Chapter 7
New Bankruptcy Court Ruling on Minnesota Health Care Savings Accounts
Minnesotans who file for chapter 7 bankruptcy need to take care that their health care savings accounts are not lost to the bankruptcy trustee, due to a recent decision of the federal Bankruptcy Appellate Panel. In this case, Leitch v. Christians, No. 13-6009 (8th Cir. BAP July 16, 2013), the appeals court upheld a ruling by Minnesota…
Read MoreMinnesota’s Bankruptcy Judges Enact Rule Governing Chapter 13 Lien Stripping
Just seven months after the federal appeals courts upheld the right of chapter 13 debtors to strip off a completely unsecured second mortgage on homestead real estate (in a case litigated by Craig Andresen), Minnesota’s four bankruptcy court judges enacted Local Rule 3012-1, which sets forth the procedure for lien stripping. This action demonstrates the…
Read MoreEighth Circuit Appeals Court Ruling Preserves Lien Stripping in Chapter 13 Bankruptcy Cases
The U.S. Court of Appeals issued its ruling in In re Fisette, 695 F. 3d 803 (8th Cir. 2012), saying that the manner in which the trustee’s appeal was presented was improper. The Eighth Circuit’s action has the effect of leaving undisturbed the Bankruptcy Appellate Panel’s opinion establishing lien stripping in Minnesota and the other states…
Read MoreFHA Says You Can Qualify for a Mortgage Two Years After Filing Bankruptcy
It seems everyone knows that you can’t get a mortgage after filing for bankruptcy, or that bankruptcy will forever ruin your credit, or that you will never again be able to finance the purchase of a new car if you file bankruptcy. On the other hand, everyone seems to know you have to wait ten years…
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