t Hide from Consequences of Misapplication of Mortgage Payments

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

“So, my thought is to make a RESPA RFI anytime the servicing of a loan changes hands.”

See also:

Critical Case Comment – In re Bivens vs. NewRez LLC

emilyconnorkennedy

Discharges and the DoD: The Interplay between Bankruptcy & Security Clearances

By Emily Connor Kennedy, Esq., Boleman Law Firm, P.C.

“Despite having needed to file two bankruptcies within seven years, the applicant was able to meet her burden of demonstrating that it was clearly consistent with the national interest to continue her security clearance.”

Attorney Kennedy always thinks outside the box. When asked by ConsiderChapter13.org to write an article, she produced this detailed look at how bankruptcy can (or more importantly, shouldn’t) effect a debtor’s application for security clearance. Like Ms. Kennedy, anyone who practices in or near a “military town” or other governmental employers should pay particular attention to this reference piece.

Cipollone

A Free Knowledge Nugget

COVID-19 Forbearance Option Charts Federally-Backed Mortgages

(Not password protected)
Diane Cipollone, attorney and qualified expert on mortgage servicing and loan origination matters, created these charts from various announcements from FHA, VA, USDA, Fannie Mae and Freddie Mac over the past two years. She was gracious enough to update this resource, for ConsiderChapter13.org readers, to include some borrowers whose loans were previously owned by Fannie or Freddie.
Bordeaux

Reyes Bordeaux Appointed Judge

(Not password protected)
The Ninth Circuit Court of Appeals has appointed a new Bankruptcy Judge to serve the Central District of California.
cfpb

From the CFPB

(Not password protected)
eisenberg

Passing of Judge

(Not password protected)
openposition

Positions Available

(Not password protected)
  • Southern District of Ohio – Term Law Clerk Application Deadline 3/24/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)

Understanding the Child and Dependent Care Credit – Taxpayers who are paying someone to take care of their children or another member of household while they work, may qualify for child and dependent care credit regardless of their income.

courtscales

From the Courts

(Not password protected)
  • Pending Changes in the Bankruptcy Forms – Revised Dollar Amounts in Official Forms 106C, 107, 122A-2, 122C-2, 201, 207, 410, Director’s Forms 2000 and 2830, and certain instructions, effective April 1, 2022
  • Southern District of AL – return to in-person motion dockets, confirmation hearings, trials – March 7th
  • Southern District of FL – April 4 is your turn for NextGen
hildebrand

IN CASE YOU MISSED IT. . .

Critical Case Comment – Bad Faith to Not Pay Both Tests?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Chapter 13 debtor is not obligated to pay both the disposable income pool and the best interest of creditors test pool to achieve confirmation, only the larger of the two; it is not a manifestation of bad faith that the debtor does not pay both the disposable income pool and the best interest of creditors test amounts.
February 28, 2022
Archives
ahern

Can a Secured Claim Still “Ride-Through” Bankruptcy Despite BAPCPA? Part 2: Looking Beyond In re Rhodes

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
Larry Ahern this week concludes a two-part examination of whether encumbered property can still “ride through” a bankruptcy case since 2005. Part 1 was a detailed analysis of In re Rhodes, a recent case in which a debtor’s attorney withdrew his certification of the debtor’s reaffirmation agreement, prompting a thorough consideration of the ride-through doctrine. This Part 2 reviews some further nuances explored in that opinion and considers whether and how this preservation of the ride-through doctrine might affect other cases.
hildebrand

Critical Case Comment – Bad Faith to Not Pay Both Tests?

