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From the Editor – Best Interests of Creditors Test
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By The Honorable William Houston Brown (Retired)
Postpetition domestic support obligation was not allowed claim and best interests test failed. Although the Code defines domestic support obligation to include pre- and postpetition obligations, and the debtor may deduct postpetition domestic support obligations in the projected disposable income calculation, § 502(b)(5) disallows a claim to the extent it is for a debt unmatured at petition date, while the debt is excepted from discharge under § 523(a)(5). Only the prepetition DSO claim is an “allowed claim,” notwithstanding other Code requirements that the debtor pay postpetition domestic . . .
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