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Archives for September 2014

Can a Debtor Establish “Undue Hardship” Despite the Availability of an “Income-Based Repayment” Program with No Payment Due in a Bankruptcy Proceeding?

Yes! As reported by Robin Miller of CBAR, affirming  In re Al-Riyami, 2014 WL 2800815 (Bankr. M.D. Ala., Jan. 6, 2014), the district court found no error in the bankruptcy court’s determination under Code § 523(a)(8) that requiring the debtor to repay her student loans would cause her undue hardship, even though, under an income-based…

What are the Factors in Determining Whether a Divorce Provision Constitutes Support or a Property Settlement?

As reported by Robin Miller of CBAR, a Florida Bankruptcy judge has helped to distinguish between a divorce support provision or a property settlement agreement. If the obligation was intended to be a support payment, then Appellant did not discharge the debt in bankruptcy. See 11 U.S.C. § 523(a)(5). If instead the obligation was intended to be a property…

Can a Debtor be Judicially Estopped from Prosecuting an Undisclosed Employment Discrimination Claim?

Yes. As reported by Robin Miller of CBAR, a Chapter 13 debtor was judicially estopped from prosecuting her employment discrimination claim where she obtained confirmation of her plan in her still-active bankruptcy case without disclosing either her prepetition Charge of Discrimination filed with the Florida Commission on Human Relations and the Equal Employment Opportunity Commission…