Exclusively for NACTT Academy Members:

Ch. 13 Update Video

Bi-Weekly Installments of the 2009 NACTT Annual Seminar's Case Law Update
Parts 1—4 Now Online!

Complete DVD/CD Coverage of the 2009 NACTT Annual Seminar     Preview  &  Order Here!

  Notes:      HAMP SERVICERS as of Nov. 12, 2009. "DAYS ARE DAYS", eff. Dec. 1, 2009: N.D. Bankr. Quick Reference Sheet and Guide. Median Family Income By Family Size (Cases Filed On or After Nov. 1, 2009).

Entire First Half of the Chapter 13 Case Law Update from Boston, July 2009 Now Available (4 Parts) From the NACTT Annual Seminar, this is the first half of PANEL 15: CHAPTER 13 CASE LAW UPDATE — the “all the questions and some of the answers” collection of chapter 13 cases from the Hon. Keith M. Lundin, the Hon. William H. Brown (ret.), and Ch. 13 Trustee Henry E. Hildebrand, III — now available online in four parts for NACTT Academy members. (The second half of the Case Law Update is coming soon!)

Elements: The Roadmap for Your Litigation Trip    (Court Comment) Judge Pam Pepper, a former trial lawyer, suggests that lawyers rely on the elements of the relevant causes of action as a method of organizing litigation.

Ethics: Attorneys, Deceptive Documents And Bankruptcy – A Series Of Articles    This is the initial Article in a series which will explore the distributing frequency with which deceptive documents are being filed in bankruptcy courts, including the significant consequences, often involving subsequent state disciplinary proceedings, for attorneys involved with such filings.

A Proposal for Amending Chapter 12 to Accommodate Small Business Enterprises Seeking to Reorganize  From the National Bankruptcy Conference, Dec. 17, 2009, arguing that "Chapter 12 would fill a gap in the reorganization laws for small businesses, save a significant number of viable small businesses from liquidation, and lower the costs of business failure for both small businesses and their creditors."

I'm From the Government and I'm Here To Help You Pay This Claim  (Creditor Comment) In this article, Zach Mosner, Assistant Attorney General – State of Washington, Bankruptcy & Collections Unit, provides a thoughtful survey of issues involving governmental claims in chapter 13 cases.

Chapter 13 Case of the Day
A new Chapter 13 case every day, selected and analyzed by Hon. Keith M. Lundin and Hon. William H. Brown (ret.), authors of Chapter 13 Bankruptcy.
Critical Case Comments
The most important Chapter 13 cases examined in detail by Hank Hildebrand, Chapter 13 Trustee, from the Debtor's, Creditor's, and Trustee's perspectives.
Chapter 13 Comments
These columns reflect the wide world of chapter 13 issues. The separate columns contain comments from a chapter 13 trustee or an attorney representing creditors or an attorney representing debtors or comments from a judge or clerk. A review of these four columns will help provide a comprehensive look at chapter 13 issues.

Elements: The Roadmap for Your Litigation Trip    (Court Comment) Judge Pam Pepper, a former trial lawyer, suggests that lawyers rely on the elements of the relevant causes of action as a method of organizing litigation.

I'm From the Government and I'm Here To Help You Pay This Claim    (Creditor Comment) In this article, Zach Mosner, Assistant Attorney General – State of Washington, Bankruptcy & Collections Unit, provides a thoughtful survey of issues involving governmental claims in chapter 13 cases.

What Should I Bring To My First Bankruptcy Appointment?    (Debtor Comment) Wayne Novick, currently the Ohio South State Chair for NACBA, drawing from his lengthy experience as an attorney for debtors, describes the complexities of that "First Bankruptcy Appointment".

Making Sure the Dog Didn’t Eat the Mortgage: Courts Increasingly Intolerant of Legally Deficient Mortgage Proofs of Claim    (Trustee Comment) This article, from two of the leading attorneys in the Executive Office of the U.S. Trustee, reflects the interest of the Executive Office in proper documentation for mortgage proofs of claim and, referring to the Guidelines, contains helpful advice for all participants in the bankruptcy process.

Paddling Around In The Means Test  (Debtor Comment) In her article, Pam Maggied reveals how a thoughtful approach to the complex components of the means test can benefit a debtor.

Meeting The Eligibility Requirements For Chapter 13  (Debtor Comment) Jeanette McPherson, who is certified in business bankruptcy law by the American Board of Certification, represents debtors and is the managing partner of Schwartzer & McPherson, Las Vegas. In this focused article, she discusses some of the issues surrounding a debtor's eligibility for chapter 13.

