“Settlement” doesn’t always settle

Parker v. Bullis, et al., 13-1185-RGM (January 23, 2014) A creditor of the two debtors filed an action objecting to the granting of a discharge to the debtors under Section 727 of the Bankruptcy Code. The parties settled the action and requested the Court’s approval...

Nothing is automatic for bad-faith debtors

Mitrano v. United States, 472 B.R. 706 (April 16, 2012) United States District Court for the Eastern District of Virginia – Alexandria Division In this case, Judge Leone M. Brinkema considered the appeal of a Chapter 13 debtor who was appealing the decision of the...

Questionnable Real Estate Transfers Voidable

In re Nieves, 4th Circuit, January 27th, 2010 This case came before the Fourth Circuit Court of Appeals from a Chapter 7 trustee’s suit, under §§ 544 and 550 of the Bankruptcy code, against immediate and mediate transferees to avoid the transfer of a parcel of real...

Debt incurred in divorce

Mayes v. Mayes; 10-50261; July 26, 2011 This case came before the Bankruptcy Court on the Debtor’s ex-wife’s motion to deny discharge of a debt under 11 U.S.C. § 523(a)(15). The debt at issue was a loan that the Debtor had discharged in his Chapter 7 Bankruptcy which...

‘Good Faith’ Standard Restricts Debtor Creativity

Mathews v. US Bank, NA, et al.; 10-01243-RGM; March 31, 2011 This case came before the court on the debtor’s complaint to strip-off a wholly unsecured deed of trust and tax lien against her property in a Chapter 13 bankruptcy. The debtor was the only obligor on the...

Keeping Student Loan Payment Current in Bankruptcy

In re Birts; 11-15918-BFK; February 27, 2012 In this case, the debtor proposed a plan that proposed to pay approximately 7% of the allowed unsecured claims, but the plan provided that the debtor would keep the payment on her student loan current. Section 1322(b)(1) of...

Willful and malicious injury?

Wells Fargo v. Maryam Nawroz; 11-01183-BFK; 12/22/2011 This suit was brought by Wells Fargo against Chapter 7 debtor, Maryam Nawroz, to determine the dischargeability of a debt owed by the debtor to Wells Fargo. The debt arose out of a mistake by Wells Fargo when the...