OUTCOME: Clients dishcharged over $666,415.47 in private student loans and set up payment plan for the remaining $67K at 1% intreest over 20 years and helped consolidate federal loans of $185K in a federal repayment plan of $350 a month
Ninth Circuit affirmed $12,000 emotional distress and $12,000 punitive damages award for a payday loan of $550, presented in violation of the bankruptcy automatic stay. Case also distinguished Sternber...g v. Johnston and allowed attorney fees to establish automatic stay violation and was cited with approval in the In re Schwartz-Tallard, 803 F.3d 1095 (9th Cir 2015), which fully overturned the Sternberg v. Johnston decision before the en banc court. In re Snowden’s legal holding laid the legal foundation for the bankruptcy ruling in Sundquist v. Bank of America, N.A., 566 B.R. 563, 588, Bankr.E.D. Cal. March 23, 2017, vacated in part 580 B.R. 536 (Bankr. E.D. Cal. 2018) which initially awarded $1,074,581.50 in damages and an additional $5 million in punitive damages to the debtors. In addition to the award directed to the Sundquists, the 2017 order included a $45 million punitive damages award to be disputed to various public interest entities.
Appeals
In re Snowden, 769 F.3d 651 (9th Cir. 2014). (9th Cir. 2014).
Sep 12, 2014
OUTCOME: Order affirming Bankruptcy Court Ruling
Ninth Circuit affirmed $12,000 emotional distress and $12,000 punitive damages award for a payday loan of $550, presented in violation of the bankruptcy automatic stay. Case also distinguished Sternber...g v. Johnston and allowed attorney fees to establish automatic stay violation and was cited with approval in the In re Schwartz-Tallard, 803 F.3d 1095 (9th Cir 2015), which fully overturned the Sternberg v. Johnston decision before the en banc court. In re Snowden’s legal holding laid the legal foundation for the bankruptcy ruling in Sundquist v. Bank of America, N.A., 566 B.R. 563, 588, Bankr.E.D. Cal. March 23, 2017, vacated in part 580 B.R. 536 (Bankr. E.D. Cal. 2018) which initially awarded $1,074,581.50 in damages and an additional $5 million in punitive damages to the debtors. In addition to the award directed to the Sundquists, the 2017 order included a $45 million punitive damages award to be disputed to various public interest entities.
Chapter 7 bankruptcy
In Re Nash, 464 B.R. 874 (9th Cir. BAP 2012)
Oct 21, 2011
OUTCOME: Court ruled that Neither creditor not district attorney violated the discharge injunction by arresting debtor in connection with discharged gambling debt or by postponing criminal proceeding in response to settlement agreement.
Mr. Nash charged in a May 2010 complaint in his personal bankruptcy case that he was wrongfully arrested and suffered emotional distress over $12,500 in dishonored gambling markers owed to the Las Vega...s Hard Rock after a bankruptcy filing listing the debt was discharged
Litigation
In re Snowden, 422 BR 737 - Bankr. Court, WD Washington, 2009
Dec 09, 2009
OUTCOME: The client won actual damages, emotional distress damages, and punitive damages at trial - $28K. The case is still on appeal.
This case involved a client whose money was taken by a payday lender, Check Into Cash ("CIC"), in violation of the bankruptcy automatic stay. After repeatedly calling, writing letters to resolve the s...ituation, the case went all the way to trial. This published decision was before the trial and it is one of the only cases in favor of clients against payday lenders in the country for these actions in bankruptcy.