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April 2022 saw courts dish out two big penalties for Bankruptcy Fraud. In April 2022, over in the UK, former tennis great Boris Becker was sentenced to two-and-a-half years in prison for bankruptcy fraud: hiding $3 million in assets during his case. Becker had landed bankruptcy in the UK back in 2017, because of a […]
The post Penalties for Bankruptcy Fraud by Robert Weed appeared first on Northern VA Bankruptcy Lawyer Robert Weed.
In 2009, the District Court of the Southern District of Texas upheld the Bankruptcy Court's decision refusing to recognize of the foreign bankruptcy pending in Israel in the case of In re Lavie, ___ B.R. ___, 2009 WL 890387 (S.D. Tex. 2009).
In 1997 involuntary bankruptcy proceedings were initiated in Israel against Yuval Ran and Zuriel Lavie was appointed temporary receiver and later in 1999, the trustee of Ran's bankruptcy estate. In 1997 Ran moved to Houston, Texas. In 2006, the Israeli trustee Lavie filed a petition seeking recognition of the Israeli bankruptcy proceeding as a foreign main or foreign nonmain proceeding under chapter 15 of the U.S. bankruptcy code. The bankruptcy court denied Lavie's petition and the appeal therefrom was remanded to the bankruptcy court for further findings. On remand, the bankruptcy court declined to recognize the Israeli bankruptcy proceeding as either a foreign main or foreign nonmain proceeding. Lavie further appealed the bankruptcy court's decision.
The court reviewed that chapter 15 of the bankruptcy code was designed to optimize disposition of international insolvencies by facilitating appropriate access to the U.S. bankruptcy courts by a representative of an insolvency proceeding pending in a foreign country. Under section 304 of the bankruptcy code, which was chapter 15's predecessor, relief to foreign representatives was generally based on subjective factors and comity. In contrast, under chapter 15 the courts are given objective statutory guidelines as to whether to "recognize" the foreign proceeding.
A foreign proceedings can be a main proceeding, a non-main proceeding, or a foreign proceeding that is neither main nor non-main. A foreign proceeding must be recognized as main or non-main in order to be recognized and for chapter 15 relief to be granted. A foreign main proceeding is a foreign proceeding pending in the country where the debtor has the center of its main interest ("COMI"). The habitual residence of an individual person is presumed to be his COMI, but this presumption can be rebutted. Other factors recognized by the court in In re Loy were the location of the debtor's primary assets, the location of the majority of the debtor's creditors, and the jurisdiction whose law would apply to most disputes. In re Loy, 380 B.R. 154, 162 (Bankr. E.D. Va.2007). The court noted that European courts generally find that an individual's COMI is his habitual or permanent residence. A foreign court's determination that its jurisdiction is the debtor's COMI does not bind a U.S. court, but chapter 15 requires the U.S. court to make an independent finding at the time of the filing of the petition for recognition rather than at the time the foreign insolvency proceedings were initiated in the foreign court.
A foreign nonmain proceeding is a foreign proceeding, other than a foreign main proceeding, pending in a country where the debtor has an establishment 11 U.S.C. section 1502(5). An establishment is defined as "any place of operations where the debtor carries out a nontransitory economic activity." The existence of an establishment is a factual question with no presumption in its favor. The court held that although chapter 15 does not explicitly detail the relevant time period for the determination of whether there is an "establishment, " the use of the present tense in section 1502(2) implies that the determination should be made as of the time of the filing of the petition for recognition by the foreign representative under chapter 15.
The District Court upheld the Bankruptcy Court's denial of of recognition of the Israeli bankruptcy proceedings as a foreign main proceeding. The District Court also found that the pending Israeli insolvency proceeding not a foreign nonmain proceeding. The Court rejected the argument that the pending Israeli insolvency proceeding in and of itself was such an economic activity as to constitute an establishment necessary for a foreign nonmain proceeding. The Court held that the Israeli insolvency trustee's activities were as the agent of the bankruptcy estate and not as the agent of Ran.
The Court noted that although the recognition was denied, this did not affect any right the foreign trustee may have to sue in the U.S. to collect on his claim.Jordan E. Bublick - Miami Bankruptcy Lawyer - North Miami & Kendall Offices - (305) 891-4055 - www.bublicklaw.com
In 2009, the District Court of the Southern District of Texas upheld the Bankruptcy Court's decision refusing to recognize of the foreign bankruptcy pending in Israel in the case of In re Lavie, ___ B.R. ___, 2009 WL 890387 (S.D. Tex. 2009).
