The Kentucky Court of Appeals ruled last week that a junior mortgagee may not force a judicial sale free and clear of a senior mortagee’s interest even when the senior mortgagee defaults in the underlying foreclosure litigation.
Under section 584(c) of the Bankruptcy Code, a “good faith” transferee may retain any interest received in an otherwise avoidable fraudulent transfer under the Bankruptcy Code “to the extent that such transferee … gave value to the debtor in exchange for such transfer.”
Section 523(a)(8) excepts federal and many private student loans from discharge in bankruptcy. The exception to the exception is when the debt will “impose an undue hardship on the debtor and the debtor’s dependents.”
With a short opinion by Justice Scalia, the U.S. Supreme Court this week unanimously reversed a Ninth Circuit decision that permitted the use of Bankruptcy Code Section 105(a) to impose an “equitable surcharge” on a debtor’s exempt assets to pay administrative costs, notwithstanding a Bankruptcy Code provision stating that exempt property “shall not be liable” for any such costs.
There are some best practices that associations should follow when dealing with a bankruptcy. First, and most importantly, make sure that no collection activity continues against an individual who has filed bankruptcy.
Medical debt is often a major influence in the decision to file bankruptcy. Although some only want to file bankruptcy on their medical debt, there is no such thing as a “Medical Bankruptcy.”
Glass Half Full for U.S. Creditors in Jaffe V. Samsung Electronics Co.: Fourth Circuit Rules in Favor of U.S. Creditors in Chapter 15 Jurisdictional Dispute
On December 3, 2013, the Court of Appeals for the Fourth Circuit upheld, in Jaffe v. Samsung Electronics Co., the power, and the duty, of a United States Bankruptcy Court to condition the grant of Bankruptcy Code section 1521(a)(5) relief to a foreign insolvency administrator on conditions sufficient to protect the interests of all interested parties affected by the relief.
What the U.S. Supreme Court’s Unamimous Decision in a Homestead Exemption Case Says About the Power of Bankruptcy Courts in Business Cases
It seems that most bankruptcy decisions by the U.S. Supreme Court involve individual debtors, and the Supreme Court’s latest opinion is no exception.
Typically in a divorce decree the state court will divide all the assets and debts of the couple. The divorce decree is a state order that does control who is responsible for the debt, but it unfortunately does not do much to the rights of a third party creditors.
As the economy continues to lag, many renters are creating more problems for landlords when they cannot pay their rent.