Yes – but only if the debtor can show “excusable neglect” they can amend their exemptions in a reopened proceeding. However, in a recent 10th Circuit case, the court held that a Chapter 7 debtors failed to establish that their failure to disclose a personal injury claim, which they subsequently settled for $8,000, was the result of excusable neglect. As a result, the previously undisclosed personal injury claim was not exempted from the bankruptcy estate because the Chapter 7 debtors failed to establish that their failure to disclose a personal injury claim,  was the result of excusable neglect. In re Mendoza, 584 B.R. 355 (Bankr. D. N.M., Jan. 31, 2018)

In a recent decision from the 10th Circuit, the court held that the bankruptcy estate’s interest in joint tenancy property terminated upon debtor’s death. When the Chapter 7 debtor died post-petition, the case continued under Bankruptcy Rule 1016 but the bankruptcy estate’s interest in jointly owned property owned by the debtor and his non-filing wife in joint tenancy terminated. As a result, the non-filing spouses becomes the sole owner of the property. Under Colorado law, when a joint tenant dies, his or her interest in the property is terminated, and the surviving joint tenant’s interest in the property continues free of the deceased joint tenant’s interest. Moreover, Colorado law expressly provides that the filing of a bankruptcy petition does not sever a joint tenancy. In…

The dissolution of a marriage is not subject to the automatic stay pursuant to Code § 362(b)(2)(A)(iv). Child custody determinations are not subject to the automatic stay pursuant to § 362(b)(2)(A)(iii). Child support determinations are a domestic support obligation and so are not subject to the automatic stay pursuant to § 362(b)(2)(A)(ii). Alimony is a domestic support obligation and again is not subject to the automatic stay pursuant to § 362(b)(2)(A)(ii). On the other hand, the division of estate property is subject to the automatic stay, as specified in § 362(b)(2)(A)(iv). To the extent that certain property was properly exempted, it is no longer property of the estate. In re Pence, 581 B.R. 654 (Bankr. D. Utah, Feb. 14, 2018)

Reliable facts and recent reports show that parents are spending billions on adult children. It’s getting very expensive for American parents to support their adult child. Parents are spending $500 billion per year to support their adult children. That number represents twice the amount parents are spending on their own retirements. More alarmingly, one in four people living in a household are not working or going to school. Here are some suggestions for parents to move in the right direction: 1. Teach them money skills and how to manage money. 2. Understand the difference between helping and hurting your children. 3. Help your children in preparing their resume and then encourage them to get out and get any kind of job so that they can…

The Bankruptcy Court in Indiana denied the student loan creditor’s motion to compel arbitration of the debtor’s dischargeability proceeding under Code § 523(a)(8). The Roth court reasoned that the issue of dischargeability was a core matter and therefore the court had the discretion to not enforce the arbitration provision in the debtor’s promissory note if the court found that arbitration would conflict with the purposes and policies of the Bankruptcy Code. The court concluded that allowing an arbitrator to determine dischargeability created an inherent conflict with the Bankruptcy Code because it would remove an essential function of bankruptcy law from bankruptcy courts. Really, the court declared, it was more than inherent conflict. Allowing arbitration of dischargeability–the central purpose of the Bankruptcy Code–would effectively allow parties…

According to the Financial Industry Regulatory Authority (FINRA) By-Law, Article III, Section 4, filing for bankruptcy is not an event that would disqualify an individual from being associated with a FINRA member firm. Some states are more restrictive than others. According to Attorneys Worwag and Malysz of Des Plains, Illinois, since all individuals are entitled to bankruptcy relief, professional licenses, such as those held by CPAs, real estate agents, and medical According to the Financial Industry Regulatory Authority (FINRA) By-Law, Article III, Section 4, filing for bankruptcy is not an event that would disqualify an individual from being associated with a FINRA member firm. Some states are more restrictive than others. According to Attorneys Worwag and Malysz of Des Plains, Illinois, since all individuals are…