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Chapter 13 debtor is not obligated to pay both the disposable income pool and the best interest of creditors test pool to achieve confirmation, only the larger of the two; it is not a manifestation of bad faith that the debtor does not pay both the disposable income pool and the best interest of creditors test amounts.
constancebaker

In Honor of Black History Month

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
retiredjudge

Retirement of Chief Judge Dana L. Rasure

(Not password protected)
The United States Bankruptcy Court for the Northern District of Oklahoma announces that Chief Judge Dana L. Rasure will retire from the bench effective May 1, 2022. Judge Rasure has served as a bankruptcy judge for the Northern District of Oklahoma since January 1997.
openposition

Positions Available

(Not password protected)
  • Southern District of Ohio – Term Law Clerk Application Deadline 3/24/22
  • Eastern District of Tennessee – Term Law Clerk Application Deadline 3/7/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • Southern District of AL – return to in-person motion dockets, confirmation hearings, trials – March 7th
  • Southern District of FL – April 4 is your turn for NextGen
Gardner

IN CASE YOU MISSED IT. . .

Ending a COVID Forbearance – A Knowledge Nugget from Max Gardner and The NCLC

What happens at the end of a COVID forbearance? Can servicers demand a large balance?

Generally, the servicers should not be demanding full payment following a COVID forbearance. There are a number of loss mitigation options for people coming out of a COVID forbearance. In order to know which may apply one needs to know who owns the loan (who is the investor). Is it a GSE, FHA or private label loan?

Click here for the NCLC chart showing various options.

February 21, 2022
Archives

Is Presidents’ Day a federal holiday?

hildebrand

Critical Case Comment – No Such Thing as “Technical” Violation of the Stay

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Bankruptcy Court found violation of automatic stay to be “technical”, thus no damages. Ninth Circuit BAP did not agree.
kevinanderson

Drilling Down on Consumer Debt: A Closer Look at the $52 Billion Increase in Credit Card Debt

By Honorable Kevin R. Anderson,United States Bankruptcy Judge, District of Utah (Salt Lake City)

The New York Fed just released its consumer debt report for the period ending December 2021. One of the headlines to come from this report is that credit card debt increased by $52 billion in the 4rd Qtr. 2021—the largest increase in 22 years. This is statistically true, but it does not tell the whole story of the pandemic’s impact on consumer debt.

Judge Anderson breaks down these numbers and explains them including auto loan debt.

waldron

I Was Just Following Orders

By Thomas F. Waldron, United States Bankruptcy Judge (retired) and initialEditor/Advisor to the NACTT Academy

During his tenure as Editor/Advisor for ConsiderChapter13.org, Judge Waldron wrote many extraordinary reference pieces. This week, we re-bring you one of these. Although written using a 2008 case, our research indicates this is still a very timely resource.

In this article, Judge Waldron explains why the “I was just following orders” defense doesn’t hold up.

dollarincrease

Titles 11 and 28 Monetary Changes for 2022

(Not password protected)
The monetary amounts in various Code sections of Titles 11 and 28 were adjusted, effective April 1, 2022, to reflect cost of living adjustments. These adjustments occur every three years, pursuant to 11 U.S.C. section 104.
sachs

The New Paradigm: How to Build an Effective Remote and Hybrid Work Environment

(Not password protected)
From Above the Law: Prof. Ben Sachs of the University of Virginia School of Law lays out three types of techniques for effective management.
ncbrc
Gardner

Ending a COVID Forbearance – A Knowledge Nugget from Max Gardner and The NCLC

What happens at the end of a COVID forbearance? Can servicers demand a large balance?

Generally, the servicers should not be demanding full payment following a COVID forbearance. There are a number of loss mitigation options for people coming out of a COVID forbearance. In order to know which may apply one needs to know who owns the loan (who is the investor). Is it a GSE, FHA or private label loan?

Click here for the NCLC chart showing various options.

openposition

Positions Available

(Not password protected)
  • Eastern District of Tennessee – Term Law Clerk Application Deadline 3/7/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • Southern District of FL – April 4 is your turn for NextGen
Bushman

IN CASE YOU MISSED IT. . .

