Trustee Cannot Require Debtor to Treat Nondischargeable Student Loan Debts in a Separate Class

By Gretchen D. Holland, Standing Chapter 13 Trustee for the Greenville/Spartanburg Division of South Carolina

The Bankruptcy Code does not – and thus a trustee cannot – require a debtor to treat nondischargeable student loan debts in a separate class from other general unsecured claims under § 1322(b)(1), even when including them all in the same pool will result in a stark imbalance in the payment of those claims. In re Wood, No. 18-31268-BPC, 2018 Bankr. LEXIS 3657 (Bankr. M.D. Ala. Nov. 19, 2018)

Background

Debtor’s chapter 13 plan had a pot . . .

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From the Editor – Debtor’s Attorney

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By The Honorable William Houston Brown (Retired) Sanctions for including foreclosed property in petition. On creditor’s motion, sanctions for attorney fees and costs were awarded against Chapter 13 debtor’s attorney for scheduling as property of estate real property that had been foreclosed and on which debtor’s redemption period had expired. Under Rule 9011(c), a safe harbor letter from the creditor...

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From the Editor – Fair Debt Collection Practices Act

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Escrow 101 and 102

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Travis Sasser

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Travis Sasser practices bankruptcy law in Cary, North Carolina. He is a board certified specialist in Consumer Bankruptcy by the American Board of Certification and the North Carolina Board of Legal Specialization. He serves on the Bankruptcy Committee for the North Carolina Board of Legal Specialization. He is a member of ABI and NACBA. He graduated from the University of...

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