Drafting the Adversary Complaint  (Court Comment) In this primer on drafting adversary complaints, counterclaims, cross-claims, and third-party complaints, Judge Humphrey (S.D. Ohio) notes that, as a result of recent Supreme Court cases, preparing these initial pleadings demands even more focused attention than previously required.

Digital Audio Recording Pilot in the U.S. Bankruptcy Court for the Northern District of Alabama    (Court Comment) A pilot program, which is described in this article by Judge Mitchell and Clerk Ford (N.D. Alabama), allows for ECF access to recordings of court hearings. The article lists some of the great benefits of such a system, which could be coming to your court in the future.

Sua Sponte  (Court Comment) Your Honor, which side of the bench are you on today? In this candid peek inside a seldom discussed aspect of the judicial mind, Judge Diane Sigmund (E.D. Pennsylvania) discusses what prompts a judge to, sua sponte, elicit testimony or other evidence during a hearing.

The Chapter 13 Tension Between "Equal Monthly Amounts" And Attorney Fees — Find The Middle Ground  (Creditor Comment) This article discusses the vexatious problems created under BAPCPA’s requirement that secured creditors receive their distribution in “equal monthly amounts” and the need for the Debtor’s counsel to be paid attorney’s fees in handling the case.

Capital Investment — In You  (Court Comment) In this tongue-in-cheek article, Judge Russ Kendig (N.D. Ohio) focuses on continuing bankruptcy education as one of the more important personal investments an attorney makes in obtaining, and maintaining, a successful practice.

Credit Card Balance Transfers and Chapter 13  (Court Comment) In this focused article, Judge Lyons (N.J.) discusses an often overlooked aspect of the liquidation analysis: the preference aspects of credit card balance transfers.

Circuit Split On Taxes And Timing  (Court Comment) Managing tax debt in a chapter 13 case always requires careful attention, and a recent Circuit decision creates new concerns in this area.

Proposed Standing Trustee Expense Rule Published for Public Comment  (UST Comment) Chapters 12 and 13 standing trustees should be aware the proposed standing trustee expense rule out for public comment will supersede the informal budget resolution process concerning annual and amended budgets discussed in Appendix P of the Handbook for Chapter 13 Standing Trustees. Comments on the proposed rule are due by October 13, 2009. Information regarding how to submit a comment is provided at the end of this article.

The Automatic Stay: Who Knows Who May Come After Violators?  (Court Comment) Circuit authority establishes that creditors have standing to pursue claims for damages resulting from violations of the automatic stay.

How Effective is Your Agreed Order on a Chapter 13 Motion for Relief from Stay?  (Court Comment) In this thoughtful article, the author documents the often destined-for-defeat provisions of agreed orders on relief for stay involving real estate mortgages. The statistical evidence presented should be a source of reflection for all involved in such agreed orders.

Litigation In Bankruptcy Court: It Can Be A Trying Ordeal – Conclusion  (Court Comment) In the concluding article in this series, the author suggests which trial tactic can be considered most important, most helpful and most useful.

Espinosa: Certiorari Granted  (Creditor Comment) The Supreme Court has granted Certiorari on Espinosa and this article provides an understanding of the 9th Circuit's decision.

Ten Computing Security Tips  (Trustee Comment) This article provides reminders that the benefits of technology are accompanied by the burdens of security.

Wheel Estate: Debtors May Still Cramdown Creditors' Interests in Mobile Homes  (Court Comment) In his thorough and thoughtful article, Judge Jeffery Hopkins (S.D. Ohio) discusses the range of issues and considerations present in connection with decisions denying § 1322(b)(2) protection to mobile homes, despite the inclusion of "mobile home" in BAPCPA 's definition of "debtor's principal residence" § 101(13A).

Projected Disposable Income – Part 2  (Court Comment) Judge Kay Woods (N.D. Ohio) examines aspects of the continuing controversy surrounding disposable income in a two-part series. Part 1 (posted previously) reviews the approaches taken in Circuit decisions. Part 2 examines issues surrounding the IRS local standard deduction.

The Great Escape ... for Debtors  (Debtor Comment) This thoughtful article examines whether a change in a debtor's post-petition circumstances can also change a previously established Applicable Commitment Period.

Projected Disposable Income – Part 1  (Court Comment) Judge Kay Woods (N.D. Ohio) examines aspects of the continuing controversy surrounding disposable income in a two-part series. Part 1 reviews the approaches taken in Circuit decisions. Part 2, which will be posted next week, examines issues surrounding the IRS local standard deduction.

Reviewing Mortgage Proofs of Claim in Consumer Chapter 13  (Debtor Comment) Richard West, an attorney representing debtors, provides a step-by-step, practical approach to reviewing and resolving a real estate mortgage proof of claim.

