Congress Must Decide: May Chapter 13 Debtors Contribute to 401(k) Plans?
Courts are split on whether chapter 13 effectively prohibits debtors from making voluntary contributions to 401(k) plans.
In ‘Chapter 20,’ Discharged Mortgage Claim Resurrects as Unsecured, EDNY Judge Says
Judge Grossman didn’t abolish ‘chapter 20’ entirely. He required the debtor to treat the subordinate mortgage lender like all other unsecured creditors, even though the debtor’s personal liability to the lender had been discharged in the prior chapter 7 case.
NC Appellate Court Rules Plans Must Be Unambiguous to Hold a Creditor in Civil Contempt, Citing Taggart
After Taggart v. Lorenzen, plans, orders and injunctions must be highly specific to hold an offending creditor in contempt.
Second Circuit Makes Taggart Applicable to All Contempt Citations in Bankruptcy Court
Even for egregious, repeated violations of Bankruptcy Rule 3002.1, the bankruptcy court may only award recovery of economic losses, never punitive damages.
Chapter 13 Trustees Are Paid Even if Dismissal Comes Before Confirmation, BAP Says
The Ninth Circuit BAP joins the minority on an issue that’s headed for the court of appeals.
A Motion to Dismiss as of Right Doesn’t Bar the Court from Dismissing with Prejudice
Ninth Circuit BAP doesn’t require a formal motion to dismiss with prejudice when a debtor files a voluntary motion to dismiss as of right under Section 1307(b).