A drawing of the cuneiform transcription of a debt cancellation (amargi law) by Enmetena , ruler of the Sumerian city-state of Lagash, c. 2400 BC, basically the first known bankruptcy discharge. (Original in the Louvre.) By Lynn Yost.
The first section of this Bankruptcy Law Letter examines the questions surrounding the undefined term “educational benefit” in 11 U.S.C. §523(a)(8)(A)(ii), which makes private student loans, which do not meet the IRS definition of being a “qualified educational loan”, nondischargeable. These private loans can include bar review courses, loans for attendance at unacredited schools, loans for school or test preparation and ad hoc borrowing for that somehow relates to education.
Summary:
Mr. Myrick brought suit against Equifax under the FCRA for willfully failing to verify the discharge of a debt in his Chapter 7 bankruptcy. In light of Daughterty v. Ocwen Loan Servicing, the district court reconsidered its
Summary:
Following the entry of a discharge in 2011 of his Chapter 13 case, First Federal Bank (“FFB”) continued to report on Mr. Myrick’s credit report with Equifax that he owed an outstanding balance of $41,603 that was past due by $2,000. In November 2014, Mr. Myrick submitted a dispute with Equifax regarding this balance, raising his bankruptcy discharge. Equifax sent a Automated Consumer Dispute Verification (“ACDV”) to FFB, which responded that the balance information was correct. Later in February 2015, Mr.
Summary:
During a period of financial distress and shortly before their divorce, Doreen Baum made repeated unauthorized withdrawals from the Martin Baum’s IRAs, and did not pay the mortgage on the couple’s beach house, using the funds for the support and maintenance of the family. When the Baums divorced, the parties entered into an consent orders for Alimony and Equitable Distribution.
Summary:
Mr. Sheetz filed a Chapter 7 bankruptcy on June 1, 2015, listing, among other creditors, Mr. Engell. The last day to oppose a discharge was August 31, 2015. On August 26, 2015, Mr. Engell filed an pleading titled as “Creditor’s Objection to Debtor’s Exemption” (“the objection”), but which, in fact, asserted that judgment held against Mr. Sheetz was nondischargeable due to fraud and unfair and deceptive trade practices. Subsequently, on October 27, 2015, Mr. Engell filed a motion to amend.
Abstract:
Although the collection of college student loans centers this article, some background precedes its main topic. It begins by defining and distinguishing federal and private student loans. Next is repayment of loans, postponing repayment through deferment, forbearance, extensions, and public-interest assistance and cancellation. Perkins loan deferment, forbearance, and cancellation follow.
Summary:
After filing Chapter 7 and attendance at the §341 Meeting of Creditors, the Female Debtor passed away. The bankruptcy court held that pursuant to Bankruptcy Rule 1016, death of the Debtor was not an impediment to either the administration of a Chapter 7 estate or basis for denial of discharge.
For a copy of the opinion, please see:Stewart- Chapter 7 Discharge allowed for Dead Debtor.PDF
The Debtor was in an automobile accident and had not maintained liability insurance. Judgment was entered in state court for negligence, but after filing Chapter 13 the Plaintiff brought a non-dischargeability action alleging that the failure to maintain liability insurance cause a willful or malicious injury.
The Debtor argued that the failure to raise either willfulness or malice in the state court action precluded later raising them in the bankruptcy.
Relying on Brown v. Felsen, 442 U.S. 127, 135, 99 S.Ct.
