State of Florida Department of Revenue v. Gonzalez (In re Gonzalez)
- Summarized by Jeffrey Snyder , Bilzin Sumberg Baena Price & Axelrod, LLP
- 6 years 10 months ago
- Citation:
- --- F.3d ---- (11th Cir. 2016)
- Tag(s):
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- Ruling:
- Exception to automatic stay under section 362(b)(2)(C) for withholding for payment of a domestic support obligation does not trump binding effect of confirmed chapter 13 plan per section 1327(a). Accordingly, creditor was prohibited from intercepting debtor's post-confirmation expense reimbursement payment for application to domestic support obligation.
- Procedural context:
- Appeal to court of appeals from order of district court affirming order of bankruptcy court holding State of Florida, Department of Revenue in contempt for violation of confirmed chapter 13 plan.
- Facts:
- In debtor's case under chapter 13, State of Florida, Department of Revenue filed a proof of claim for $2,400 in arrearages relating to a domestic support obligation. Debtor filed amended plan that provided for payment of arrearage in full and for direct payment of all current child support, which was confirmed. Subsequently. the Department of Revenue intercepted a travel reimbursement payment from the debtor's employer, the federal government, in the amount of $4,700. Although at a bankruptcy court hearing, the Department of Revenue agreed to release the reimbursement payment, the Debtor renewed its contempt motion and the bankruptcy court held the Department of Revenue in contempt for violating the confirmed plan and awarded Gonzalez attorney's fees.
- Judge(s):
- JORDAN, ROSENBAUM, and SILER,* Circuit Judges. *Judge Eugene E. Siler, Jr., Circuit Judge for the Sixth Circuit, sitting by designation.
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