Wednesday, June 4, 2014

9th Cir. BAP - Published - Attempt to Collect Reasonable Costs for Support for Incarcerated Minor is Not a Violation of Stay

Post-petition, Orange County attempted  to recover for the support obligation for debtor's child based on food, etc. (at $23.90/day) and attorney fees ($2,199), for a total of $9,508.60.

Pre-BAPCA, the debtor would have prevailed because §523(a)(5) only excepted debts owed “to a spouse former spouse, or a child of the debtor, for alimony to, maintenance for, or support of such child  • • •.   The statutes was altered by BAPCPA, however, which adopted the concept of a “domestic support obligation” (DSO), defined in §101(14A), which is incorporated into the new version of §523(a)(5)..

Section 101 (14A) under BAPCPA extended the exception to discharge to support provided by a governmental unit.  Under the plain wording BAPCPA, Orange County’s debt was not discharged.  So, its collection efforts did not violate the discharge injunction.







No comments:

Post a Comment