In 1997 involuntary bankruptcy proceedings were initiated in Israel against Yuval Ran and Zuriel Lavie was appointed temporary receiver and later in 1999, the trustee of Ran's bankruptcy estate. In 1997 Ran moved to Houston, Texas. In 2006, the Israeli trustee Lavie filed a petition seeking recognition of the Israeli bankruptcy proceeding as a foreign main or foreign nonmain proceeding under chapter 15 of the U.S. bankruptcy code. The bankruptcy court denied Lavie's petition and the appeal therefrom was remanded to the bankruptcy court for further findings. On remand, the bankruptcy court declined to recognize the Israeli bankruptcy proceeding as either a foreign main or foreign nonmain proceeding. Lavie further appealed the bankruptcy court's decision.
The court reviewed that chapter 15 of the bankruptcy code was designed to optimize disposition of international insolvencies by facilitating appropriate access to the U.S. bankruptcy courts by a representative of an insolvency proceeding pending in a foreign country. Under section 304 of the bankruptcy code, which was chapter 15's predecessor, relief to foreign representatives was generally based on subjective factors and comity. In contrast, under chapter 15 the courts are given objective statutory guidelines as to whether to "recognize" the foreign proceeding.
A foreign proceedings can be a main proceeding, a non-main proceeding, or a foreign proceeding that is neither main nor non-main. A foreign proceeding must be recognized as main or non-main in order to be recognized and for chapter 15 relief to be granted. A foreign main proceeding is a foreign proceeding pending in the country where the debtor has the center of its main interest ("COMI"). The habitual residence of an individual person is presumed to be his COMI, but this presumption can be rebutted. Other factors recognized by the court in In re Loy were the location of the debtor's primary assets, the location of the majority of the debtor's creditors, and the jurisdiction whose law would apply to most disputes. In re Loy, 380 B.R. 154, 162 (Bankr. E.D. Va.2007). The court noted that European courts generally find that an individual's COMI is his habitual or permanent residence. A foreign court's determination that its jurisdiction is the debtor's COMI does not bind a U.S. court, but chapter 15 requires the U.S. court to make an independent finding at the time of the filing of the petition for recognition rather than at the time the foreign insolvency proceedings were initiated in the foreign court.
A foreign nonmain proceeding is a foreign proceeding, other than a foreign main proceeding, pending in a country where the debtor has an establishment 11 U.S.C. section 1502(5). An establishment is defined as "any place of operations where the debtor carries out a nontransitory economic activity." The existence of an establishment is a factual question with no presumption in its favor. The court held that although chapter 15 does not explicitly detail the relevant time period for the determination of whether there is an "establishment, " the use of the present tense in section 1502(2) implies that the determination should be made as of the time of the filing of the petition for recognition by the foreign representative under chapter 15.
The District Court upheld the Bankruptcy Court's denial of of recognition of the Israeli bankruptcy proceedings as a foreign main proceeding. The District Court also found that the pending Israeli insolvency proceeding not a foreign nonmain proceeding. The Court rejected the argument that the pending Israeli insolvency proceeding in and of itself was such an economic activity as to constitute an establishment necessary for a foreign nonmain proceeding. The Court held that the Israeli insolvency trustee's activities were as the agent of the bankruptcy estate and not as the agent of Ran.
The Court noted that although the recognition was denied, this did not affect any right the foreign trustee may have to sue in the U.S. to collect on his claim.Jordan E. Bublick - Miami Bankruptcy Lawyer - North Miami & Kendall Offices - (305) 891-4055 - www.bublicklaw.com
Happy Earth Day, Texans! Texas is a beautiful state that we are lucky to call ‘home’. In order to protect our wonderful home, we need to make sure it is clean & taken care of.
Below are ways that Texans can do their part to help keep our home clean, both on Earth Day AND all year long.
