What Happens in the Plan Stays in the Plan – Part I

By Mark C. Leffler1
click here for part II
“Gambling with a Chapter 13 discharge is a risky proposition” - the ominous opening line of a recent Colorado Bankruptcy Court decision that ended in dismissal due to a material default in plan payments. In re Formaneck, --- B.R. ---, 2015 WL 4241154 at *1 (Bankr. D.Colo. 2015). So, what's the big deal? What makes Formaneck noteworthy? Why write an . . .

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Critical Case Comment – Pre to Pre and Post to Post

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Mortgage loan servicer violated mortgage agreement with debtor, the automatic stay, the confirmation order and Rule 3002.1 by applying debtor’s post-petition monthly mortgage payments pursuant to the contractual terms of the loan, thereby applying post-petition payments to the debtor’s pre-petition mortgage arrearage. (Cary) In re Pope, 647 B.R. 597 (Bankr. D. N.H. August 15, 2022) Case Summary In November of...

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Henry E. Hildebrand, III

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Where a stipulation of a settlement of an objection to confirmation provided that a creditor’s claim would be “excepted from discharge pursuant to 11 U.S.C. § 523(a)(6)”, the stipulation would not prevent the discharge of the claim based upon a breach of fiduciary duty, tortious interference with business relations, unfair competition, defamation, and conversion which resulted in a state jury...

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Critical Case Comment

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By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville) Where a confirmation order of a debtor’s Chapter 12 plan specifically provided for payments to a creditor and the Chapter 12 trustee had supported confirmation of the plan, the trustee would be precluded from seeking to disallow a late-filed claim. Following the plan, the...

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