Proposed Mandatory Continuing Legal Education for Maryland Attorneys - The Maryland Commission on Mandatory Continuing Legal Education proposed new rules mandating continuing legal education in Maryland. Comments can be made to the Maryland Commission on Mandatory Continuing Legal Education via phone to Lynne A. Battaglia, Commission Member, or her Assistant, Laura Glasgow, at (410) 260-1565, or Laura Glasgow’s email, at laura.glasgow@mdcourts.gov.

Low Bono and Deferred Payment Attorney Listing - Thanks to a wonderful collaboration between the USBC, BBA, MSBA, the MD Chapter 13 Trustees and MVLS, a new list of attorneys who are willing to accept low or deferred fee Chapter 13 and Chapter 7 cases with financial need is in the process of being created. The list will be maintained by the Bankruptcy Court and will be made available to individuals in need. For more information on this program and for instructions on how to get your name added to the list, please click here.

February 15, 2010

Although it appears the banking industry has pulled back from the abyss, and recent economic data indicates that we are slowly driving ourselves out of this recession, it is clear from this vantage point that the world of bankruptcy and creditor workouts will be a growth industry for several years to come. Consider these numbers; new bankruptcy cases surged by 32%, exceeding 1.4 million for 2009. The highest rate of growth occurred in the states of Arizona at 77%, Wyoming 60%, Nevada 59%, and California 58%. Maryland had a 46.3% increase, placing it 14th among those States based on increased rates of filing. In Maryland, 25,590 new cases were filed in the 2009 calendar year. This total is triple the volume from 2006, our first year under BAPCPA. Chapter 7 filings grew 66.7%, Chapter 13 cases were steady with a 7.8% increase. Chapter 11’s grew by 20.5%. Mark Sammons, Clerk of the U.S. Bankruptcy Court for the District of Maryland, notes there has been a significant increase in individuals filing Chapter 11’s, because of Debtors’ inability to qualify for Chapter 13’s.

Since 1969 I have practiced Bankruptcy Law through a multitude of recessions. I like to say every recession has a, “different face”. This recession certainly has a different face. Although the construction and land development industry has been hammered, we have seen very few Chapter 11’s. Developers are unable to sell their product and can not continue to develop their land because the banks will not lend more money. Builders can not reorganize because the lenders are not lending and there is little work in the pipeline. My bet is we are looking at at least a couple more years of rising bankruptcies and financial hardship for several areas in the commercial world, including retail, restaurants, real estate developers, construction companies, and of course, individuals. This is a time to stay on top of your profession. This is a time to learn and develop your expertise.

In October and November, the U.S. Bankruptcy Court in conjunction with The Pro-Bono Resource Center of Maryland, The Maryland Bankruptcy Bar Association, Consumer Bankruptcy Section of the Maryland State Bar Association, Maryland Volunteer Lawyers Services, Montgomery County Bar Association, Community Legal Services of Prince George’s County, and the Bankruptcy Judges in Greenbelt and Baltimore presented the Debtor Assistance Project (DAP). DAP was an extremely successful program designed to give entry level instruction to those lawyers wishing to enter the bankruptcy practice area, and to educate them in Courtroom etiquette and trial procedures related to numerous bankruptcy litigation issues. Three hundred forty-one applicants participated in the Greenbelt and Baltimore programs. The program was such a success, we expect we will do it again next fall.

On May 7th and 8th the Maryland Bankruptcy Bar Association sponsors its BBA Spring Break weekend. This year the event will be held at the Gaylord Hotel at the National Harbor along the Potomac River. This is a new venue for the Bar Association and we are very excited. The Gaylord is a four star facility. The program will deal with current issues in virtually all areas of our Bankruptcy practice including asset protection, individual Chapter 11’s, the latest business issues and the newest issues and strategies in Chapter 13’s. We have always been very fortunate to have the interest and participation of the Judges from our Maryland District, the Eastern District of Virginia and the District of Columbia. This year, once again, Judges Mitchell, Mayer and Tice will join us, and Judge Kevin Huennekens will participate for the first time. In addition, several prominent members of the Northern Virginia Bankruptcy Bar Association will join our panels to provide us with new insight and give our panels a more regional flavor. We welcome bankruptcy practitioners from Virginia and the District of Columbia.

Aside from the professional and educational value of attending the BBA Spring Break weekend, it should be a lot of fun. We will be on the banks of the Potomac River for our Friday evening cocktail party, and Old Town Alexandria is a 15 minute drive or boat ride from the Hotel. I am looking forward to you joining us.

Sincerely,

James M. Greenan
President

05/07/2010 -
05/08/10

For information on any of the above-listed events, please contact the appropriate Chapter Chair.

Baltimore Chapter Chair
Patricia Borenstein
(410) 727-6464

Greenbelt Chapter Chair
Patrick Kearney
(301) 634-3114

Baltimore Asst. Chapter Chair
Richard Costella