DSOs Anyone?

In some instances, this case could be a real game-changer for dealing with student loans. Chapter 13 plan may classify student loans in a separate class!

Last week we published the second Part of Judge Norton’s article on Zealous Advocacy. Part I discussed the History of Zealous Advocacy, and Part II examined how courts have discussed zealous advocacy. Part III identifies Practical Takeaways from the article. In the following weeks, we will post Judge Norton’s extensive Addendum of reported cases on Zealous Advocacy.

Creditor holding a reverse mortgage with a lien against property in which the debtor/heir resides holds a claim allowable in the debtor’s Chapter 13 case notwithstanding a lack of any personal liability.

Debtor’s counsel should not be compensated for work undertaken on behalf of a debtor in order to correct errors.

On Thanksgiving, I’m mindful of how precious the American approach to insolvency is.

“ . . . practice and procedure accomplishing the lien strip have been slow to evolve since 2017. . . . in the jurisdictions that opted out of usage of the Form 113 Plan, multiple iterations for lien stripping and release are found.”

Consider the following Christmas miracle: Bob Cratchit has a long-term mortgage with Scrooge & Marley Bank. Bob Cratchit dies and there is a default on the mortgage. The mortgaged residence then passes to his son, Tiny Tim, by operation of law. Tiny Tim files for chapter 13 and includes the defaulted mortgage with Scrooge & Marley Bank in his plan. Scrooge & Marley Bank argues it has no claim against Tiny Tim because privity of contract is lacking, and Scrooge & Marley Bank therefore has no debtor-creditor relationship with Tiny Tim. How might the court rule?