Earth Day Celebrations
Earth Day Texas – Dallas
When: April 22-24, 2022
Where: Kay Bailey Hutchison Convention Center
Time: 10 am – 6 pm
Description: “The mother of all eco expos is held on three days and attracts thousands of visitors to Fair Park. Hundreds of exhibitors will be on hand, including environmental non-profits, businesses, academic institutions and government agencies aiming to raise the environmental consciousness of North Texans. There is also a full schedule of speakers, demonstrations and films at this free fest founded by Dallas philanthropist Trammell S. Crow.”
Website: https://earthx.org/activities/
Plant A Seed For Earth Day – Fort Worth
When: April 22, 2022
Where: Fort Worth Public Library
Time: 4 pm – 5 pm
Description: “At your library, you have a fun space for creativity and development. Bring and friend and learn how to care for it and see how a plant grows. As a destination for discovery, your Fort Worth Public Library is a location for learners of any age. This is a free event!” (Perfect for families!)
Website: https://newsroom.heb.com/event/plant-a-seed-for-earth-day-fort-worth-public-library/
Earth Day at Woodlawn Lake Park – San Antonio
When: April 23, 2022
Where: 1103 Cincinnati Ave. (Woodlawn Lake Park)
Time: 10 am – 2 pm
Description: “Celebrate Earth Day 2022 with San Antonio Parks and Recreation! This fun-filled event will feature over 50 environmental organizations, hands on family activities, free tree adoptions, engaging dance and musical performances, and lots more! Connect with representatives from local organizations whose work focuses on conservation, take a free Fitness in the Park class, and enjoy a healthy treat from one of our food vendors.”
Website: https://www.sanantonio.gov/ParksAndRec/News-Events/Earth-Day
Earth Day ATX 2022 – Austin
When: April 23, 2022
Where: Huston-Tillotson University
Time: 12 pm – 6 pm
Description: “Earth Day Austin is the largest sustainability event in Central Texas. On April 23, 2022, thousands from the Austin Area and beyond will come to learn about conservation and sustainable solutions, celebrate our love for the environment, and get connected to the best and most innovative green businesses and organizations. Your business or organization should be right in the center of it. With family and friends, attendees explore rich, in-depth programming, exciting new activities and engaging exhibitions that allow them to discover new connections to the environment and environmental issues. Inspired by their experiences and interactions, participants are empowered to make new sustainable choices that enhance their lives while helping the planet.”
Website: https://earthdayaustin.com/for-exhibitors-2-2/
____________________________________________________________________
Earth Day, Every Day!
Groundwork Dallas – Dallas
When: Every Saturday
Where: Event locations changing constantly. Click here for location.
Time: 9 am – 12 pm
Description: Join Groundwork Dallas every Saturday to help protect and clean Dallas!
Website: https://greensourcedfw.org/events/groundwork-dallas-parks-cleanup-volunteer-opportunity-dallas-every-saturday
Organize A Litter Cleanup – Fort Worth
When: Can be whichever date you choose
Where: Can be whichever location you choose
Time: Can be whichever time you choose
Description: “Keep Fort Worth Beautiful supports volunteers by providing them with trash bags and gloves, which helps in their efforts to clean litter and have a positive impact on their community. KFWB typically provides the following supplies for a standard two-hour cleanup:
- One bag per adult volunteer
- One bag per two youth volunteers
- Gloves for all volunteers
- Equipment to help any volunteers who are elderly or who have disabilities (available upon request)”
Website: Create your littler cleanup here: https://www.fortworthtexas.gov/departments/code-compliance/kfwb/initiatives/litter
San Antonio River Authority – San Antonio
When: Can be whichever date you choose
Where: Can be whichever location you choose
Time: Can be whichever time you choose
Description: “Every year, the San Antonio River Authority, City of San Antonio, Bexar County, other governmental agencies, and volunteers pull tons of trash out of area creeks and rivers. A piece of trash you see on the sidewalk in your neighborhood or on the ground at an area park will likely end up in a local waterway. You can help make a difference. Don’t let litter trash your river!”
Website: https://www.sariverauthority.org/trash-initiative/volunteer-toolkit
Keep Austin Beautiful – Austin
When: The 2nd Saturday of every month
Where: Event locations changing constantly
Time: Event times changing constantly
Description: “We inspire and educate all Austinites to volunteer together, beautify green spaces, clean waterways, and reduce waste every day. Keep Austin Beautiful empowers people to care for the environment by providing community resources, education, and volunteer opportunities.”
