Consumer Bankruptcy

John W. Lucas, Moderator Pachulski Stang Ziehl & Jones LLP; San Francisco Judicial Debate Resolved: The “disinterestedness” requirement should be strictly enforced under § 327 (no waivers or ethical walls). Pro: Hon. Randall L. Dunn U.S. Bankruptcy Court (D. Or.); Portland Con: Hon. Madeleine C. Wanslee U.S. Bankruptcy Court (D. Ariz.); Phoenix Business Debate Resolved: Acceleration of a debt obligation under a credit agreement should act to prevent the lender from enforcing a prepayment premium Pro: Lori Sinanyan Jones Day; Los Angeles Con: Michael H. Strub, Jr. Irell & Manella LLP; Newport Beach, Calif. Consumer Debate Resolved: Attorneys should be permitted to unbundle services under an engagement agreement with a consumer debtor. Pro: Samuel A. Schwartz The Schwartz Law Firm, Inc.; Las Vegas Con: John R. Bollinger Boleman Law Firm, P.C.; Hampton, Va.

May a trustee make a distribution to a secured creditor that has not filed a proof of claim? Should trustees or debtors file surrogate claims if secured creditors have not? Does a debtor’s failure to make post‐petition payments to a creditor defeat the debtor’s eligibility for a discharge? This panel will address the emerging case law on whether direct post‐petition payments as required by the plan are considered “payments under the plan” as contemplated by § 1328(a), the growing complications that may arise from a secured creditor’s not filing proofs of claim, and the impact of proposed rule changes on these hot issues.

This panel will explore the question of whether exemptions may be denied for bad faith and whether debtors may amend their claimed exemptions to assert a different statutory basis after an exemption has been denied, including the impact of potential res judicata and collateral estoppel claims. Case law developments since Law v. Siegel will be reviewed, as well as important strategic considerations for debtors, trustees and creditors.

Disclosing assets and verifying a debtor’s information is the calling card of any conscientious debtor’s counsel. But how do the rules governing professional responsibility interplay with debtor’s counsel’s obligations under the Code? A real housewife in New Jersey recently blamed her attorney for her prison sentence following her guilty plea for bankruptcy fraud. Did her attorney commit an ethical violation? This panel will examine the record behind this headline-making case, as well as other recent bankruptcy court decisions that examine the ethical conduct and obligations of debtor’s counsel.

Mortgage Regulation Update: New “Qualified Mortgage” and Ability-to-Pay Regulations, and Loan Servicing/Loss-Mitigation Regulations Practitioners can get up to speed on the new “Qualified Mortgage Rule” (the “QM”) and the ability-to-pay regulations to prepare for future mortgage claim disputes. This panel will discuss the changes to TILA and RESPA, as well as the new Consumer Financial Protection Board (CFPB) regulations on mortgage servicing.

11This panel will discuss practical considerations in addressing wholly unsecured junior mortgages, determining the amount of senior mortgages, timing of valuations and the burden of proof.

Student loan debt has created a significant and growing national economic crisis. This panel will explore dischargeability issues and also discuss how student loan debt affects all of us – even those without student loans to pay off

This panel will focus on the possible consequences of ASARCO, Wellness, and Bank of America v. Caulkett

This two-part panel will cover a potpourri of current hot topics being litigated in chapter 7 and 13 cases, with a special focus on LVNV v. Crawford and related litigation, consumer protection (including the basics of credit reporting and regulatory actions), mortgage modifications and post-discharge actions, and the UST’s enforcement activities.