Author Archives: NCBRC

CashCall’s Use of Tribal Arbitration under Attack

An arbitration clause is not enforceable when the specified forum is unavailable. So said the Eleventh Circuit Court of Appeals in Inetianbor v. CashCall, Inc., __ F.3d __, 2014 WL 4922225 (11th Cir. Oct. 2, 2014).

Post-Petition Equity Goes to Debtor upon Conversion

Equity created by payments into a chapter 13 plan belongs to the debtor upon conversion to chapter 7. In re Hodges, No. 13-361 (E.D. Tenn. Sept. 29, 2014).

Trustee Fee Cut Where No Meaningful Distribution

In three consolidated chapter 7 cases, the Bankruptcy Court, finding that carve-out or short sale agreements did not lead to any meaningful distribution to creditors, reduced the trustee’s fee by 50% of the requested amount. In re Scoggins, No. 12-42158 (Bankr. E.D. Cal. Sept. 8, 2014) (the court approved the fee request in a fourth, […]

Warning: May Cause Munchies and Preclude Bankruptcy Relief

A Colorado Bankruptcy Court found that a debtor whose only non-social security income was generated through the marijuana industry could not avail himself of bankruptcy relief. In re Arenas,  — B.R. —-, 2014 WL 4288991 (Bankr. D. Colo. Aug. 28, 2014). The chapter 7 debtors’ income sources were $4,265.16 from Mr. Arenas’ marijuana growing business […]

Bankruptcy as Social Insurance Program

Fortune Magazine reported yesterday on the results of a recent study conducted by the National Bureau of Economic Research in which the NBER examined 500,000 U.S. bankruptcy filings to determine the overall effect on consumers. The study found that Chapter 13 bankruptcy protection “increases annual earnings by $5,562, decreases five-year mortality by 1.2 percentage points, […]

In re Wolf, No. 14-1346 (4th Cir.)

Type: Amicus Date: August 4, 2014 Description: Whether above-median debtor’s projected disposable income should be calculated from the statutory formula rather than schedules I and J. Results: Pending Wolf 4th Cir. NACBA amicus  

Mass. Dept. of Rev. v. Fahey, No. 14-1328 (1st Cir.)

Type: Amicus Date: July 7, 2014 Description: Whether late-filed taxes are dischargeable. Result: Pending Fahey 1st Cir. NACBA amicus

Mass. Dept of Rev. v. Perkins, No. 14-1350 (1st Cir.)

Type: Amicus Date: July 7, 2014 Description: Whether late-filed taxes are dischargeable. Result: Pending Perkins 1st Cir NACBA amicus

Ongoing Homeowners Association Assessments Dischargeable

Approximately a year and a half after the debtors abandoned their condominium and stopped paying their homeowners assessments, they filed for chapter 13 bankruptcy. Their plan proposed to transfer title to the secured creditor, Bank of America, and made no provision for payment of ongoing Homeowners Association assessments. Both the bank and the HOA objected […]

“Public Assistance” Exemption Revisited

In contrast with the recently reported case, In re Vazquez, the BAP for the Eighth Circuit reiterated its analysis of what constitutes “public assistance,” under Minnesota exemption laws to take into consideration whether the recipient of the assistance is “needy.” Christians v. Dmitruk (In re Dmitruk), No. 14-6023 (B.A.P. 8th Cir. Sept. 15, 2014).