Government: Miscellaneous
| ID | Name | Group | Other | Code
Sec |
Cross
Ref | Problem
Referenced | Proposed
Solutions |
NBRC-
0294 | Karen Cordry | Bankruptcy Counsel,
National Association os Attorneys General (NAAG) |
|
|
| Bankruptcy Code recognizes the
unique position held by government entities as creditors, but there is a
continuing debate over the validity of government-related provisions.
With recent developments stemming from the decision in Seminole Tribe of
Florida v. Florida, No. 94-12 (March 27, 1996), and Merchant's Grain, 64
USLW 3287 (April 15, 1996), much study is needed to reconcile new limits
on jurisdiction with other policies in the Bankruptcy
Code. | NBRC should consider holding at least
one meeting to hear testimony and engage in a detailed give-and-take on
issues relating to the government's role in bankruptcy
proceedings. |
NBRC-
0604 | Richard H. Walker | General Counsel,
Securities and Exchange Commission | Document
entitled "Issues Identified by Division of Enforcement and Office
of General Counsel of Securities and Exchange Commission for
Consideration by Bankruptcy Review Commission. |
|
| Some debtors schedule governmental creditors in a manner
calculated to look complete but that is calculated to ensure that any
notice will not be correctly routed, such as omitting the name or even
division of the attorney known to be handling the case. This can
produce huge delays or even a complete failure to reach the appropriate
person. | The Bankruptcy Rules should
specifically require that the debtor schedule the name of the
responsible individual at the governmental agency creditor or such
identifying information about the case or investigation from which the
debt is alleged to arise as is known to the debtor. |
NBRC-
0610 | Heidi Heitkamp, et al. | Attorney
General of North Dakota and Chair, Bankruptcy and Taxation Working
Group, National Association of Attorneys General; and, Attorneys General
of member states. | Specific Proposal
Recommendations |
|
| Letter sets forth four guiding
principles which they believe should be applied in making
recommendations. These are: 1) As bankruptcy is a privilege given to
the debtor, it should be expected to bear the burden of ensuring that
creditors receive adequate notice of the case and its effect on their
rights; 2) Bankruptcy procedures should be designed to ensure that all
legitimate claims are accepted and paid to the greatest extent possible
and that creditors are not unreasonably burdened in asserting those
rights; 3) Procedures should be designed, as much as possible, to reduce
the burden on all participants in the case, not just debtors; and, 4)
Bankruptcy should not be a basis for a debtor to avoid its obligations
under laws applicable to all entities, particularly not through ad hoc
decision-making by bankruptcy courts using their powers under Section
105. | An attachment to the letter, entitled
"Specific Proposal Recommendations" lists specific proposals
under the following headings: 1) Notice to Governmental Entities; 2)
Clarification of governmental police and regulatory exceptions - Section
362(b) and 105; 3) Improved Tax Collection and Administration
Provisions; 4) Repeal of Section 724(b); 5) National Admission/Local
Counsel Rules; and, 6) Revision of Chapter 13 Discharge Provisions.
These are dealt with in the following listings under Submission ID
NBRC-0610. |
NBRC-
0610 | Heidi Heitkamp, et al. | Attorney
General of North Dakota and Chair, Bankruptcy and Taxation Working
Group, National Association of Attorneys General; and, Attorneys General
of member states. | Specific Proposal
Recommendations | 342 |
| Better provisions are needed for
notice to governmental entities, and clear guidelines as to consequences
for failure to follow the rules. | Authors
appreciate Commission's endorsement of concept for better provisions
governing notice to governmental entities, but believe that the
Commission should consider statutory changes that will spell out the
substantive consequences to the debtor of failing to abide by the
procedural requirements in the Rules. |
NBRC-
0624 | Heidi Heitkamp | Attorney General of
North Dakota; Chair, Bankruptcy and Taxation Working Group, National
Association of Attorneys General |
|
|
| Same as April 11, 1997 letter
from same author, filed at NBRC-0610, but with additional authorized
Attorney General signatures added. |
|
NBRC-
0662 | Chris Quinn-Brintnall | Sr. Deputy
Prosecuting Attorney, Pierce County, Washington |
|
|
| Author recounts a recent
Vehicular Assault case involving a fugitive with a fine of $975 who
filed bankruptcy in another state and was given a payment plan on the
fine so that he could drive a truck. Criminal judgements involving fines
are a form of punishment. To allow persons convicted of crimes to avoid
punishment simply by filing bankruptcy violates public policy and is
dangerous. | Change the Bankruptcy Code to
preclude a bankruptcy court from changing criminal
penalties. |
NBRC-
0663 | Karen Cordry | National Association of
Attorneys General (NAAG) Bankruptcy Counsel |
| 101(5), 105, 362,
503 | 28 USC 959 | "From a governmental perspective, the most fundamental
question that the Commission must address is the complex of issues that
arise fromt he conflict between the debtor's desire to reorganize and
obtain a fresh start and its obligation to obey the law." Author
is forwarding a memorandum addressing "the debtor's obligation to
obey the law" with reference to the Code sections cited
above. |
|
NBRC-
0664 | Karen Corddry | National Association of
Attorneys General (NAAG) Bankruptcy Counsel | Memorandum on Remaining Governmental
Provisions |
|
| Author is forwarding a
memorandum dealing with a variety of issues of interest to state
governments and dealt with in the proposals of the Government Working
Group. | See document for proposed solutions
for each issue. |