The process for perfecting a security interest in Kentucky is a two-step process involving two forms. Read more
The Dangers of Relying on the Automatic Termination of the Stay Revisited in Indiana
When the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) was passed in 2005 one of the provisions heralded was the automatic termination of the stay imposed by 11 U.S.C. §362 in certain conditions. One of those conditions involved repeat filings. However, a close reading of the statute calls into question the scope of the remedy. Read more
Do You Need To Return Property Taken Prior To A Bankruptcy Filing? U.S. Supreme Court Decides the Issue in City of Chicago v. Fulton
In a much anticipated ruling, the U.S. Supreme Court decided that the mere retention of estate property after the filing of a bankruptcy petition does not violate the automatic stay imposed by 11 U.S.C. §362(d)(3). Newly appointed Justice Barrett did not take part in the consideration of the case, nor the decision. Of the remaining eight Justices, seven joined the majority opinion authored by Justice Alito, while Justice Sotomayor filed a concurring opinion. In essence, this is a unanimous decision on the issue. City of Chicago. v. Fulton, Sup.Ct. No. 19-357, 592 U.S. ____, 2021 U.S. LEXIS 496 (Jan. 14, 2021). Read more
The CARES Act and Changes to the Bankruptcy Code
On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (CARES Act) was signed into law. The CARES Act is aimed at providing relief to small businesses and consumers impacted by the COVID-19 pandemic. The CARES Act contains several provisions that are related to bankruptcy and will be discussed below. Read more
Collecting Through the Bankruptcy Process
In 2005, Congress passed the Bankruptcy Abuse Prevention and Consumer Protection Act to amend the United States Bankruptcy Code (the “Act”). The changes made to the Act were designed to make it theoretically more difficult for people to file Chapter 7 Liquidation bankruptcy, forcing more filers into reorganization (repayment) through a Chapter 13 bankruptcy. While these changes had the intended effect in the short term, the 2007 financial crisis threw a wrench in the gears of Congress’s intent in amending the Act. According to the U.S. Bankruptcy Courts, the number of filings consistently increased from 2006 through 2011, and by 2010 had reached pre-2005 amendment levels. Since 2011, filings have steadily decreased. This decrease is good for both the economy and the collections industry, but as collection attorneys, knowledge of the Bankruptcy Act and Rules is necessary for a successful practice. Read more