Conflicting Interpretations: A Chapter 13 Trustee’s Compensation After Pre-Confirmation Dismissal or Conversion – Part 3 of 3

(Used with expressed permission from the MI Bankruptcy Journal and the Steven W. Rhodes Consumer Bankruptcy Conference)
By Brittani Bushman, Judicial Law Clerk to the Hon. John T. Gregg, United States Bankruptcy Court for the Western District of Michigan

In Part 1 of Bushman’s detailed outline, she introduces the topic and looks at the statutory overview.

Part 2 begins her analysis of contrasting the majority and minority interpretations by looking at illustrative decisions of the majority approach.

In Part 3, Bushman concludes this topic by outlining minority interpretations.

Thank you, Ms. Busham for this excellent outline!

February 14, 2022
Archives

meridethakers

Leading a Winning Team

Merideth Akers, CPA, PHR, Comptroller for Bradford W. Caraway (Birmingham, AL)

In our “Staff Corner” series, the affable, insightful, sapientMerideth Akersbrings us a playbook of how to effectively manage a team that always scores.

“Certainly, the success of the team is partly determined by finding and retaining the best talent for our teams. This is not as easy as it may sound.”

cmoran

Who Gets Grannie’s Cash – Grannie or the Bankruptcy Trustee?

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

“Who doesn’t have a joint bank account with someone they care about?”

As a debtor attorney, this should be an issue you are watching for at every intake. An alert trustee will win the cash every time if you don’t advise your client appropriately.

Bushman

Conflicting Interpretations: A Chapter 13 Trustee’s Compensation After Pre-Confirmation Dismissal or Conversion – Part 3 of 3

(Used with expressed permission from the MI Bankruptcy Journal and the Steven W. Rhodes Consumer Bankruptcy Conference)
By Brittani Bushman, Judicial Law Clerk to the Hon. John T. Gregg, United States Bankruptcy Court for the Western District of Michigan

In Part 1 of Bushman’s detailed outline, she introduces the topic and looks at the statutory overview.

Part 2 begins her analysis of contrasting the majority and minority interpretations by looking at illustrative decisions of the majority approach.

Judge to Retire

(Not password protected)
The Central District of California’s Judge Mark S. Wallace will retire from the bench on March 1, 2022.
act12

Chapter 12 Trustees Free Webinar

Federal Participation in Farming – Partner, Benefactor, Creditor or CEO? How FSA funding affects reorganization of family farms

February 17 at 2:00PM (ET)

Presented By:

Joseph Newton Callaway, United States Bankruptcy Judge, Greenville, NC
David F. Mills, Narron Wenzel, P.A., Smithfield, NC
John C. Bircher III, Davis Hartman Wright, PLLC, New Bern, NC

Mortgage Backed Securities Anyone?

(Not password protected)

Click here for the Federal Reserve Bank’s February 2022 report on MBS.

openposition

Positions Available

(Not password protected)
  • Eastern District of Tennessee – Term Law Clerk Application Deadline 3/7/22
  • District of Minnesota – Term Law Clerk Application Deadline 2/18/22
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • Southern District of FL – April 4 is your turn for NextGen
hildebrand

IN CASE YOU MISSED IT. . .

Critical Case Comment – Debtor’s Counsel’s Fee Reduced to $48k

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville)
Chapter 13 debtor’s counsel’s fee award was reduced to $48,116 from the requested $95,480 due to pre-petition payments, confusing and “lumped” time entries, and excessive hourly rates for some services performed, even though the debtor’s Chapter 13 plan was never even proposed much less confirmed. The debtor never attended a meeting of creditors, but the debtor managed to recover his home that had been transferred prior to the filing of the petition.
February 7, 2022
Archives
michaeljoseph

When the Duty to Provide Tax Returns Collides with Confidentiality

By Michael B. Joseph, Chapter 13 Standing Trustee for the District of Delaware
“Must the debtor provide copies that contain personal identifying information . . . social security numbers of dependents including minor children? Or a redacted version that only includes financial information?”
hildebrand

