Results of Bankruptcy Specialist Exam to be Mailed Today

SAN FRANCISCO, March 15, 2016 — The State Bar of California’s California Board of Legal Specialization reported today that 75 percent of the examinees passed the October 2015 Legal Specialist Examination. If the 551 people who passed the October 2015 exam satisfy the other requirements for certification, they will be able to hold themselves out to the public as certified specialists.

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cdcbaa Program – Intersection of Bankruptcy and Family Law – March 26, 2016

Central District Consumer Bankruptcy Attorney Association

Intersection of Bankruptcy and Family Law – March 26, 2016

SPEAKERS:

Honorable Ernest M. Robles
Bankruptcy Judge, Los Angeles Division

Patrick Green Read more…

Can the Debtor Violate the Automatic Stay?

From another listserve.  The debtor files – postpetition – a Motion to Vacate Judgment against him in state court.  He was the defendant in the state court case.  Is he violating the automatic stay?

My first reaction was to say – of course not.  The automatic stay in section 362(a) is actually pretty specific.   Read more…

Some Thoughts on Justice Antonin Scalia

This is a short article I wrote which was published on February 29, 2016 on the NACTT Academy website “Consider Chapter 13.”

Thoughts on Justice Antonin Scalia
by M. Jonathan Hayes
February 22, 2016

Antonin Scalia is a personal hero of mine.  He was not without flaws of course and I suspect that he and I would be on the opposite side of most issues, once the voting began.  I didn’t care for his taunting manner and his drive to get a laugh at the expense of attorneys arguing before the Supreme Court.  His dissents were sometimes embarrassing.  He sometimes all but called his colleagues morons.   I agree with other commentators that the predictability of his views lessened his influence with his colleagues.   Read more…

A Great Lesson From Prof. Stephen Bainbridge on Law School Exams

Law school exams, the bane of my existence.  This is such a good lesson from the blog UCLA Law Prof. Stephen Bainbridge.  Reprinted verbatim.

Exam drafting tips for a new law teacher

A former student who is now teaching securities regulation for the first time asked for some exam writing tips. FWIW, here’s what I came up with:

  • Don’t make it too complicated. You’ll get garbage back.
    • You could put students in a room with a window, ask them to describe the weather, and get a bell curve. So don’t make it too complicated.
  • Try to be fair. If you use three essays (typical) make sure they focus on three areas that ate up a lot of class time. Read more…

Learning from Antonin Scalia – The Story of the “Hapless Law Clerk”

I found this story by Justice Scalia’s former law clerk John Duffy on Scotusblog.  It discusses Scalia’s concurring opinion in Conroy v. Aniskoff (1993).  It contains a great lesson about the usefulness of legislative history.  The full article is here.

It seems there is a federal law somewhere that says that if a governmental agency forecloses on property, the redemption period (assuming there is one I guess), is extended or “tolled” by the amount of time the debtor is in the military.  Sounds good so far.  Who could be against that?  Some guy gets drafted or volunteers and schleps off to somewhere to defend freedom, he should get more time to redeem property being sold because he didn’t pay some tax.  Does the additional time however apply to a career military man?  In that case, the tolling period might be 30 years?  He just doesn’t have to pay his taxes until he retires?  That’s what happened in Conroy.  The Supreme Court ruled – 9-0 – that the code says what it says, that if it doesn’t make much sense, tell Congress.  The majority said that the language is clear – yes it’s tolled for whatever time the man is in the military.  The opinion then went on to explain that the ruling is justified by the legislative history.

Scalia separately concurred, taking the majority to task and giving us a nice lesson to remember, to wit – to hell with legislative history.    He writes, Read more…

Los Angeles County is Challenging the BAP’s Decision in Mainline Equipment

I have been advised that Los Angeles County has appealed the adverse decision in Mainline Equipment to the Ninth Circuit.  It has filed its opening brief and the responsive brief should be coming in the next few weeks absent any extensions.  Obviously, the county disagrees with Judge Brand’s decision but we’ll see what happens.  It seems to me that the tax is still a priority debt and must be paid in full with interest (which is 18% at the present time) so it really only matters if the debtor is trying to sell the property free of the county’s lien.

My brief of the BAP decision is below: Read more…

Simplify the Tax Code by Reducing the Brackets? Give me a Break.

When I was in law school in the 70s, I took a tax class.  I still have the Internal Revenue Code I purchased for the class.  It is a small paperback of a few hundred pages – even then basically unreadable.  Today the code is thousands of pages – it is at least a few thick volumes.  The tax brackets take up two- three pages at most.  Once the taxable income is determined, it takes eighth grade math to compute the tax.  With fewer brackets, even if it is reduced to one, it would still probably take eighth grade math to compute the tax.

Will fewer brackets reduce the few thousand pages?  Of course not.  What are the few thousand pages anyway?  A portion is directed to how to figure the taxable income.  A portion is credits – special incentives offered to corps and others to supposedly motivate them to do stuff that the government essentially pays for.  But most of it is taxation of certain industries, certain income, certain different types of entities and special exceptions.   Read more…

Great Inn of the Court Program Last Night

Last night, team something discussed Motions for Summary Judgment at the Taix Restaurant.  Judge Barry Russell was an active speaker, as was Judge Neil Bason and Judge Robert Kwan.  The amount of effort Kathleen McCarthy put into setting it up was evident.  Judge Kwan commented that the Separate Statement of Undisputed Facts is hugely important to him.  I have wondered about that.  It is hugely important to the proponent to make sure the key facts needed to win are established with “undisputed facts,” but it’s nice to hear a judge say it is important to him as well.  Judge Russell commented that he sometimes reads the declarations first to see whether there is really sufficient “evidence” to establish anything.  He commented also that he personally reads the motions when they come in to determine if there is really some chance of success of the motion.  If not, he will not set it for hearing.

A few other helpful comments from the participants:  Number the objections, making it easier to make a clear record for the ruling.  THINK before making an objection, judges are not impressed by the boilerplate objections of everything in the motion.  Be sure to point to the specific page of a deposition transcript if you want the judge to read it.  A request for judicial notice simply authenticates the document, nothing else.  Granting MSJs are the most common reversals by the courts of appeals.

As to summary adjudication of facts, the judges seemed to have some doubts about the utility of that, mostly because if you are going to have a trial anyway, it might not be worth the effort.

The Inn is a good time.  Out of maybe 30-40 people in attendance, there were probably 4-5 trustees, three judges, and lots of experienced bankruptcy attorneys.  This is an especially great time for young lawyers to brush shoulders with us old folks.

April 2016 Dollar Adjustments were Posted Today

You can find the complete list here.   Notable changes for consumer lawyers:

  • Assisted Person is now someone with nonexempt property worth less than $192,450.
  • Chapter 13 Debtor debt limit: $394,725  secured and $1,184,200  unsecured.

These changes apply to cases that are filed on or after April 1, 2016.