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Virginia

Judge Revokes a ‘Nationwide’ Firm’s Right to Practice in Virginia Bankruptcy Court

Local lawyers were also caught up in the maelstrom caused by a ‘nationwide’ firm that skirted bankruptcy law and rules.

Courts Shifting to Say Corporate ‘S’ Status Is Not Property

Virginia judge sides with Third Circuit to hold that ‘S’ status is not a corporate debtor’s property.

Section 1326(a)(2) Overrides a Levy Under State Law

On dismissal before chapter 13 confirmation, the debtor gets undistributed funds, not a creditor with a valid state court levy.
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Section 106 Waivers of Sovereign Immunity May Be Unconstitutional Sometimes

Patriot Coal decision analyzes Supreme Court authorities on sovereign immunity.

Disability-Care Payments Are Excluded from Calculation of ‘Disposable Income’

Government payments to care for disabled adults go to parents, not creditors, judge rules.

Pro Se Debtors Entitled to Different Notice Before Sua Sponte Dismissal

Pro se debtors must be told explicitly of the right to request a hearing.

Exhausting Administrative Remedies Is No Prerequisite to Bankruptcy Jurisdiction

Exhaustion of state and federal administrative remedies are not the same, judge says.

Courts Spilt on Offsetting Government’s Non-Tax Claim Against a Tax Refund

Automatic stay bars collecting a debt by offsetting a tax refund.