Slamming The Brake On Traffic Ticket Protections For Debtors

Law360 (March 27, 2019, 12:23 PM EDT) -- On March 14, 2019, the U.S. Court of Appeals for the Seventh Circuit issued In the Matter of Steenes, ending the gambit of individuals misusing Chapter 13 bankruptcy to ignore the city of Chicago’s traffic laws.[1] Authored by Judge Frank Easterbrook, Steenes makes clear that bankruptcy will no longer grant individuals “[i]mmunity” from parking and speeding tickets.[2] Chicago can now collect from “scofflaws” who use Chapter 13 bankruptcy as a shield to run up speeding and parking tickets and avoid the consequences.[3]

Beyond reminding the bankruptcy courts that “[t]he Bankruptcy Code cannot reasonably be read to enlist the judiciary’s aid in...

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