In re Petrano

UNITED STATES BANKRUPTCY COURT MIDDLE DISTRICT OF FLORIDA TAMPA DIVISIONMar 22, 2018
Case No. 8:14-bk-03348-CPM (Bankr. M.D. Fla. Mar. 22, 2018)

Case No. 8:14-bk-03348-CPM Case No. 8:14-bk-01368-CPM

03-22-2018

In re: David Frank Petrano and Mary Katherine Day-Petrano, Debtors.


Chapter 13 (Cases Jointly Administered under Case No. 8:14-bk-03348-CPM) ORDER APPROVING THE FLORIDA BAR'S POLICY ON RECORDING COST JUDGMENTS

THIS CASE came on without a hearing for consideration of the Notice of Compliance (Doc. 603) filed by The Florida Bar, notifying the Court of compliance with the Court's prior directive that it develop a policy to prevent the recording of a cost judgment against a debtor in bankruptcy while the debtor's bankruptcy case remains pending. The Court has reviewed the policy ("Policy on Recording Cost Judgments"), a copy of which is attached to the Notice, and finds that it satisfies the Court's directive. In response to the Debtor's disagreement as to the sufficiency of this policy, as stated in the Notice, the Court finds such disagreement without merit because the Court did not, and could not, direct that the policy be adopted as an amendment to the Rules Regulating The Florida Bar. With limited exceptions not applicable here, the Supreme Court of Florida has the exclusive authority to adopt and amend such rules.

A judgment of this type is nondischargeable pursuant to 11 U.S.C. § 523(a)(7). See Disciplinary Board of the Supreme Court of Pennsylvania v. Feingold (In re Feingold), 730 F.3d 1268, 1273 (11th Cir. 2013) ("cost assessments in attorney proceedings are properly viewed as penalties [under § 523(a)(7)]") (citations omitted). Therefore, The Florida Bar may record such judgment once a debtor's bankruptcy case is either dismissed or closed upon completion of plan payments and/or entry of a discharge if the judgment remains unsatisfied.

See Introduction to Chapter 1 and Rule 1-12.1, R. Regulating Fla. Bar (governing the adoption and amendment of the Rules Regulating The Florida Bar). --------

Accordingly, it is

ORDERED that the Court approves The Florida Bar's Policy on Recording Cost Judgments.

ORDERED.

Dated: March 22, 2018

/s/_________


Catherine Peek McEwen


United States Bankruptcy Judge The Clerk is directed to serve a copy of this order on the Debtors and on any interested non-CM/ECF filers.