Critical Case Comment – Debtor’s Counsel’s Fee Reduced to $48k

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
Chapter 13 debtor’s counsel’s fee award was reduced to $48,116 from the requested $95,480 due to pre-petition payments, confusing and “lumped” time entries, and excessive hourly rates for some services performed, even though the debtor’s Chapter 13 plan was never even proposed much less confirmed. The debtor never attended a meeting of creditors, but the debtor managed to recover his home that had been transferred prior to the filing of the petition.
Bushman

Conflicting Interpretations: A Chapter 13 Trustee’s Compensation After Pre-Confirmation Dismissal or Conversion – Part 2 of 3

(Used with expressed permission from the MI Bankruptcy Journal and the Steven W. Rhodes Consumer Bankruptcy Conference)
By Brittani Bushman, Judicial Law Clerk to the Hon. John T. Gregg, United States Bankruptcy Court for the Western District of Michigan

In Part 1 of Bushman’s detailed outline, she introduces the topic and looks at the statutory overview.

Part 2 begins her analysis of contrasting the majority and minority interpretations by looking at illustrative decisions of the majority approach.

changeahead

From the Middle District of North Carolina

(Not password protected)

“After careful consideration, the Court has made the difficult decision to consolidate its three standing chapter 13 offices into two standing chapter 13 offices. As a first step, beginning in approximately 75 days*, all new or converted Durham division chapter 13 cases will be assigned to Trustee Troxler. Around September 2022, Trustee Hutson’s pending cases will be transferred to Trustee Troxler in connection with the staged wind down of Trustee Hutson’s office. As more information is available, it will be shared with the bankruptcy bar.”

*Notice dated 2/2/22

arrowdown

From the Courts

(Not password protected)

Bankruptcy Filings Drop 24 Percent

(But the good news is that some districts are seeing an uptick in consumer filings.)

davidrice

District of Maryland

(Not password protected)
The United States District Court has designated the Honorable David E. Rice to serve as Chief Judge of the Bankruptcy Court, effective April 30, 2022
martinglenn

Southern District of New York

(Not password protected)
U.S. Bankruptcy Judge Martin Glenn will take over as the next chief judge of the U.S. Bankruptcy Court for the Southern District of New York, starting his five-year term in March in one of the most sought-after bankruptcy venues. Has served as bankruptcy judge for roughly 15 years
act12

Chapter 12 Trustees Free Webinar

Federal Participation in Farming – Partner, Benefactor, Creditor or CEO? How FSA funding affects reorganization of family farms

February 17 at 2:00PM (ET)

Presented By:

Joseph Newton Callaway, United States Bankruptcy Judge, Greenville, NC
David F. Mills, Narron Wenzel, P.A., Smithfield, NC
John C. Bircher III, Davis Hartman Wright, PLLC, New Bern, NC

MARK YOUR CALENDAR NOW

NACTT 2022 – LIVE

(Yes, the goal is live, in-person, in the room with the speakers –
what a great concept!!!)

July 6-9
San Francisco Marriott Marquis

Agenda in brief:

  • Contempt Powers Post Gravel
  • Ethical Implications of Remote Lawyering Post-Pandemic
  • Discharge or Not – Dealing with Post-Expiration Debtor Payments
  • Windfalls in Chpt 13
  • Virtual Hearings – Maximize Benefits/Avoid Pitfalls
  • Dismiss with Prejudice – When appropriate/what conditions apply
  • Conversion Issues
  • Abusive Lending Statues and Remedies
  • AND MORE

Of course, mortgage issues, student loans, and the ever-popular Case Law Update – Judge Lundin, Trustee Hildebrand, and special guest: TARA TWOMEY!!

cfpb

From the CFPB

(Not password protected)
  • Guide to Filing Your Taxes in 2022 (Yes, this is in the proper category – fairly easy to navigate information. You may want to glance at this not only for your clients but for your own tax filing preparation.)
openposition

