By The Honorable William Houston Brown (Retired)
Debtor’s failure to make direct payments to mortgage creditor was material default. Over a period of thirty months, the debtor failed to make direct mortgage payments, as provided in the confirmed plan, and this failure was a material default of the plan and cause for dismissal of the case. The default was not discovered by the trustee until the 58th month of the plan, and the trustee had standing to move for dismissal. Payments “outside the plan” were still within the plan’s terms for default purposes.
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