When to Deduct Business Expenses: Flores Breathes New Life Into Wiegand

By Robert G. Drummond, Chapter 13 Trustee for the District of Montana

In Danielson v. Flores (In re Flores)1, an en banc panel of the Ninth Circuit Court of Appeals overruled Maney v. Kagenveama (In re Kagenveama).2 In the 2008 case, the Ninth Circuit Court of Appeals issued an opinion which, in part, found that the term “applicable commitment period” mandated a temporal measurement and that when the debtors have no projected disposable income, there is no minimum plan duration.

This affected the prior . . .

It looks like you are not signed in or registered! This content is only available to members.

Or Sign In Below:

No Author Biography has been linked to this Article.

From the Editor – Curing Default

October 27, 2019

By The Honorable William Houston Brown (Retired) Debtor could cure default beyond 60 months. Agreeing with In re Klaas, 858 F.3d 820 (3d Cir. 2017), bankruptcy court had discretion to permit debtors to cure plan default, allowing a reasonable grace period beyond the 60 months of confirmed plan. Dismissal of the case for plan default was not required under §...

Members

Critical Case Comment – Post-Petition 401(k) Contributions ARE Disposable Income

Henry E. Hildebrand, III

July 23, 2023

Post-petition voluntary contributions to a 401(k) are not reasonably necessary expenses and are thus included in disposable income in calculating a debtor’s Chapter 13 plan. (Freeman) In re Saldana, 2023 WL 3483241 (N.D. Cal. May 15, 2023) Case Summary In April of 2022, Jorden Marie Saldana filed a voluntary petition under Chapter 13. Ms. Saldana was single with no dependents...

Members

Generative A.I. – Be Afraid, Be Very Afraid

Naliko Markel

October 22, 2023

“ . . . next leap: Generative A.I. learns everything there is to know about you from your public social media presence and crafts phishing attacks unique to YOU.”

Members

Creditors’ Rights and Debtors’ Protections at the Intersection of Consumer Bankruptcy and UCC Article 9 – Part 3

September 13, 2020

By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN) PART III – DELAYED PERFECTION OF SECURITY INTERESTS Introduction Current circumstances (a pandemic and dire economic conditions) portend an onslaught of bankruptcy filings. In the consumer bankruptcy field, trustees and debtors' counsel often are uncomfortable with the rules in Article 9 of the Uniform Commercial Code (UCC). In this space,...

Members

What Else Does the Code Say About Interest and Unsecured Debts?

Ken Siomos

March 31, 2024

While some circuits differ, statutory interpretation suggests similar treatment for secured and unsecured claims regarding interest disallowance, unless context dictates otherwise. Attorney Siomos brings subscribers a follow-up to last week’s article.

Members

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

Emily Connor Kennedy

July 24, 2022

I hope that you’ve enjoyed the articles from Mark Leffler and Steve Relyea discussing how our firm began litigating against creditors in bankruptcy court and mortgage servicers in federal district court. In this (final) installment, I will discuss our entry into Fair Credit Reporting Act litigation. Our firm’s history with Fair Credit Reporting Act litigation is intertwined with the relationships...

Members

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

Herbert L. Beskin

January 9, 2022

It has long been a vexing question for Trustees and attorneys alike: do Debtors have to disclose assets acquired post-petition? In a lengthy and well-documented opinion, Chief Bankruptcy Court Judge John Waites of South Carolina has presented his take on this issue and concluded, with some important exceptions, that they do not. The case is In re Thomas L. Boyd,...

Members

From the Editor

September 27, 2020

By The Honorable William Houston Brown (Retired) Disgorgement of fees for nondisclosure. The Tenth Circuit held that the “default sanction” for an attorney’s failure to satisfy disclosure obligation is full disgorgement of fees paid. While full disgorgement may not be required in particular circumstances, the “default sanction” principle required reversal and remand. The bankruptcy court, affirmed by the BAP, had...

Members

The New DOJ/DOE Guidance for Student Loan Bankruptcy Litigation: Promising Early Results

Honorable Brian D. Lynch

March 17, 2024

“The problem in the past for student loan borrowers in bankruptcy has been that hardship discharge litigation has been complex, expensive and arbitrary. . . . The new guidance has simplified the process.”

Members

Critical Case Comment

February 3, 2019

By Henry E. Hildebrand, III, Chapter 13 Trustee for the Middle District of TN (Nashville) Where a Chapter 13 plan provides that a mortgage payment will be paid “outside the plan,” the plan does not “provide for” the mortgage payment and, accordingly, the discharge under § 1328 is not applicable to the mortgage obligation. Dukes v. Suncoast Credit Union, 909...

Members