Positions Available

(Not password protected)
  • Northern District of Ohio – Term Law Clerks Application Deadline 2/11/22
  • Eastern District of Tennessee – Term Law Clerk Application Deadline 3/7/22
  • District of Minnesota – Term Law Clerk Application Deadline 2/18/22
studentloanchronicles

Student Loans Chronicles

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • Southern District of AL – Don’t file pleadings using another attorney’s CM/ECF account!A pleading filed in CM/ECF must have a signature block in the name of the same person whose login and password are being used for the filing. Bankruptcy Rule 5005(a)(2)(C) states: “A filing made through a person’s electronic-filing account and authorized by that person, together with that person’s name on a signature block, constitutes the person’s signature.” [Emphasis added.] In other words, you can’t file a pleading under your name using someone else’s CM/ECF account; either get your own account or have that person sign it.
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
gueck

IN CASE YOU MISSED IT. . .

If You’re Gonna Bet the Farm, Maybe Play Against the House

By Danielle N. Gueck-Townsend, Staff Attorney for Kathleen A. Leavitt, Chapter 13 Standing Trustee for the District of Nevada (Las Vegas)
“In the opinion, Judge Barnes provided some suggestions as to what evidence might have been helpful in the Debtor’s situation. . . .The more corroborating evidence, the better.”
January 31, 2022
Archives
ahern

Can a Secured Claim Still “Ride-Through” Bankruptcy Despite BAPCPA? – Part 1 In re Rhodes Says, “Let Me Count the Ways”

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
Larry Ahern this week begins a two-part examination of whether an encumbrance can still “ride through” a bankruptcy case after BAPCPA. Part 1 is a detailed analysis of In re Rhodes, a recent case in which a debtor’s attorney withdrew his certification of the debtor’s reaffirmation agreement, prompting a thorough consideration of the ride-through doctrine.
gueck

If You’re Gonna Bet the Farm, Maybe Play Against the House

By Danielle N. Gueck-Townsend, Staff Attorney for Kathleen A. Leavitt, Chapter 13 Standing Trustee for the District of Nevada (Las Vegas)
“In the opinion, Judge Barnes provided some suggestions as to what evidence might have been helpful in the Debtor’s situation. . . .The more corroborating evidence, the better.”
Bushman

Conflicting Interpretations: A Chapter 13 Trustee’s Compensation After Pre-Confirmation Dismissal or Conversion – Part 1 of 3

(Used with expressed permission from the MI Bankruptcy Journal and the Steven W. Rhodes Consumer Bankruptcy Conference)
By Brittani Bushman, Judicial Law Clerk to the Hon. John T. Gregg, United States Bankruptcy Court for the Western District of Michigan
In Part 1 of Bushman’s detailed outline, she introduces the topic and looks at the statutory overview.
update

2022 Poverty Index

(Not password protected)
On January 12, the Department of Health and Human Services issued the updated poverty guidelines to account for last calendar year’s increase in prices as measured by the Consumer Price Index.
act12

Chapter 12 Trustees Free Webinar

Federal Participation in Farming – Partner, Benefactor, Creditor or CEO? How FSA funding affects reorganization of family farms

February 17 at 2:00PM (ET)

Presented By:

Joseph Newton Callaway, United States Bankruptcy Judge, Greenville, NC
David F. Mills, Narron Wenzel, P.A., Smithfield, NC
John C. Bircher III, Davis Hartman Wright, PLLC, New Bern, NC

webinar

Webinar Recordings Available

3002.1 Proposed Rule Changes: The Webinar 12/16/21

3002.1 The Dialogue Continues Produced 1/14/22

Click here to Submit Your Comments
to the Rules Committee

Access to webinar recorders is benefit of subscription. Not a Subscriber? JOIN NOW!

cfpb

From the CFPB

(Not password protected)

