California Lawyers Association

Case Updates

All case updates written and distributed by the CLA sections

The United States Court of Appeals for the Sixth Circuit (the “Court”), reversing the district court, recently ruled that a debtor who had discharged a mortgage loan had standing to assert a claim under the Fair Credit Reporting Act (FCRA or “the Act”) against a servicer who continued to report the discharged debt as past due, causing an artificially low credit score. Read more
The United States District Court for the District of Delaware has dismissed the post-foreclosure complaint of a secured lender on “D&O claims” allegedly acquired from a corporate borrower in a UCC foreclosure Read more
In NLG, LLC v. Horizon Hospitality Group, LLC (In re Hazan), ___ F.3d ___, 2021 WL 33907781 (11th Cir., Sept. 1, 2021) (“Hazan”), the United States Court of Appeals for the Eleventh Circuit (the “Court”) held the Bankruptcy Court’s judgment sustaining the adversary proceeding claims of the debtor Read more
Applying 7th Circuit precedent, a Bankruptcy Court in the Eastern District of Wisconsin (the “Court”) ruled that obligations of a debtor created by a personal guaranty Read more
Interpreting Ohio’s versions of two uniform acts, the Uniform Commercial Code (UCC) and the Uniform Fraudulent Transfer Act (UFTA), the Sixth Circuit Court of Appeals (the “Court”) ruled that an involuntary debtor’s payments to a lender under the parties’ revolving loan Read more
A recent Bankruptcy Court decision from the Western District of Washington (the “Court”) disagreed with a 2007 case from the Ninth Circuit Bankruptcy Appellate Panel (BAP) and a 2021 case by the Bankruptcy Court of the District of Idaho Read more
The Bankruptcy Appellate Panel for the Ninth Circuit (BAP) reversed a bankruptcy court decision that had ruled a debtor’s disclaimer of his interest in a trust was invalid because he had accepted the interest before he waived it, resulting in a claim for a fraudulent transfer by the trustee. Read more
The U.S. Bankruptcy Court for the Southern District of New York held that fraudulent transfer and turnover claims are “core” non-arbitrable claims and denied a motion to compel arbitration as to those claims. Read more
In re Heard, 2021 WL 3540412, (Bankr. D. Or. 2021) is a case in which a loan servicer mistakenly filed on inaccurate change notice in a Chapter 13 case Read more
Court affirmed award of attorneys' fees to third party beneficiaries of a contract with a prevailing party clause (Fee Applicants) after dismissal of a cross-complaint against them despite the fact that Fee Applicants were not parties to the contract and the award was based on tort, not contract claims. Read more

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