Last Case Roundup before Reform

Objections to claim governed by R.3007

In re State Line Hotel, Inc. (9th Cir. BAP 2005)

Service of claim objections are not governed by Rule 9014, as a more specific Rule (3007) "otherwise giverns" this subject. Rule 3007 requires an "objection" rather than a "motion," and requires "notice" rather than "service."When the debtor listed a law firm on her proof of claim firm as the person to receive notices, that listing was the appointment of the law firm as an agent to receive process.

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Trustee's objection to retirement fund exemption sustained

In re Davis (9th Cir. BAP 2005)

The bankruptcy court erred in finding that the trustee had failed to satisfy his burden of proof in objecting to the amount of a debtor's retirement fund exemption.

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Intent to decieve negated by Debtor's "honest belief"

In re Acosta (5th Cir. 2005)

An honest belief, even if unreasonable, that a representation is true and that the speaker has information to justify it does not amount to the "intent to deceive" element required for nondischargeability under 523(a)(2)(A).

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Pre-Petition fees of the Debtor's Attorney are dischargeable

Rittenhouse v. Eisen (6th Cir. 2005)

Pre-petition fees incurred in connection with preparation of a bankruptcy case are dischargeable.

NB: part of a growing trend holding that balance of fees owed to the attorney as of date of filing is discharged, and any attempt by the Attorney to collect post-petition is a violation of the automatic stay. Thus, attorneys who advertise "no up-front fee" to file, and those who ask for only a portion of the fee up-front, will be at risk of attempting to collect fees after the case is filed.