CFPB Launches Initiative to Save Americans Billions in Junk Fees – Agency Seeks Public Input on Fees on Bank Accounts, Credit Cards, and Other Financial Products

openposition

Positions Available

(Not password protected)
  • Northern District of Ohio – Term Law Clerks Application Deadline 2/11/22
studentloanchronicles

Student Loans Chronicles

(Not password protected)
ncbrc

From NCBRC

(Not password protected)
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
  • Southern District of AL – Don’t file pleadings using another attorney’s CM/ECF account!A pleading filed in CM/ECF must have a signature block in the name of the same person whose login and password are being used for the filing. Bankruptcy Rule 5005(a)(2)(C) states: “A filing made through a person’s electronic-filing account and authorized by that person, together with that person’s name on a signature block, constitutes the person’s signature.” [Emphasis added.] In other words, you can’t file a pleading under your name using someone else’s CM/ECF account; either get your own account or have that person sign it.
cmoran

IN CASE YOU MISSED IT. . .

Of Grace Periods and Mortgage Payments

By Cathy Moran, Esq., (Redwood City, CA)
“The no man’s land between the mortgage due date and late payment is a persistent trouble spot for Chapter 13 practitioners.Are there arrears when the case is filed during the grace period and the payment made before it was late?” Seems a little akin to Who’s On First.
January 24, 2022
Archives
Gardner

The Case for Conduit Mortgage Payments

By O. Max Gardner III,Chief Executive Officer and President of Max Gardner’s Consumer Defense Academy
“One can certainly make the case without any reservations that Trustee records are always better than the ‘records’ of debtors.”
cmoran

Of Grace Periods and Mortgage Payments

By Cathy Moran, Esq., (Redwood City, CA)
“The no man’s land between the mortgage due date and late payment is a persistent trouble spot for Chapter 13 practitioners.Are there arrears when the case is filed during the grace period and the payment made before it was late?” Seems a little akin to Who’s On First.
hildebrand

Critical Case Comment – 3002.1 and Reverse Mortgages

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
Requirements and remedies in Rule 3002.1 apply to reverse mortgages as well as conventional mortgages; while discharge of Chapter 13 plan does not discharge a mortgage obligation treated pursuant to § 1325(b)(5), the Court may prohibit prospective use of a nondisclosed obligation as grounds for a default.
judgeships

Selection of U.S. Bankruptcy Judge

(Not password protected)
U.S. Court of Appeals for the Fourth Circuit selected Elisabetta G.M. Gasparini to fill the judgeship being vacating by retiring John E. Waites.
act12

Chapter 12 Trustees Free Webinar

Federal Participation in Farming – Partner, Benefactor, Creditor or CEO? How FSA funding affects reorganization of family farms

February 17 at 2:00PM (ET)

Presented By:

Joseph Newton Callaway, United States Bankruptcy Judge, Greenville, NC
David F. Mills, Narron Wenzel, P.A., Smithfield, NC
John C. Bircher III, Davis Hartman Wright, PLLC, New Bern, NC

webinar

3002.1 Webinar Recordings Available

3002.1 Proposed Rule Changes: The Webinar 12/16/21

3002.1 The Dialogue Continues Produced 1/14/22

24 Days Left to Submit Your Comments
to the Rules Committee

Access to webinar recorders is benefit of subscription. Not a Subscriber? JOIN NOW!

ncbrc

In Sympathy – The Honorable Jerome Feller

(Not password protected)
openposition

Positions Available

(Not password protected)
  • Northern District of Ohio – Term Law Clerks Application Deadline 2/11/22
ncbrc
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
courtscales

From the Courts

(Not password protected)
leforce

IN CASE YOU MISSED IT. . .

When is Enough, Enough? Pro Se Dismissed with Extended Prejudice (and Violates Bar)

By Jeff LeForce, Staff Attorney to Carey D. Ebert, Standing Chapter 13 Trustee for the Eastern District of Texas (Sherman and Texarkana Divisions)
. . . “Judge Larson provides a road map including several useful cases for Trustees and creditors to consider when faced with a vexatious and frivolously litigious debtor and what to do if they violate court orders.”
January 17, 2022
Archives

white

Director of U.S. Trustee Program to Retire

(Not password protected)

1/13/22 the Justice Department announced the retirement of Clifford White, the Director of the Justice Department’s U.S. Trustee Program, which oversees the administration of bankruptcy cases, effective March 31, 2022.

