By Brian T. Cumings, Graves, Dougherty, Hearon and Moody (Austin, TX)
Section 1329(a) of the Bankruptcy Code permits modification of a Chapter 13 plan at any time after confirmation but before completion of payments. But modifying a plan for the purpose of surrendering collateral is treated by the courts as being either outright forbidden or subject to a burden on the debtor to prove that the equities of the circumstances favor permitting surrender.
Modifying to Surrender Prior to End of Plan Period
On the broader issue of post-confirmation surrender, a split of . . .
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