Where creditors of a bankrupt company sought to recover money damages for losses allegedly suffered as a result of the actions of former company executives, they were entitled to a jury trial on their fiduciary breach claims. Background This matter ...

Tagged with: Bankruptcy Judge David J. Novak U.S. District Court - Eastern District

Where a Chapter 13 debtor sued to stop the IRS from collection activities for 2005 and 2006 tax liabilities, but the debts were assessed under a provision that makes them non-dischargeable, he was precluded from receiving a discharge. Background The ...

Tagged with: Bankruptcy Judge Paul M. Black U.S. Bankruptcy Court

Where the U.S. Supreme Court previously addressed the proper standard for holding a creditor in civil contempt for attempting to collect a debt that a Chapter 7 discharge order has immunized from collection, that rule also applied in a Chapter ...

Tagged with: 4th U.S. Circuit Court of Appeals Bankruptcy Judge Toby Heytens

Where a debtor and his wife were a single economic unit, but he nevertheless excluded her income from four of his Chapter 13 reorganization plans, resulting in an unreasonable delay that was prejudicial to creditors, the case is dismissed. Background ...

Tagged with: Bankruptcy Judge Brian F. Kenney U.S. Bankruptcy Court

Where a debtor materially and intentionally understated the value of real property on his schedules, and intentionally purchased a new vehicle with the intent to reduce his disposable monthly income, he acted in bad faith. Background Stephen Neuman Asamoah is ...

Tagged with: Bankruptcy Judge Brian F. Kenney U.S. Bankruptcy Court

Where a debtor and Chapter 13 trustee brought an adversary proceeding to avoid transfers of real property the debtor made within the two years before filing his bankruptcy petition, the defendant’s argument that the plaintiffs lacked standing was rejected. Background ...

Tagged with: Bankruptcy Judge Keith L. Phillips U.S. Bankruptcy Court

Where a trustee sued the United States to void a debtor’s tax penalty obligations to the IRS, and to recover the debtor’s prior payments to the IRS, his claims were dismissed. A “noncompensatory tax penalty that is statutorily required and ...

Tagged with: 4th U.S. Circuit Court of Appeals Bankruptcy Judge A. Marvin Quattlebaum Jr.

Where the district court previously addressed the debtor’s arguments when it reversed and remanded the bankruptcy court’s judgment as to two claims filed by a bank, the debtor’s motion for rehearing was denied. Background On July 10, 2018, appellee Byron ...

Tagged with: Bankruptcy Judge Rossie D. Alston Jr. U.S. District Court - Eastern District

Because employing a law firm on behalf of a bankruptcy estate amounts to acting for the estate, the bankruptcy court must determine whether a Chapter 11 trustee has standing to hire professional persons on behalf of an estate after the ...

Tagged with: Bankruptcy Judge Michael S. Nachmanoff U.S. District Court - Eastern District

Where the bankruptcy court provided little analysis for its approval of third-party releases that released the claims of hundreds of thousands of potential plaintiffs not involved in the bankruptcy, it exceeded the limits of its constitutional authority. The third-party releases ...

Tagged with: Bankruptcy Judge David J. Novak U.S. District Court - Eastern District