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Has the Bankruptcy System Gone to the “Dogs?”

By Michael L. Moskowitz and Melissa A. Guseynov

In a decision of first impression out of the Bankruptcy Court for the District of Arizona, Judge Daniel P. Collins, U.S.B.J., held that pet insurance proceeds are exempt under Arizona law and the exemption is not limited to a debtor’s claimed value of their pet. In re Hill, 18-07595 (Bankr. D. Ariz. Nov. 15, 2018).

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School Tuition Payments Made by Insolvent Parents May Be Fraudulent Transfers

 By Michael L. Moskowitz and Melissa A. Guseynov

In a recent decision of interest, a local chapter 7 bankruptcy trustee appealed Eastern District of New York’s Chief Bankruptcy Judge Craig’s decision denying his request to recover tuition payments from three institutions of higher learning. Pergament v. Brooklyn Law School, Case No. 18-2204 (E.D.N.Y. Nov. 27, 2018). Efforts by trustees to recover tuition payments from higher education institutions made by parents on their children’s behalf is an emerging issue with decisions abounding on both sides of the equation.

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