Be Good At What You Do Often  (Court Comment) Judge Gorman's perceptive article reminds debtor attorneys of the practical importance of a thoughtful and comprehensive fee agreement together with the appropriate disclosure under Rule 2016(b). This article is certainly worth reading.

Litigation In Bankruptcy Court – It Can Be A Trying Ordeal, Part 3: Trial Issues – Documents  (Court Comment) The third article in this series considers the importance of Documents in bankruptcy litigation and offers some suggestions in connection with their introduction as evidence.

An Alternative to Foreclosure and Eviction  (Court Comment) In this extremely thoughtful article Judge Morris Stern ( N.J.) proposes a program, which, subject to state law availability, could provide beneficial options for mortgage creditors and debtors. Chapter 13 would be able to provide the necessary "environment" in which the involved parties could determine and implement such options.

Litigation In Bankruptcy Court – It Can Be A Trying Ordeal, Part 2: Introduction Of Evidence And Presentation Of Witnesses  (Court Comment) The possibility of an evidentiary hearing is always present in a chapter 13 case. This article is the second in the series suggesting an approach intended to be helpful for any attorney engaged in litigation in the bankruptcy court.

Hey, I've Got An Equitable Lien!   Can I Buy A Cup Of Coffee With It?  (Court Comment) Judge Marlar discusses how a creditor with an equitable lien under state law may not receive any payment in a chapter 13 case.

The Help Which Did Not Happen  (Court Comment) Judge Small discusses the recent legislation, which failed to pass the Senate, and the role of chapter 13 trustees in the wake of that failure.

A Creditor Counsel's Perspecitve On Notice  (Creditor Comment) This focused article reviews the continuing significance of proper notice in connection with chapter 13 issues.

The Automatic Stay and Starter Interrupt Devices  (Trustee/Debtor Comment) The authors explore cases in which an innovative technology (creditor controlled automobile starter interrupt device) clashes with an established automatic stay principle (relief from the stay required to exercise control over property of the debtor or the estate).

Litigation In Bankruptcy Court: It Can Be A Trying Ordeal – Part 1  (Court Comment) The possibility of an evidentiary hearing is always present in a chapter 13 case. Judge Waldron begins a series of articles — Litigation in Bankruptcy Court: It Can Be A Trying Ordeal — discussing a helpful approach to such litigation.

Judicial Conference Advisory Committee Rules of Bankruptcy Procedure Proposes New Rule Governing Mortgage Servicing in Chapter 13 Cases  (Court Comment) Judge Eric L. Frank, a former member of the Judicial Conference Advisory Committee on Bankruptcy Rules, provides a thorough discussion of proposed Rule 3002.1, which could have a significant impact on procedures involving residential mortgage proofs of claims. This article provides a focused discussion of Proposed Rule 3002.1, which will be subject to public comment beginning in August, 2009 and would provide a basis for informed comments.

Mortgage Modifications in Chapter 13 — A Remedy For These Times  (Debtor Comment) John Rao and Geoff Walsh offer a thorough and detailed examination of mortgage modification in chapter 13 where although Congress is considering lifting the ban on § 1322(b)(2) home mortgage modifications, this article highlights areas where modification is viable even under current law, and addresses the procedure to bring the matter before the court and ways to maximize modification rights.

Asserting The Fifth Amendment: A Trustee's Perspective  (Trustee Comment) Recognizing that the 341 meeting is a significant legal event, with consequences which could potentially lead to criminal charges, Kathleen A. Laughlin provides a chapter 13 trustee's perspective on the assertion of Fifth Amendment claims.

Getting Out Of The Disposable Income Box  (Court Comment) Judge Dow presents, in connection with the complicated and confusing area of disposable income, a comprehensive and cogent analysis of the dominant issues and approaches. This is an article worthy of the attention of everyone attempting to understand current chapter 13 practice.

Court Removal of Chapter 13 Trustees  (Court Comment) The bankruptcy court rremoval, sua sponte, of a chapter 13 trustee presents many issues. Judge Kressel is a member of the 8th Circuit BAP Panel which issued Morgan v. Goldman (In re Morgan), 375 B.R. 838 (B.A.P. 8th Cir. 2007). The BAP decision has been argued and is awaiting a determination from the 8th Circuit Court of Appeals.

One Trustee's Opinion  (Trustee Comment) Chapter 13 trustees must prepare for the immediate impact of any new legislation. Cleve Reding wisely warns of some of the consequences of any new legislation authorizing bankrupt courts to modify previously protected home mortgages.

Filing Adversary Complaints to Recover Funds for the Bankruptcy Estate  (Trustee Comment) Tracy L. Schweitzer, Staff Counsel To Henry E. Hildebrand, III, Chapter 13 Trustee Nashville, Tennessee, examines the use of adversaries by Trustees as asset recovery tools.

