New Jersey Bankruptcy Attorneys - Shapiro Croland Reiser Apfel & Di Iorio

04/11/2022

Youngest Female Judge Appointed to New Jersey Federal Bench

Congratulations to the Hon. Georgette Castner upon her appointment to the federal bench in New Jersey, thus becoming the youngest woman ever to serve as a federal jurist in the District of New Jersey.

https://www.roi-nj.com/2022/04/08/law/georgette-castner-sworn-in-as-youngest-female-u-s-district-court-judge-in-n-j-history/

http://1m.ag/HTDeb

03/07/2022

Civil Contempt of Bankruptcy Court Discharge Injunction

Should a Chapter 7 consumer debtor be permitted to prosecute a new lawsuit in the United States District Court alleging that a creditor should be held in contept for attempting to collect a debt discharged in bankruptcy, instead of pursuing the remedy in the debtor's earlier filed bankruptcy case? Our firm recently filed a motion on behalf of a creditor to transfer such a case to the United States Bankruptcy Court for the District of New Jersey. The case is Stevens v. Transunion, et al., United States District Court, District of New Jersey, Case No.: 3:22-cv-00042-TAS-TJB.

A bankruptcy discharge issued under 11 U.S.C. Section 524(a) operates as an injunction prohibiting creditors from pursuing collection of debts deemed discharged or wiped out by the bankrputcy. Typical examples of debts discharged in bankruptcy include credit card debts, unpaid medical bills, and certain contractual obligations.

Numerous courts have held that a claim accusing a creditor of violating a bankruptcy discharge injunction is central or "core" to the bankruptcy court's jurisdiction, and therefore should be decided by the bankruptcy court which issued the order. Section 105 of the Bankruptcy Code grants the bankruptcy court with authority to "issue any order, process, or judgment that is necessary or appropriate to carry out the provisions of this title." 11 U.S.C. Section 105(a).

Indeed, bankruptcy courts have regularly exercised their contempt power under Section 105 in order to remedy violations of the discharge injunction. In re Meyers, 344 B.R. 61, 65 (Bankr. E.D. Pa. 2006); see also Robin v. Woods, 28 F.3d 396, 399 (3d Cir. 1994). See also, Pertuso v. Ford Motor Credit Co., 233 F.3d 417, 421-222 (6th Cir. 2000) (Court affirmed district court's dismissal of action brought by former Chapter 7 debtor predicated on the defendant's alleged violation of the bankruptcy court's discharge order, holding that "the traditional remedy for violation of an injunction lies in contempt proceedings, not in a lawsuit such as this one."); In re Faiella, 2008 WL 1790410, at *6 (Bankr. D.N.J. Apr. 18, 2008) ("A bankruptcy court is vested with the power 'to enforce its subpoenas and orders by the power of civil contempt.'").The purposes of sanctions in a civil contempt proceeding are to coerce the contemnor into complying with an order of the court and to compensate the harmed party for losses sustained because of the contempt. Faiella, 2008 WL 1790410 at *6.

In New Jersey, a Standing Order of Reference 12-1 dated issued by the United States District Court on September 18, 2012 authorizes the District Court to refer core bankruptcy proceedings to the Bankruptcy Court. Since bankruptcy courts decide contempt proceedings by motion pursuant to Bankruptcy Rule 9020 and Bankruptcy Rule 9014, thereby offering a more economical path to resolution by obviating the need to engage in costly pretrial discovery, we have asked the District Court to transfer the case to the Bankruptcy Court.

http://1m.ag/XJDeb

11/17/2021

Firm Moves to Dismiss Frivolous Defamation Complaint Against Youtuber

Check out our Linkedin post about a recent motion that we filed to dismiss a federal court case brought by a disgruntled convicted murderer who accuses our client of defaming his reputation by publishing a Youtube video discussing his murder trial and conviction.



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09/13/2021

There will be a rush to the bankruptcy courthouse steps when the governor removes the moratorium on residential evictions. We are here to help both debtors and creditors, including landlords and plaintiffs who have foreclosed on properties but can't evict the occupants.

06/12/2021

Senate Confirms First Muslim American Federal Judge

Congratulations to the Honorable Zahid N. Quraishi on being confirmed by the US Senate as the first Muslim American federal judge, filling a much needed vacancy in the District of New Jersey. Previously, Judge Quraishi served as a Magistrate Judge in the District of New Jersey.

https://www.nj.com/politics/2021/06/new-jerseyan-confirmed-as-first-muslim-american-federal-district-court-judge.html to read the full article as reported on NJ.com.

http://1m.ag/CaDeb

05/21/2021

$596,000 Judgment for Widower Defrauded by Chapter 7 Debtor

On May 18, 2021, partner Glenn Reiser secured a $596,000 judgment on behalf of a widower who was swindled by a Chapter 7 debtor into lending his business hundreds of thousands of dollars as part of a Ponzi scheme. United States Bankruptcy Judge Christine Gravelle declared the debt non-dischargeable due to the Debtor's fraudulent conduct.

The case is Bommen v. Bongiorno, United States Bankruptcy Court for the District of Jersey, Trenton Vicinage, Adv. Pro. No. 18-01586-CMG.

http://1m.ag/pUCeb

04/01/2020

We are pleased to announce the launching of our new practice area: COVID-19 BUSINESS EMERGENCY FUNDING UNDER THE PAYCHECK PROTECTION PROGRAM.

NJ business lawyers assisting businesses in applying for SBA emergency funding under the Paycheck Protection Program. Flat rate fees available.

03/24/2020

Our attorneys are well equipped to meet clients remotely and electronically file bankruptcy petitions with the federal courts throughout New Jersey. Assisting families, individuals and small business owners.

Northern NJ Bankruptcy Lawyers Covid-19 Response. Small Business and Consumer Bankruptcy Relief Available Today. Free Remote Consultation and Electronic Bankruptcy Filings Available. - PR12815853

08/31/2019

NJ College Cannot Rely on FBI as Reason for not Complying with Open Public Records Act Request

In a precedential opinion issued on August 14, 2019, the United States Court of Appeals for the Third Circuit held that a New Jersey college is responsible for paying legal fees due to its failure to comply with the New Jersey Open Public Records Act (OPRA). https://www2.ca3.uscourts.gov/opinarch/183150p.pdf" >Golden v. NJIT, Case No. 18-3150 (August 14, 2019.

The Third Circuit reversed the lower court's opinion which had denied counsel fees to two journalists who brought suit against New Jersey Institute of Technology ("NJIT") for failure to release documents that the FBI had directed NJIT to withhold. After the lawsuit was filed NJIT and the FBI revisited the journalists' document requests and elected to release thousands of pages of documents that were originally withheld. The journalists then requested counsel fees as a prevailing party under OPRA's fee shifting provisions.

The United States District Court denied the fee request, holding that there was no nexus between the lawsuit filing and the subsequent release of the records. The District Court agreed with NJIT that it had reasonably followed the FBI's directive.

On appeal, the Third Circuit concluded that the journalists' lawsuit was the catalyst for the production of the information.

"That NJIT withheld records at the behest of the FBI does not afford it a basis to abdicate its role as the records custodian. NJIT alone bore the borden of allowing or denyhing access to the requested records. With that burden comes the attendant responsibility of paying attorneys' fees to the prevailing plaintiff. We will therefore reverse and remand for the calculation of attorneys' fees."

The decision is a harsh lesson for NJIT and puts public officials on notice that relying on a governmental law enforcement agency when responding to OPRA records requests does not provide a safe harbor against paying prevailing party legal fees under OPRA.

http://1m.ag/JeAeb