By William Houston Brown, Co-chair of the Commission and Adviser to the Academy for Consumer Bankruptcy Education The Report of the Commission on Consumer Bankruptcy for improvements to the consumer bankruptcy system was made public on April 11, 2019. The full report is available free by download from the American Bankruptcy Institute’s website, www.abi.org. The following Foreward to the Report...

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. (Sotomayer) Siegel v. Fitzgerald, 2022 WL 1914098 (S.Ct. June 6, 2022) Case Summary In 2008, the retail chain, Circuit City Stores, filed a Chapter 11 petition. In 2010, Circuit City’sliquidating plan was confirmed...

By Hon. Brian Lynch, Bankruptcy Judge, WAWB “[T]he bankruptcy court has a duty to review fee applications, notwithstanding the absence of objections by the United States trustee (“UST”), creditors, or any other interested party….” In re Busy Beaver Bldg. Ctrs., Inc., 19 F.3d 833, 841 (3d Cir. 1994). In Chapter 13 cases this role is critical because in this judge’s...

By The Honorable John P. Gustafson, United States Bankruptcy Judge, Northern District of Ohio (Toledo) There are two legal battles going on that may end up being dysfunctionally related…. 1. What Happens If The Automatic Stay Is Not Extended In A “Second Case Pending Within One Year”? A split of authority has been percolating since 2005, involving the all too...

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 (by way of adoption). (Hagenau) In re Karen Mitchell-Smith, 2022 WL 2195466 (Bankr. N.D. Ga. June 17, 2022) Case Summary Sometime in 2021, Henry County Animal Control took possession of 36 cats that...

By Kathryne M. Shaw,1 Boleman Law Firm, P.C. (Virginia Beach, VA) Click here for Part 2 The bankruptcy system requires good faith on the part of a debtor in exchange for the promise of a fresh start, and responsible members of the bankruptcy bar constantly work to ensure that no one “games” this powerful system. So, how does a debtor...

By Professor Nancy Rapoport Dear Readers: I know, I know—I’ve been absent from this column for a while,1 but I’ve found a set of cases that intrigued me, so here goes. In several cases, bankruptcy courts here in Nevada have made it clear that lawyers should do a better job of proving up their fees (and proofreading them), especially when...

It is always troublesome when an individual bankruptcy petition is filed by power of attorney. It may be less of a concern in a chapter 7 case when the debtor is in the military, incarcerated, or temporarily disabled. More worrisome is the incompetent or advanced aged debtor who has been placed in a chapter 13 by someone holding a power...

By Rachel Jones, Staff Attorney to Chapter 13 Standing Trustee Chris Micale, Western District of Virginia (Roanoke) The events of 2020 have had a devastating impact on the very low-income population. The working poor are struggling, particularly those working in sectors such as hospitality and tourism. State and Federal funding and local programs such as food banks and community action...