Keywords: special circumstances . means test .
Means Test > Special Circumstances > Special Circumstances: Miscellaneous Cases12 Cases , IssueID 57 |
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Ch 7 Means Test |
Ch 13 Means Test |
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Topic Description:If you fail the means test, but feel there are circumstances that make the means test an inaccurate representation of your ability to pay your creditors, you can make a claim of "special circumstances" to explain to the trustee and the judge why you feel you should be allowed to proceed with a Chapter 7 even though your means test numbers show a presumption of abuse. Lines of Cases:
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In trying to encapsulate the "special circumstances" rule in a shorthand word or phrase, courts have utilized various concepts. Here: "Beyond the reasonable control of the debtor".
"The Court cannot conclude that Congress intended the 'special circumstances' exception to strict application of the means test to undermine the unambiguous definition of CMI. Section 101(10A) sets forth specific enumerated exceptions to categories of income that must be included in CMI. A non-recurring, one-time only payment is not one of those exceptions."
A de minimus or zero percent dividend in a hypothetical Chapter 13 is not a special circumstance.
Special circumstances creating strain on the debtor's budget must be outside of the debtor's control.
The special circumstances must justify an additional expense or an adjustment to income sufficient to rebut the presumption of abuse.
An unusually high transportation expense is not a special circumstance.
In trying to encapsulate the "special circumstances" rule in a shorthand word or phrase, courts have utilized various concepts. Here: "Unanticipated" and "Truly unavoidable"
An unusually high transportation expense is a special circumstance.
Joint debtors who maintain separate households is a special circumstance.
"The Court cannot conclude that Congress intended the 'special circumstances' exception to strict application of the means test to undermine the unambiguous definition of CMI. Section 101(10A) sets forth specific enumerated exceptions to categories of income that must be included in CMI. A non-recurring, one-time only payment is not one of those exceptions."
A de minimus or zero percent dividend in a hypothetical Chapter 13 is not a special circumstance.
Special circumstances creating strain on the debtor's budget must be outside of the debtor's control.
The special circumstances must justify an additional expense or an adjustment to income sufficient to rebut the presumption of abuse.
In trying to encapsulate the "special circumstances" rule in a shorthand word or phrase, courts have utilized various concepts. Here: "Beyond the reasonable control of the debtor".
An unusually high transportation expense is not a special circumstance.
In trying to encapsulate the "special circumstances" rule in a shorthand word or phrase, courts have utilized various concepts. Here: "Unanticipated" and "Truly unavoidable"
An unusually high transportation expense is a special circumstance.
Joint debtors who maintain separate households is a special circumstance.
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When you read a case, check to make sure that the case's decision applies to your local district. Do this by looking at which court has decided the case -- either the U.S. Supreme Court, a court of appeal (listed here in large type), or a district court (listed in small type). Your local district court judge is not bound to follow the opinion of judges from other district courts, but often they look to these cases for advice. Your local district, however, is bound to follow decisions in cases from it governing circuit court. You'll see fairly few Supreme Court case here, but those cases are also binding on all districts."
NO! NO! NO! This is a start for your research. New cases are constantly being decided. I update this when I have time. This is only a fraction of the actual published opinions out there. Dozens of cases are handed down nationwide every week. I catalog interesting ones when I have time. They are meant to serve as a starting point for your research -- NOT as a comprehensive listing of the current state of the law.