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6th Circuit

Debtors Benefit When Trust Law Meets Bankruptcy Law

A trust designed to defeat the claims of creditors can sometimes hold up in bankruptcy.

Still No Universal Test for Bifurcating an Auto Loan in Chapter 13

Courts are groping to define ‘personal use’ because Congress didn’t.

Nondischargeability Is No Bar to Feasibility in an Individual Chapter 11

Holders of nondischargeable claims can be forced to accept pro rata payments during the life of the plan and collect the remainder only after discharge or dismissal, the BAP rules.

Tennessee Judge Rules Back Child Support Is Not Estate Property

Courts are split on whether child support arrears are estate property.

Filed and Unfiled Claims Not Aggregated for Chapter 12 Eligibility, BAP Holds

Courts are split on aggregating filed and non-filed claims in calculating chapter 12 eligibility.

Kentucky Judge Refuses to Approve a ‘No Seal, No Deal’ Settlement

The parties’ wishes are insufficient to justify sealing.

A Bogus Claim May Beat Summary Judgment, but It Won’t Reach a Jury

A defense that fails the ‘laugh test’ still beats a summary judgment motion, district judge says.

Sovereign Immunity Fully Insulates a Tribe from Lawsuits

Sovereign immunity protects a tribe even after successful veil piercing.

BAPCPA Limits Remedies Against Debtors Who Don’t Reaffirm or Surrender

‘Stay and pay’ may not be permissible, but the remedies can be toothless.

Sixth Circuit Has Simple Requirement for a Debtor’s Claim to Survive Confirmation

If creditors want more information about a lawsuit to pursue after confirmation, they must ask for it.