Website: Must register here per event: https://keepaustinbeautiful.org/volunteer-opportunities/
The post How Can Texans Celebrate Earth Day? appeared first on Allmand Law Firm, PLLC.
Cannot Overrule Prior Panel In McNeal v. GMAC Mortgage, LLC, 735 F.3d 1263 (11th Cir. 2012)(wholly underwater liens still avoidable in chapter 7) the 11th Circuit Court of Appeals was presented with the issue whether it could recede from its prior decision in Folendore v. Small Business Administration, 862 F.2d 1537 (11th Cir. 1989), in view of the subsequent Supreme Court decision in Dewsnup v.Timm, 502 U.S. 410 (1992). The Court held that it was bound to follow its decision in Folendore based on the "prior panel precedent" rule. Under the prior precedent rule, "a panel cannot overrule a prior one's holding even though convinced it was wrong." United States v. Steele, 147 F. 3d 1316 (11th Cir. 1998)(en banc).
Clearly Contrary Opinion RequiredThis article explains that the 11th Circuit in the case of Main Drug, Inc. v. Aetna U.S. Healthcare, Inc., 475 F.3d 1228 (11th Cir. 2007), held that “‘[w]ithout a clearly contrary opinion of the Supreme Court or of this court sitting en banc, we cannot overrule a decision of a prior panel of this court.’” To constitute and "overruling", the Supreme Court decision "must be clearly on point." Garrett v. Univ. of Ala. at Birmingham Bd. of Trs., 344 F.3d 1289, 1292 (11th Cir.) and "actually abrogate or directly conflict with, as opposed to merely weaken, the holding of the prior panel." In re Provenzano, 215 F.3d 1233, 1235 (11th Cir. 2000).
Applies Also to Decisions Based on State Law The Court in Broussard v. Souther Pac. Transp. Co, 665 F.2d 1387 (5th Cir. 1982) related that "[t]his rule applies with equal force to cases in which state law provides the substantive rule of decision" and that the Court is therefore bound by this Court's prior decisions on what is the law of a state in a diversity case." Provenzo noted that the "prior panel precedent" rule would also not apply if there was an overruling in an intervening case by the Florida Supreme Court.
Jordan E. Bublick - Miami Bankruptcy Lawyer - North Miami & Kendall Offices - (305) 891-4055 - www.bublicklaw.com
Cannot Overrule Prior Panel In McNeal v. GMAC Mortgage, LLC, 735 F.3d 1263 (11th Cir. 2012)(wholly underwater liens still avoidable in chapter 7) the 11th Circuit Court of Appeals was presented with the issue whether it could recede from its prior decision in Folendore v. Small Business Administration, 862 F.2d 1537 (11th Cir. 1989), in view of the subsequent Supreme Court decision in Dewsnup v.Timm, 502 U.S. 410 (1992). The Court held that it was bound to follow its decision in Folendore based on the "prior panel precedent" rule. Under the prior precedent rule, "a panel cannot overrule a prior one's holding even though convinced it was wrong." United States v. Steele, 147 F. 3d 1316 (11th Cir. 1998)(en banc).
Clearly Contrary Opinion RequiredThis article explains that the 11th Circuit in the case of Main Drug, Inc. v. Aetna U.S. Healthcare, Inc., 475 F.3d 1228 (11th Cir. 2007), held that “‘[w]ithout a clearly contrary opinion of the Supreme Court or of this court sitting en banc, we cannot overrule a decision of a prior panel of this court.’” To constitute and "overruling", the Supreme Court decision "must be clearly on point." Garrett v. Univ. of Ala. at Birmingham Bd. of Trs., 344 F.3d 1289, 1292 (11th Cir.) and "actually abrogate or directly conflict with, as opposed to merely weaken, the holding of the prior panel." In re Provenzano, 215 F.3d 1233, 1235 (11th Cir. 2000).
Applies Also to Decisions Based on State Law The Court in Broussard v. Souther Pac. Transp. Co, 665 F.2d 1387 (5th Cir. 1982) related that "[t]his rule applies with equal force to cases in which state law provides the substantive rule of decision" and that the Court is therefore bound by this Court's prior decisions on what is the law of a state in a diversity case." Provenzo noted that the "prior panel precedent" rule would also not apply if there was an overruling in an intervening case by the Florida Supreme Court.