Read More

hildebrand

Critical Case Comment – Funds on Hand at Dismissal Go to Debtor. Not So Fast. 13 Trustee May Be Subject to State Court Proceedings

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN)
While a 13 trustee is partially insulated by the Barton doctrine from being dragged into state court, if a movant seeks authority from the Bankruptcy Court to pursue the trustee and satisfies the conditions of the Barton doctrine, the trustee may be subject to state court judicial proceedings.
leforce

When is Enough, Enough? Pro Se Dismissed with Extended Prejudice (and Violates Bar)

By Jeff LeForce, Staff Attorney to Carey D. Ebert, Standing Chapter 13 Trustee for the Eastern District of Texas (Sherman and Texarkana Divisions)
. . . “Judge Larson provides a road map including several useful cases for Trustees and creditors to consider when faced with a vexatious and frivolously litigious debtor and what to do if they violate court orders.”
Gardner

Good Stuff Out of Max Gardner’s 12/29 Webinar

Notice of Error Regarding Misinformation Given During Phone Call to Mortgage Servicer

Response to NOE from Loan Servicer

A note from Max: If you want to sign up for the videos (free through Jan 31, 2022) go to https://maxconsumerdefenseacademy.com/ and click on the menu tab MAX ON ZOOM. Scroll down to HOLIDAY OFFER and create a new account (even if you have an existing account you must create a new one–you can use your same email address, but a new password). If you sign up for the Holiday Offer, I will add you to another Box.com folder of materials that correspond with these videos.

webinar

Webinar Recordings Available:

3002.1 Proposed Rule Changes: The Webinar 12/16/21

3002.1 The Dialogue Continues Produced 1/14/22

Access to webinar recorders is benefit of subscription. Not a Subscriber? JOIN NOW

nclc

NCLC Seeks Signers Urging Foreclosure Pause When HAF Applied For

(Not password protected)
NCLC seeking non-profit organizations to sign two letters (one to the CFPB and one to FHFA, FHA, VA, and USDA) urging the agencies to require servicers to pause foreclosure activity for at least 60 days after being notified that a borrower has applied for HAF assistance and meets conditional program eligibility. Deadline to sign the letter is C.O.B. Wednesday, January 19, 2022.
regulationx

Second Circuit Decides Mortgage Servicing Issue

(Not password protected)

In Naimoll v. Ocwen Loan Servicing, LLC, the Second Circuit construed the catch-all provision of Regulation X, 12 C.F.R. § 1024.35, as being broad enough to cover the servicing errors alleged by the borrower.

See also:

Second Circuit Court of Appeals ruling in Ocwen/PHH case is major victory for homeowners, landmark decision will expand, strengthen RESPA, Regulation X protections

abovethelaw

From Above the Law

(Not password protected)
openposition

Positions Available

(Not password protected)
  • Northern District of Ohio – Term Law Clerks Application Deadline 2/11/22
ncbrc
foryourblog
courtscales

From the Courts

(Not password protected)
caution

Sanctions and Irony and Fraud, Oh My!

(Not password protected)
Beskin

IN CASE YOU MISSED IT. . .

Do I Really Have to Tell the Trustee About Newly Acquired Assets?

By Herbert L. Beskin, Chapter 13 Standing Trustee for the Western District of Virginia (Charlottesville)
It has long been a vexing question for Trustees and attorneys alike: do Debtors have to disclose assets acquired post-petition? Chief Bankruptcy Court Judge John Waites has presented his take on this issue and concluded, with some important exceptions, that they do not, but be sure to read the Note at the end of this case.
January 10, 2022
Archives
Beskin

Do I Really Have to Tell the Trustee About Newly Acquired Assets?

