by Devin Sawdayi | May 18, 2015
The story of a film producer who finds himself in a range of financial difficulties after poor performance at the box office is not unique to Los Angeles, but Hollywood probably gives this region more examples of this tale than most cities. One producer’s story,...
by Devin Sawdayi | May 11, 2015
A California bankruptcy court recently ruled on a motion to lift the automatic stay in a Chapter 13 case by a company that purchased real property at a foreclosure auction. In re Richter, No. 6:14-bk-10231, mem. dec. (Bankr. C.D. Cal., Jan. 20, 2015). The purchaser...
by Devin Sawdayi | May 5, 2015
A creditor objected to the discharge of a judgment for damages against the debtor in a Chapter 7 bankruptcy case under 11 U.S.C. § 523(a)(6), which prohibits discharge of debts resulting from “willful and malicious injury by the debtor.” The bankruptcy court granted...
by Devin Sawdayi | Apr 27, 2015
A married couple claimed exemptions in several annuity contracts in their Chapter 7 bankruptcy case. The trustee objected under state law, arguing that the debtors were only allowed to exempt a maximum of $250 in monthly payments from the annuities. The court...
by Devin Sawdayi | Apr 22, 2015
A series of lawsuits, filed by a trustee as adversary proceedings in an ongoing bankruptcy case, seek the return of money paid by the debtor in allegedly fraudulent transfers. This type of proceeding is sometimes known as a “clawback” suit. The bankruptcy case, In re...
by Devin Sawdayi | Apr 12, 2015
When a debtor files for bankruptcy under Chapter 7 or Chapter 13, an automatic stay takes effect that bars most legal actions against the debtor or the debtor’s property. Violations of the automatic stay can result in substantial liability for the debtor. The Ninth...
by Devin Sawdayi | Apr 9, 2015
Federal bankruptcy law specifically excepts student loan debt from discharge, unless a debtor can meet the difficult burden of demonstrating “undue hardship” to themselves and their defendants. 11 U.S.C. § 523(a)(8). A recent decision from the Ninth Circuit Court of...
by Devin Sawdayi | Apr 8, 2015
A bankruptcy court ruled in favor of the Chapter 7 trustee in an adversary proceeding to deny a discharge. In re Clark, No. 12-00649, Adv. No. 13-06042, mem. dec. (PDF file) (Bankr. D. Id., Feb. 12, 2015). The trustee alleged multiple grounds under 11 U.S.C. § 727(a),...
by Devin Sawdayi | Jan 9, 2015
The Bankruptcy Code prohibits the discharge of debt in Chapter 7 cases if the debtor transferred property out of his or her own name, with fraudulent intent, less than one year before filing a petition. 11 U.S.C. § 727(a)(2)(A). This is known as a “lookback period.”...
by Devin Sawdayi | Dec 30, 2014
The trustee in a Chapter 7 proceeding has authority to recover property belonging to the bankruptcy estate from the debtor or another person or entity, even if they did not have “possession, custody, or control” of the property at the time the trustee sought recovery,...