553

Ninth Circuit Reiterates Its Idiosyncratic Recoupment Standard

Ninth Circuit abjures bright lines in favor of a flexible approach to defining recoupment.
Court: 

Postpetition Default on a Mortgage Is a Prepetition Debt for Setoff Purposes

The obligation on a mortgage is incurred when the mortgage is granted, even though the payment default may occur after filing, Judge Thuma says.

Setoff Rights of the IRS Prevail over a Debtor’s Attempt to Exempt a Tax Refund

Fourth Circuit answered a question of first impression where the lower courts disagreed.
Court: 

Treasury Offset Program Can’t Be Used After Bankruptcy, District Judge Says

Now on the district court bench, then-Bankruptcy Judge Frank Volk was upheld in a tricky case involving the government’s right of setoff.

Pages