Two cases out of the Western District of Louisiana found that Attorney Glay H. Collier’s fee collection practices violated Sections 526, 528, 362, and 524 of the Bankruptcy Code. Wheeler v. Collier (In re Wheeler), No 11-1670 (W.D. La. May 22, 2014) and (July 17, 2014), and Patrick v. Collier (In re Patrick), No. 14-11203 (Bankr. W.D. La. July 23, 2014). [Read more…] about Attorney’s “No Money Down” Fee Collection Practice Violates BAPCPA
Bankruptcy Court Takes Compassionate View of Default
The evidence showed that the debtors’ breach of contract and conversion of collateral was not willful and malicious for purposes of nondischargeability under Section 523(a)(6). Mountain Am. Credit Union v. Trujillo (In re Trujillo), No. 13-12434, Adv. No. 13-1095 (Bankr. D. N.M. July 3, 2014). [Read more…] about Bankruptcy Court Takes Compassionate View of Default
Debt for Fees Related to Incarceration of Minor Not Dischargeable
A Bankruptcy Appellate Panel for the Ninth Circuit found that debt based on expenses incurred by the county juvenile justice system for the care of the debtor’s son while incarcerated is nondischargeable, Rivera v. Orange County Probation Dept. (In re Rivera), No. 13-1476 (B.A.P. 9th Cir. June 4, 2014). [Read more…] about Debt for Fees Related to Incarceration of Minor Not Dischargeable
Cybersquatting Judgment Results in Nondischargeable Debt
A million-dollar-plus district court judgment against the debtor for intentional trademark infringement and cybersquatting resulted in a nondischargeable debt in bankruptcy under section 523(a)(6). Nguyen v. Biondo (In re Biondo) No. 13-1612 (Bankr. S.D. Fla. June 13, 2014). [Read more…] about Cybersquatting Judgment Results in Nondischargeable Debt
California Law Precludes Claim of Nondischargeability
State law precluded a creditor’s claim of nondischargeability due to fraud in the case of Heritage Pac. Fin. v. Montano (In re Montano), __ B.R. __, 2013 W.L.5890681 (B.A.P. 9th Nov. 1, 2013). [Read more…] about California Law Precludes Claim of Nondischargeability
Court Finds Ride-Through Not Available with respect to Real Property
In In re Jeanfreau, No. 13-50015 (Bankr. S.D. Miss. June 12, 2013), the mortgagee moved to compel compliance with section 521(a)(2) and to delay discharge of the debtor’s chapter 7 bankruptcy due to the debtor’s failure to reaffirm the mortgage on her home. Ms. Jeanfreau was current on her payments under the mortgage and had equity in the home. In her section 521(a)(2) “statement of intention”’ she indicated that she intended to retain the property but did not elect to either “redeem” or “reaffirm” the debt. Instead she checked “other” and noted that she intended to maintain regular payments on the mortgage outside of bankruptcy without reaffirming. [Read more…] about Court Finds Ride-Through Not Available with respect to Real Property
Supreme Court Determines Scienter for Defalcation
Debts for “defalcation” have been excepted from discharge for almost one hundred and fifty years, yet only now has the Supreme Court resolved the question of what mental state is required for an actor to commit defalcation within the meaning of section 523(a)(4). Bullock v. BankChampaign, 569 U. S. ____ (2013), No. 11-1518 (May 13, 2013). [Read more…] about Supreme Court Determines Scienter for Defalcation