Don't Bet the Business

As the COVID-19 pandemic rages, Michigan’s real estate industry braces for a potential wave of foreclosures and evictions.

A recent federal appellate court ruling illustrates the traps lenders could trip when state court collection actions against joint borrowers intersect with federal bankruptcy law.

Bankruptcy court rules trustees can’t claw back, as fraudulent transfers, Plus Loans taken by parents for a child’s education.

Creditors must closely scrutinize Chapter 13 cases to understand what debts are being discharged and to update business records to ensure discharged debts are not pursued post-bankruptcy. 

Companies consider legal options after lawsuits were filed against them by the City of Detroit seeking to recoup pre-bankruptcy payments.

Following the U.S. Supreme Court's historic ruling on same sex marriage, federal and state lawmakers must play catch up to revise major statutes, including the U.S. Bankruptcy Code.

https://www.ftc.gov/system/files/documents/statutes/fair-credit-reporting-act/545a_fair-credit-reporting-act-0918.pdfCourt rules that bank, which accepted a borrower's voluntary payments post-bankruptcy and opted not to foreclose its security interest in the mortgage, did not violate the FCRA by reporting the loan as closed on the borrower's credit report.

Include language in standard contracts to maximize the likelihood your company is paid in the event of a customer's financial distress or bankruptcy.