By Herbert L. Beskin, Chapter 13 Standing Trustee for the Western District of Virginia (Charlottesville)
It has long been a vexing question for Trustees and attorneys alike: do Debtors have to disclose assets acquired post-petition? Chief Bankruptcy Court Judge John Waites has presented his take on this issue and concluded, with some important exceptions, that they do not, but be sure to read the Note at the end of this case.
Kimball

On More Effective Writing

(Used with permission. First published in the Southern District of Florida Courthouse Beacon, December 2021)
By Hon. Erik P. Kimball, United States Bankruptcy Judge, Southern District of Florida, West Palm Beach Division

Defined Terms Are Not Your Friend. Lawyers love defined terms.”

Although specifically written to attorneys in his court, Judge Kimball addresses a national issue – verbose,v ague and illogical writing patterns. In a short, humorous way, he gives a fantastic primer on writing motions and responses.

webinar

FREE WEBINAR REGISTER NOW

Friday, January 14th at 2 Eastern

3002.01 The Discussion Continues

Join our panel of experts as they expound on the discussion began in our webinar on December 16th entitled 3002.1 Proposed Rule Changes: The Webinar which is now available for viewing*.

Panelists:

Debra L. Miller – “Conduit” Chapter 13 Trustee
Marie-Ann Greenberg – “Non-Conduit” Chapter 13 Trustee
Hilary B. Bonial, Esq. – Bonial & Associates, P.C.

Access to webinar recorders is benefit of subscription to ConsiderChapter13.org. Not a Subscriber? JOIN NOW!

agriculture

Chapter 12 in the News

(Not password protected)
disaster

From Above the Law

(Not password protected)
openposition

Positions Available

(Not password protected)

Northern District of OhioTerm Law Clerks Application Deadline 2/11/22

cfpb

From the CFPB

(Not password protected)
ncbrc
foryourblog

For Your Blog

(Not password protected – this category offers suggestions for trustee and debtor attorneys to pass along in your own blog or use for an original article idea.)
  • IRS News from Around the Nation (All on one page, by state, you can quickly see when federal taxes are due if extensions have been granted due to natural disasters.)
ahern

IN CASE YOU MISSED IT. . .

Judicial Year in Review 2021

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN)
In Part 1, Larry Ahern summarized the changes in Bankruptcy Rules that took effect December 1, 2021. In Parts 2 and 3, he selected some judicial activity related to bankruptcy procedure during the past year. Part 4 is selected cases under Parts VIII and IX of the Federal Rules of Bankruptcy Procedure
January 3, 2022
Archives

2022 – Really???

It doesn’t seem possible that it is the year Two Thousand and Twenty-Two!

Since 2008, The Academy d/b/a ConsiderChapter13.org has brought you the cutting edge of trends, developments, and case law in consumer bankruptcy.

Here’s to a long future of more of the same.

In the coming weeks we have a lot to look forward to: The Limits of Judicial Grace and Patience; More Effective Writing; Sunset Provisions; “Technical” Stay Violation Can Still Cost . . . A Lot; Yes, You Have to Tell The Trustee about New Assets; Trustees’ Compensation; and MUCH MUCH MORE.

townson

New Region 21 UST

(Not password protected)

Mary Ida Townson Appointed U.S. Trustee for Florida, Georgia, Puerto Rico and the U.S. Virgin Islands

By Guy A. Van Baalen, Assistant U.S. Trustee, Office of the U.S. Trustee Middle and Southern Districts of Florida
(Used with permission from the Courthouse Beacon News, Southern District of Florida)
webinar

Mark Your Calendar for Another FREE Webinar

3002.01 The Discussion Continues

Join our panel of experts on Friday, January 14th at 2 Eastern for a continued discussion of the proposed changes to Federal Rule 3002.1. Watch for registration information.

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