Jordan E. Bublick - Miami Bankruptcy Lawyer - North Miami & Kendall Offices - (305) 891-4055 - www.bublicklaw.com
2022 AV Preeminent Attorney - Judicial Edition View online 
See My Award Your 2022 AV Preeminent Attorney - Judicial Edition is a testimony to your excellence. Displaying it lets everyone know.
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Or call us: 866-964-0866 Congratulations James Shenwick on your selection to 2022 AV Preeminent Attorney - Judicial Edition Martindale-Hubbell has named you in their 2022 AV Preeminent Attorney - Judicial Edition...what an accomplishment. Well Done! Your AV Preeminent Rating® is proof of excellence... a tremendous endorsement by both your peers and the judiciary. Hanging on your wall, placed on your desk, on display in in your waiting area and on your letterhead it's sure to impress... Your awards set you apart from all the competition. They validate. They build confidence and trust. They grow your business! Put them on display now and show your customers just how good you are.
Education Loans Can Be Discharged in Bankruptcy
Busting myths about bankruptcy and private student loans
By Robert G. Cameron – APR 12, 2022 (Reprint from Consumer Financial Protection Bureau “www.CFPB.gov”. The following is an excerpt from Mr. Cameron’s article.)
What is behind the perception that student loans cannot be discharged in bankruptcy? It is true that it can be more difficult to discharge many student loans than other types of unsecured debt; the Bankruptcy Code provides a more difficult test for relief (a showing of “undue hardship”) and an extra step in the process (an “adversary proceeding,” essentially a lawsuit within the bankruptcy). However, some borrowers may not realize that discharge is still possible even under that standard and extra step.
Importantly, some loans that borrowers may think of as “private student loans” are not subject to that standard and extra step. Instead, some private loans for educational purposes can be discharged in a normal bankruptcy proceeding, just like most other consumer debts.
For example, several types of loans associated with education expenses are dischargeable in bankruptcy, like most other types of unsecured consumer debt. These types of loans for education expenses are not subject to the more difficult standard and extra step. These loans could include, for example:
- Loans where the loan amount was higher than the cost of attendance (such as tuition, books, room, and board), which can occur when a loan is paid directly to a consumer.
- Loans to pay for education at places that are not eligible for Title IV funding such as unaccredited colleges, a school in a foreign country, or unaccredited training and trade certificate programs.
- Loans made to cover fees and living expenses incurred while studying for the bar exam or other professional exams.
- Loans made to cover fees, living expenses, and moving costs associated with medical or dental residency.
- Loans to a student attending school less than half-time.
Complaints That Discharge Orders Are Being Violated
Consumer complaints raise serious questions about whether student loan companies are violating discharge orders—meaning they’re unlawfully collecting on loans even after a borrower has been through bankruptcy.
Has Your Loan Been Discharged?
If you have been through bankruptcy and have private student loan debt that is still being collected, consider the following questions:
- Did you take out the loan for educational expenses solely for the cost of attendance (tuition, books, room, and board) or did you take out a loan that was higher than the costs of attendance? If your loan was greater than cost of attendance, your loan might have been discharged.
- Did you take out the loan to pay for education at an unaccredited school, a school in a foreign country, or unaccredited training and trade certificate programs? If so, your loan might have been discharged.
- Did you take out the loan for fees or expenses related to studying for a professional exam? Or the cost of the board examination or fees, moving, and living expenses for a medical or dental residency? If so, your loan might have been discharged.
- When you took out the loan, were you in school less than half-time? If so, your loan might have been discharged.
Read the rest of the article.fusion-imageframe.imageframe-1{ margin-top : 15px;margin-left : 15px;}
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- Don’t Fall Into a Student Loan Relief Scam
- 10 Things You Need to Know Before Filing Bankruptcy
- Seniors Saddled with Student Loans
- Do Student Loans Debts Die With You?
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The post Busting myths about bankruptcy and private student loans appeared first on Diane L. Drain - Phoenix Arizona Bankruptcy Attorney.
ARIZONA IS ONE OF 2 STATES THAT WILL TAKE YOUR TAX REFUND IF THIS HAPPENS. SHOULD THE LAW CHANGE?
By RUSS WILES, Arizona Republic (reprinted for educational purposes only)
Tens of millions of Americans look forward to income-tax refunds as a way to pay down debt, buy necessities and otherwise get their finances back in order. For many people, refunds represent the largest one-time payment they will receive all year.
