Author Archives: NCBRC

Tenancy by Entirety Not Exempt from IRS Debt

The debtor could not exempt property of the estate which he owned as a tenant in the entirety with his non-filing spouse with respect to a debt he owed to the IRS where section 522(b)(3)(B) exempts such property only to the extent it would be exempt under nonbankruptcy law and the Tax Code permits the […]

Silla v. Ghazvini, No. 22-1092 (BAP 9th Cir.)

Type: Amicus Date: July 25, 2022 Description: Interest rate on arrears Result: Pending Silla 9th BAP NCBRC amicus July 2022

Numa Corp. v. Diven, No. 22-15298 (9th Cir.)

Type: Amicus Date: July 25, 2022 Description: Sanctions for continuation of tribal case despite automatic stay. Result: Pending Diven 9th Cir NCBRC amicus July 2022

Evans v. McCallister, No. 22-35216 (9th Cir.)

Type: Amicus Date: July 6, 2022 Description: Whether the bankruptcy court erred in ruling that the Chapter 13 trustee may not retain a fee in a case dismissed prior to confirmation of a plan. Result: Pending Evans 9th Cir NCBRC amicus July 2022

Soussis v. Macco, No. 22-155 (2d Cir.)

Type: Amicus Date: April 21, 2022 Description: Whether a Chapter 13 trustee is entitled to an award of the trustee’s statutory fee in a case that is dismissed prior to confirmation of a plan. Result: Pending Soussis Amicus 2d Cir April 2022

Bartenwerfer v. Buckley, No. 21-908 (USSCt)

Type: Amicus Date: July 26, 2022 Description: Whether a bankruptcy debtor can be held liable for another person’s fraud, which cannot be discharged in bankruptcy, even when she was not aware of the fraud. Result: Pending Bartenwerfer SCt NCBRC Amicus

$5 Million Domestic Support Debt and Offshore Trust

The bankruptcy court was not bound by the state court’s finding that the debtor’s ex-wife did not violate the stay when she had the debtor arrested for failure to pay domestic support out of an offshore trust he claimed no ownership interest in, but the court found the issues more appropriate for summary judgment and […]

Debt To Client Security Fund Dischargeable as Compensatory

“Indebtedness arising from a disbarred attorneys’ obligation to reimburse the State Bar for payments made by the CSF to victims of that attorney’s misconduct are not excluded from discharge under § 523(a)(7).” Kassas v. State Bar of Calif., No. 21-55900 (9th Cir. Aug. 1, 2022). After the chapter 7 debtor was disbarred from the practice […]

Covid Mortgage Forbearance Justifies Plan Modification

The court granted the trustee’s motion to modify the debtor’s chapter 13 plan, finding that the debtor’s mortgage deferral due to Covid was an “unanticipated and substantial” change in his financial status which he had a duty to disclose and which increased his income for 18 months during the plan. In re Ilyev, No. 17-12987 […]

Bankruptcy Court Takes 7th Circuit to Task

The bankruptcy court gave the debtors guidance on how to challenge a decision issued by the Seventh Circuit earlier this month by pointing out, among other things, that the circuit court decision addressed an order not actually on appeal before it. In re Terrell, No. 18-28674 (Bankr. E.D. Wisc. July 19, 2022).