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Bankruptcy Bill and BAPCPA Man: Cartoons Come to Bankruptcy »

(This cartoon is posted on with the express permission of the creators of BAPCPA Man.)

When I think of Steven Horowitz and Gideon Kendall, I can’t help but think of the Reese’s Peanut Butter Cup.  What a perfect combination.
Horowitz, a New York City bankruptcy lawyer, and Kendall, a professional illustrator and fellow New Yorker, met years ago [...]

Massachusetts Homestead Act Applies to Pre-Declaration Contracts »

Any reader of the Massachusetts Homestead Act must conclude that it only protects homes from contracts incurred after the declaration is recorded. This is not true in the bankruptcy context.
This reading was first confirmed by the Van Rye Massachusetts bankruptcy court decision in 1995. A different bankruptcy judge then ruled otherwise in the 1996 Boucher [...]

Are Attorney Fees Still Recoverable in the 9th for Stay Violations? »

On October 1, 2009, the Ninth Circuit Court of Appeals issued its decision in Sternberg v. Johnston, No. 07-16870 wherein it affirmed a stay violation under 11 USC 362, yet held that attorney fees were only recoverable related to enforcing the automatic stay and remedying the stay violation, and not in the litigation of damages.  In [...]

Another Unfavorable Bankruptcy Means Test Decision »

Recently I posted a Blog on the unfavorable In re Martinez decision recently handed down by the Ninth Circuit BAP on October 5, 2009.  Well, the Ninth Circuit BAP did it again that same day in another case with a slightly different twist in the Smith matter.

Bankruptcy Means Test: Unfavorable Decision in Ninth BAP »

On October 5th, 2009, the Ninth Circuit Bankruptcy Appellate Panel (BAP) published its decision in In re Martinez, wherein it concluded that debtors who strip junior liens off mortgages are not entitled to deduct those payments from the chapter 13 projected disposable income test.  While the decision was ordered published, the 3 judge panel disagreed with each [...]

Court Invalidates Foreclosure Sale for Defective Documents »

Judge Long of the Massachusetts Land Court recently reaffirmed his groundbreaking May decision (Ibanez) invalidating a foreclosure sale due to a lack of properly-recorded proof of assignment. The assignment issue boiled down to this. Due to the bundling of mortgages for sale and trading on Wall Street, mortgages have been transfered more and [...]

What Happens if You Don’t Object to Bankruptcy Claim? »

If a creditor files a proof of claim in a Bankruptcy Proceeding, it is deemed allowed unless you or another interested party objects.  So what does “allowed” mean and what are its ramifications?

Supreme Court to Decide Three Bankruptcy Cases »

The US Supreme Court plans to hear oral argument on several important bankruptcy cases in its 2009/10 term.  One case, Milavetz Gallop v. U. S., deals with the relationship between bankruptcy lawyers and their clients.  The case of U. S. Student Aid Funds v. Espinosa will determine what type of procedural steps must be taken [...]

The Homestead Exemption in Bankruptcy is Hard to Lose »

I recently blogged the question “Is it possible to lose my homestead exemption in bankruptcy court?”    This is an important question because people who file bankruptcy want to be sure that their homes will be safe.   
That question has now been clearly answered in the Northern District of New York.   Bankruptcy Court Judge Diane [...]

When is a Car Purchased for Business Use? »

In Chapter 13, a consumer can reduce how much is repaid on an automobile under certain circumstances.  But the law limits that reduction, called a “cramdown” where the car was purchased with the loan money within the last 2 1/2 years if the car was bought “for the personal use of the Debtor.”
Note, you have [...]