10th Circuit

Covenant Not to Compete Survives a Chapter 7 Discharge, Judge Nugent Says

Breaching a covenant not to compete does not give rise to a claim, because the primary remedy is equitable.

Notice Can Be Ok if Given to Attorney Who Represented Creditor Four Years Earlier

Fraudulent intent can’t be inferred from failure to disclose assets that became worthless before bankruptcy, Tenth Circuit says.

Rule 3001(c)(2)(D) Sanction Was 16 Times the Amount in Controversy

Innocent mistake turns into a $6,000 sanction for ‘willful failure to cooperate.’

Challenging Student Loans Permissible Six Years after Discharge

Destitute debtor allowed to challenge student loans six years after a chapter 7 discharge.

Colorado Judge Differs with Two Circuits on Chapter 13 Payments Beyond Five Years

Courts are also split on whether a five-year plan begins on confirmation or on the first chapter 13 plan payment.

Homestead Exemption Must Be Paid in Full Before a Sale Is Permitted, BAP Says

Splitting with the Sixth Circuit, the Tenth Circuit BAP does not require equity to claim a homestead exemption.

Tenth Circuit Direct Appeal to Decide Whether the Automatic Stay Is Really Automatic

Circuits are split on whether inaction is an ‘act’ that violates the automatic stay.

Retention Agreements Allowing Defense Fees Ok in New Mexico, but Not in Delaware

Baker Botts v. ASARCO doesn’t prohibit retention agreements allowing fees for defense of fees, judge holds.

Debtor’s Settlement Cannot Compromise a Creditor’s Claim Objection

‘Plain language’ of Section 502(b) prevents debtors from settling claim objections brought by creditors, Utah judge rules.

Judgment Void for Violating Discharge Doesn’t Qualify for Rooker-Feldman Protection

Kansas judge differs with a non-precedential Tenth Circuit opinion on Rooker-Feldman.