‘We’d use it to buy clothing, shoes and stuff the kids might need like school uniforms for the coming year,’ said Kyle Hebenthal, a 38-year-old truck driver who lives in Surprise with his wife, Suzanna, 36, and their two kids.
But Kyle and his family won’t receive their refund money this year.
Current state law precludes debtors like the Hebenthals from receiving tax refunds if they recently filed for bankruptcy before getting the funds. Arizona is one of just two states, along with Montana, that diverts refund money to creditors and for use in meeting bankruptcy-administration costs, said Chandler bankruptcy attorney Kenneth Neeley.
A bill before Arizona lawmakers, Senate Bill 1222, would change that by exempting federal tax refunds from the list of personal assets used to pay off debts. The legislation passed the Senate on a bipartisan vote and awaits a vote in the House.
Neeley, whose firm is representing the Hebenthals, said he supports the measure as a means to give debtors a fresh financial start. But critics contend the measure could mean fewer creditors, large and small, would be paid in full — if at all.
The two key types of federal tax breaks that drive up refunds for moderate-income taxpayers are the earned income tax credit and the child tax credit. The EITC, in particular, is viewed as a major federal anti-poverty program.
This tax break was claimed by 555,000 Arizona households in 2020, the most recent year for which the Internal Revenue Service has disclosed numbers. The average amount was $2,478.
Also, the IRS paid advance child tax credits averaging $462 to 795,000 Arizona households last year. The advance payments were a special program for 2021 designed to provide pandemic relief to households before they actually filed returns for the year.
A fresh start
The Hebenthals, who filed for Chapter 7 bankruptcy protection in January, said their financial woes mounted when they separated last year and she lost her job for about six months. The split ‘basically meant maintaining two households,’ she said.
Bankruptcy filings are designed to help people restart their financial lives by removing many types of debt. Those going through the process need a little money to get back on their feet, and that’s where tax refunds could help.
With ‘fresh start’ Chapter 7 proceedings, people filing for bankruptcy generally must turn over just one year’s tax refund, Neeley said. But in Chapter 13 debt-reorganization cases, debtors could lose their tax refunds for up to five years, he added.
‘Allowing families to keep these dollars means they can better afford basic everyday expenses like rent, groceries and gas,’ said state Sen. Sean Bowie, D-Phoenix, the prime sponsor of the legislation.
Neeley said he didn’t think the proposed bill is really a partisan issue, except when special interests get involved, citing banks and debt buyers who he said often purchase IOUs for pennies on the dollar and aren’t the original creditors.
When tax refunds are accessed by a bankruptcy trustee, roughly one-third of the money on average will go to pay court administration costs and the rest to reduce debts, he estimated.
But Marcus Osborn, a Scottsdale lobbyist representing Bankruptcy Trustees of Arizona, said the parties who could lose out if the bill becomes law include small landlords, various other small businesses and former spouses who might be deprived of child-support payments.
Most of the more than 130 parties that have noted their opposition to the bill on the Azleg. gov website are individuals, along with representatives of groups including the Arizona Free Enterprise Club and the Arizona Creditor Bar Association.
Supporters include various individuals and representatives of groups such as the Arizona Center for Economic Progress, the Arizona Council of Human Service Providers and Unidos US.
.fusion-body .fusion-builder-column-1{width:100% !important;margin-top : 0px;margin-bottom : 0px;}.fusion-builder-column-1 > .fusion-column-wrapper {padding-top : 0px !important;padding-right : 0px !important;margin-right : 1.92%;padding-bottom : 0px !important;padding-left : 0px !important;margin-left : 1.92%;}@media only screen and (max-width:980px) {.fusion-body .fusion-builder-column-1{width:100% !important;}.fusion-builder-column-1 > .fusion-column-wrapper {margin-right : 1.92%;margin-left : 1.92%;}}@media only screen and (max-width:640px) {.fusion-body .fusion-builder-column-1{width:100% !important;}.fusion-builder-column-1 > .fusion-column-wrapper {margin-right : 1.92%;margin-left : 1.92%;}}@media only screen and (max-width:980px) {.fusion-title.fusion-title-1{margin-top:15px!important; margin-right:0px!important;margin-bottom:0px!important;margin-left:0px!important;}}@media only screen and (max-width:640px) {.fusion-title.fusion-title-1{margin-top:10px!important; margin-right:0px!important;margin-bottom:10px!important; margin-left:0px!important;}}MUSINGS BY DIANE:
Russ Wiles, Arizona Republic, just wrote an article about destitute families losing the tax refunds (child tax credit and earned income tax credit) if they file for bankruptcy protection. Montana is the only other state that allows this money to be seized by the bankruptcy trustee. This money is desperately needed by families in order to buy necessities, pay rent, utilities or catch up on rent. There is a bill pending in the Arizona Legislation to protect these funds – SB 1222. It has passed the Senate on a bipartisan vote and awaits a vote in the House.
