Direct Mortgage Payments: Inside, Under, Or Outside The Plan

  Are post petition payments on the debtor’s mortgage “under the plan”? Not in the view of  one judge. Direct payments on a a residential mortgage loan are not “payments under the plan” for purpose of Bankruptcy Code § 1328(a), Thus Judge Thomas Perkins struck back at the cases that have used failure to maintain mortgage […]

Up Against The Wall(design)

Bankruptcy’s avoiding powers often turn otherwise unexceptional transfers on their heads. But who expected that an unsuspecting business would have to disgorge nine years of honestly earned payments because the customer paid with a check on his LLC? Welcome to the 9th Circuit’s decision in Walldesign. Paid with someone else’s money For nearly a decade,  […]

Brace Yourself

The 9th BAP’s Brace decision blew over everything we thought we knew about community property, joint tenancy titles, and the characterization of marital property. The storm warning is up.   Until the 9th Circuit rules on the pending appeal, bankruptcy lawyers in community property states in the 9th need to reevaluate their advice to to clients […]

Unfair Loan Modification Practices Rejected By 9th Circuit

  Promising a loan modification and failing to deliver, after pocketing trial mod payments, isn’t fair, said the 9th Circuit in Oskoui. And if it isn’t fair, it can be actionable under California’s Unfair Competition Law (B&P 17200). Not to mention constituting a breach of contract. Thus, there do seem to be some limits on […]