District Court Affirms: ‘13’ Debtors Lose Appreciation in a Home After Conversion to ‘7’
On an issue where the courts are split, a district judge in Washington State holds that the debtors lose the post-petition appreciation in the value of estate property when a chapter 13 case converts to chapter 7.
Chapter 7 Debtors Have No Appellate Standing to Challenge a Short Sale, BAP Says
BAP doesn’t allow debtors to appeal when a trustee sells their home out from underneath them in a short sale.
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A Hotel Without Income Is ‘Single Asset Real Estate,’ District Judge Says
An operating hotel may not be single asset real estate, but an uncompleted hotel with no income is single asset real estate, according to a Los Angeles district judge.
Ninth Circuit Describes the Pleading and Proof for Converting from ‘11’ to ‘7’
With the statute silent, the Ninth Circuit makes rules for assets that go to the chapter 7 estate on conversion from chapter 11.
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Rule 9011 Sanctions Imposed for Filing Decedent’s Estate to Halt Foreclosure
Judge Christopher Klein lays out the requisites for imposing sanctions under Rule 9011 for frivolous filings.
Bidding Not Always Required When a Settlement Includes a Sale of Assets, BAP Says
If there are mutual claims, the Ninth Circuit BAP gives the court discretion not to evaluate a settlement as a sale.
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In Reciprocity States, the Court Must Rule on Contract Issues to Shift Fees, Circuit Says
Even if a dischargeability suit is based on a contract, the winner is not entitled to fee-shifting if the court rules on noncontract issues.
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Nonjudicial Foreclosure Wipes Out Deficiencies for the FCRA, Ninth Circuit Says
The Ninth Circuit equates nonjudicial foreclosure with bankruptcy discharge in terms of the effect on deficiencies following foreclosure.
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Sub V Has a Flexible Commitment Period in Cramdown, Ninth Circuit BAP Says
Unlike chapters 12 and 13, the bankruptcy court in Subchapter V has discretion in selecting the commitment period for confirmation of a cramdown plan.
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It’s Not Easy to Set Aside Releases for Fraud, Judge Whitman Holt Says
To settle with a trustee, a creditor is not required to volunteer damaging information.
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