Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.
In January, U.S. Bankruptcy Chief Judge Cecelia Morris of the Southern District of New York entered a decision granting summary judgment to pro se debtor, Kevin Jared Rosenberg, finding that Rosenberg had satisfied the "undue hardship" standard set forth in Section 523(a)(8) of the Bankruptcy Code, and ordering the discharge of Rosenberg's student loan debt of more than $220,000 in Rosenberg v. New York State Higher Education Services (In re Rosenberg), Case No. 18-35379 (Bankr. S.D.N.Y. Jan. 7, 2020).
The notion that student loans are generally nondischargeable in bankruptcy is, perhaps, one of the more familiar principles of bankruptcy law, even to nonlawyers. This concept has evolved from the case of Brunner v. New York State Higher Education Services (In re Brunner), 831 F.2d 395 (2d. Cir. 1987), which established a relatively straightforward three-pronged test:
Before filing his Chapter 7 bankruptcy petition in March 2018, Rosenberg earned an undergraduate degree from the University of Arizona and a Juris Doctor degree from Yeshiva University's Benjamin N. Cardozo School of Law in 2004. He consolidated $116,464.75 of his student loan debt in 2005. By 2018, Rosenberg's student loan indebtedness had ballooned to $221,385.49. Three months after filing his bankruptcy petition, Rosenberg commenced an adversary proceeding seeking judgment declaring his student loan debt discharged under Section 523(a)(8) of the Bankruptcy Code.
Educational Credit Management Corp. (ECMC) obtained authority from the bankruptcy court to intervene in the adversary proceeding as the guarantor and holder of Rosenberg's consolidated student loan debt. As there were very few facts in dispute, the parties filed cross-motions for summary judgment on the issue of dischargeability, and agreed that the three-part Brunner test was the proper standard for the bankruptcy court to apply in deciding the motions.
Section 523(a)(8) of the Bankruptcy Code excepts student loan debt from discharge "unless excepting such debt from discharge … would impose an undue hardship on the debtor and the debtor's dependents." The Bankruptcy Code does not define the term "undue hardship."
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN ENTERTAINMENT LAW.
Already a have an account? Sign In Now Log In Now
For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473
Why is it that those who are best skilled at advocating for others are ill-equipped at advocating for their own skills and what to do about it?
There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.
The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.
Active reading comprises many daily tasks lawyers engage in, including highlighting, annotating, note taking, comparing and searching texts. It demands more than flipping or turning pages.
Blockchain domain names offer decentralized alternatives to traditional DNS-based domain names, promising enhanced security, privacy and censorship resistance. However, these benefits come with significant challenges, particularly for brand owners seeking to protect their trademarks in these new digital spaces.