Why Can't We All Just Get Along?  (Creditor Comment) Michael J. Stauber asks, “Why can’t we all just get along”? in an article containing suggestions for working successfully with creditor counsel.

Chapter 13 Trustee Considerations For Mortgage Modification Legislation  (Trustee Comment) Chapter 13 trustees will have significant changes to consider in connection with the new legislation. Tracy Schweitzer's thoughtful article provides some suggested concerns.

The First Step: Understanding Some Common Foreclosure Terms  (Creditor Comment) Kristin A. Schuler-Hintz helps the distressed homeowner understand some of the terms and options when facing foreclosure.

The Debtors’ Bar Anticipation and Preparation for the Passage of “Helping Families Save Their Homes in Bankruptcy Act of 2009”  (Debtor Comment) It’s not too early to prepare for the new legislation. Lori Patton, an attorney representing debtors, offers some helpful suggestions.

Retaining the Expensive Home: In re Namie  (Trustee Comment) James M. Wyman, who is the chapter 13 Trustee, in Charleston, S.C. and Beth G. Renno, who is his staff attorney, are the co-authors of this article, which examines the issue of whether a particular house may be too much house in a chapter 13 plan.

Why Everyone In Las Vegas Is Stripping Off (Second and Third Mortgages)  (Debtor Comment) Too much mortgage - too little house. If you encounter this situation, this article emphasizes how valuation is key to providing a debtor with options.

Planning for Attorney Disability or Death Judge Pat E. Morgenstern-Clarren (N.D. Ohio) offers compelling thoughts on the seldom considered ethical, best practice and personal implications of the disability or death of an attorney with a chapter 13 practice. This is an article well worth reading and, more importantly, following with appropriate action.

In re Royal: Defining Projected Disposable Income Post-BAPCPA  (Trustee Comment) Keisha Hooks, staff attorney for Chapter 13 Trustee, Marilyn O. Marshall (N.D. Ill.), provides an analysis of a bankruptcy court decision addressing the complicated question of “projected disposable income”.

Who Pays The Mortgage?  (Court Comment) Judge McManus examines the 9th Circuit’s Lopez decision and the related legal issues in connection with the “debtor pay/trustee pay” controversy surrounding ongoing mortgage payments during the life of a chapter 13 case.

Chapter 13 and Mortgage Workouts   (Court Comment) Chapter 13 provides a cost-efficient and procedurally-fair way of monitoring performance of work-out agreements.

Bankruptcy Courts after the Financial Tsunami  (Court Comment) Even before Senator Dodd’s recent introduction by of S. 3690, proposing a modification of 11 U.S.C 1322(b)(2), Judge Basil Lorch points out the contributions the bankruptcy courts could make to assisting the home mortgage component of the national economic crisis.

Vehicle Creditor Review of Indirect Plan Distribution  (Creditor Comment) Preserving the automobile creditor's rights to payment and adequate protection.

Court Collaboration With Chapter 13 Trustees And UST  (Court Comment) Working together works best.

Judge Gorman inquires – “Just what are we doing here?”  (Court Comment) This article considers the importance of assessing, and continually reassessing a client’s goals in a chapter 13 case.

Motor Vehicle Trade-In: "Negative Equity" and the Hanging Paragraph  (Debtor Comment) This article examines the issue of negative equity, particularly in connection with the Eleventh Circuit’s determination of this issue.

Some Thoughts and Experiences on the Paperless Office  (Trustee Comment) Stepping through the steps to a Chapter 13 Trustee's Paperless Office.

Chapter 13 Myths: A Bankruptcy Judge dispels some common myths about Chapter while offering great advice to debtors or potential debtors.

Past Comments

Judge Gerling observes: If it ain’t broke, don’t fix it. (Court Comment); The Face of Chapter 13 (Debtor Comment); Discriminating Against Non-Priority Unsecured Claims (Trustee Comment); Chapter 13: It Works (Court Comment); Veterans' Benefits (Trustee Comment); Proof of Claim Best Practices (Creditor Comment); Good for the Goose? (Debtor Comment); A Bankruptcy Judge Comments on Proofs of Claim (Court Comment); Chapter 13 Audits: All Bark and No Bite? (Debtor Counsel); Loss Mitigation in the Changing Mortgage Market (Creditor Counsel); Business Expenses and CMI (Trustee Comment); Why Can't We Get Quicker Answers? (Court Comment); 401(k) Loans: More Than Meets The Eye (Trustee Comment); The Case for Conduit Mortgage Payments (Debtor Counsel); Loss Mitigation in Home Retention (Creditor Counsel).