So what is the problem? Bankruptcy Trustees are fighting hard to kill the bill. Why do they care? Because the trustee takes 25% of whatever they seize from the families who have to file bankruptcy. See the Professional Fee Report from the Bankruptcy Court. (Excerpts below)
Sen. Sean Bowie, bill’s sponsor, says “Allowing families to keep these dollars means they can better afford basic everyday expenses like rent, groceries & gas.””
Chapter 7 Trustee or trustee’s attorney (not all inclusive)
Income for 2021
Dina Anderson
$330,696.54
Ryan Anderson (trustee attorney)
$530,968.82
David Birdsell
$277,169.73
Roger Brown
$150,194.12
Steven Brown (trustee attorney)
$475 740.85
Terry Dake (trustee attorney)
$825 805.01
Constantino Flores
$68,223.53
Jill Ford
$268,870.69
Maureen Gaughan
$390,656.34
Lothar Goernitz
$103,433.54
Eric Haley
$234,859.64
Stanley Kartchner
$395,244.60
Robert Mackenzie
$146,730.75
Dawn Maguire
$19,725.00
Anthony Mason
$95,348.36
Gayle Mills
$20,563.60
Brian Mullen
$142,226.07
Adam Nach (trustee attorney)
$579,461.98
Trudy Nowak
$257,666.29
David Reaves (includes very unusual distribution of $1,131,742.62. Normally his fees are never this high.)
$1,512,453.34
Bradley Stuart Rodgers
$348,898.11
Jim Smith
$99,277.46
Dale Ulrich
$220,465.04
Lawrence Warfield
$224,194.89
Theodore Witthoft
$202,369.01
Grand total collected from debtors in 2021
$12,472,975.56
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https://gothamist.com/news/future-of-nycs-iconic-yellow-cabs-looks-like-another-ride-hailing-appNew York City’s yellow cabs may operate and function more like their ride-hailing app competitors in the future, according to the Taxi and Limousine Commission’s strategic plan released late Friday.The agency said it wants to roll out shared rides, variable pricing and be included in transit apps that compare taxi prices to other ride services “in the coming years.”“TLC is excited about ways that technology and innovation can facilitate the taxi industry’s continued recovery from the impacts of the pandemic,” TLC Acting Commissioner Ryan Wanttaja wrote in a statement. “The Taxi Strategic Plan includes big ideas that will help ensure the long-term viability of the industry, and we are looking forward to working with drivers, industry members, and other stakeholders on implementing these initiatives.”The plan includes 40 recommendations, some of which are currently underway, like the medallion debt relief program. Other ideas would change the way yellow cabs have historically operated, with plans to open the door to testing automated vehicles and exploring a future of prices that rise and fall based on demand, as opposed to a flat meter rate.The TLC said it is committed to “supporting the Taxi industry and its future as a critical part of New York City’s transportation network,” and noted these 40 suggestions were created as “a first step to ensuring the continued viability of the industry.”The yellow cab industry has been facing headwinds for a decade now. For-hire vehicle apps entered the city in 2012, leading to a decline in taxis.The value of a taxi medallion was more than $1.2 million in 2014, but is now worth about $100,000. The medallions’ nosediving worth has sent owners – taxi drivers who thought the medallion was a foothold in the middle class – into financial and mental crises.These upheavals have been further exacerbated by the pandemic, which has wiped out any fares from tourism and business sectors. The TLC’s initiatives received mixed reactions, with the drivers’ union hoping for more actions to improve workers’ livelihoods and drivers eager for any possible changes that will earn them higher wages.
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