Retirement repayment not an allowable means test expense: majority of courts that have considered whether debtors are allowed deductions for loan repayments on their retirement savings plans have found that no such deduction should be allowed.
New case MAY affect retirement deductions in the means test in South Carolina. “the remaining issue is whether sections 541(b)(7) and 1322(f) impact the outcome of an ability to pay analysis under section 707(b)(3)(B).That said, an ability to pay analysis under section 707(b)(3)(B) is generally considered within the context of a hypothetical chapter 13 case.… Read More »Retirement deductions in the Chapter 7 means test in South Carolina.
11 U.S.C. §523(a)(15) In relevant part, §523(a)(15) provides: A discharge under Section 727… of this title does not discharge an individual from any debt… to a spouse, former spouse or child of the debtor and not of the kind described in paragraph (5) that is incurred by the debtor in the course of a divorce… Read More »Alimony, maintenance, or support
Interim Rules Adopted to accommodate the Small Business Reorganization Act of 2019 Redline Rule Changes $2.725 million or less of business debt may reorganize under a new subchapter of Chapter 11 that eliminates some of the most cumbersome aspects of Chapter 11. Eliminates the absolute priority rule. Allowing individuals to retain non-exempt assets, and business… Read More »Small Business Reorganization Act of 2019
The HAVEN Act excludes VA and DoD disability payments from the monthly income calculation used for bankruptcy means testing.https://www.va.gov/pension/veterans-pension-rates/
Copely v United States In this May 2020 upset case for Debtor’s attorney’s throughout the 4th Circuit, the Court allowed IRS set off against Debtor’s tax refund (overpayment) vacating the District Court’s Opinion, which upheld the bankruptcy Court’s Opinion stating as well settled 4th circuit law that the IRS could not seize (“set off”) a… Read More »Court allowed IRS set off against Debtor’s tax refund
In re Jones, 591 F.3d 308 (4th Cir. 2010) SECTION 37-5-109. Default. An agreement of the parties to a consumer credit transaction with respect to default on the part of the consumer is enforceable only to the extent that: (1) the consumer fails to make a payment as required by agreement; provided, with respect to a… Read More »Reaffirmation, Case Law and the SC Consumer Protection Code
Attorney’s fees distribution upheld when plan remained unconfirmed: https://www.scb.uscourts.gov/sites/default/files/opinions/Judge%20Waites/opn_84_18-05885_637297154136560503.pdfSCLBR 3070-1(b)(2) & §1326(a)(2)
SC Bankruptcy Court reviews “unfair discrimination” re: student loans paid outside of the Chapter 13 Plan
Court denies confirmation and dismissing case finding that Debtor did not file Chapter 13 Plan in good faith due to ” errors and inconsistencies. Debtor has taken inherently inconsistent positions between herpetition, schedules, statements and her testimony at her deposition and before the Court.