On Bankruptcy and Mediation
Ignoring reality? (photo by Marilyn Swanson) By: Donald L Swanson We have a student loans problem in these United States. A huge part of the problem is that we are, (i) focused on addressing symptoms of the problem in small ways, (ii) ignoring the underlying problem, and (iii) enabling higher education costs to spiral out of... Continue Reading →
A safety valve? (Photo by Marilyn Swanson) By: Donald L Swanson Lots of things are wrong with the student loan program in these United States. For example: It’s a corporate-welfare program for high-price colleges; butTheir students pay the price. Unfortunately, the safety valve protection for students (i.e., a bankruptcy discharge) has failed them—and made the problem... Continue Reading →
Brunner's "certainty of hopelessness" test? (photo by Marilyn Swanson) By: Donald L Swanson “Petition DENIED” That’s the ruling of the U.S. Supreme Court, dated June 21, 2021, in McCoy v. United States (Case No. 20-886). The question in McCoy v. United States focuses on the test for discharging student loans in bankruptcy, under the “undue hardship”... Continue Reading →
A good intention gone awry (photo by Marilyn Swanson) By: Donald L Swanson It is the lot of good intentions—to go awry. And so it is with the federal government’s student loan program. Its good intentions are obvious: making a college education available to everyone—even at high-price colleges. Catastrophic Consequences Such good intentions have gone awry, with... Continue Reading →
Brunner's "certainty of hopelessness" test? (photo by Marilyn Swanson) By: Donald L Swanson One of the human tragedies of our time is this legal opinion: Brunner v. New York State Higher Education Services Corp., 831 F.2d 395 (2d Cir. 1987). Brunner creates a three-part test for discharging student loans in bankruptcy, under the “undue hardship” standard... Continue Reading →
By Donald L. Swanson The crazy-season is when millions of people incur easily-obtained student loans they can’t afford, for another semester of college. That time is nearly here, again, as a new school semester begins after the turn of the year. An even-crazier part is this: the U.S. Government guarantees payment of those unaffordable loans—which is... Continue Reading →
By: Donald L. Swanson “Back when I was in school . . .” This is a tired-old phrase, usually followed by tales of hardship. The Olden Days But here’s an opposite twist: Back when I was in college (during the 1970s), you could actually pay your way through, with little-to-no debt, by working part-time jobs... Continue Reading →
By: Donald L. Swanson “the borrower is servant to the lender” Proverbs 22:7 (KJV). The long-term drag of student loans on the lives of many college graduates is a horrible thing. And discussions about relieving that problem are important. But long-term effects on students are a mere symptom of the problem. The underlying problem is this:... Continue Reading →
By: Donald L Swanson Every now and then a good thing happens in bankruptcy. It’s not very often—but good things do happen. Here’s a story of one of those good things [Fn. 1]. Our Hero (the bankruptcy Debtor) is a 54 year old, single mother of two college-aged children. She is a self-employed professional in a... Continue Reading →
By: Donald L. Swanson “We don’t want loans. We want grants!” —Yours truly, circa 2000s, on paying for college "We are creating a 'lost generation' of young adults; they're overwhelmed by their student loans!" —Recent comment from a friend This article identifies two things that are wrong with our student loan system (Exhibits “A”... Continue Reading →
MEDIATBANKRY 