By Karin N. Amyx, Staff Attorney to Chapter 13 Trustee Carl Davis (Wichita, KS) Trustees possess a variety of sensitive information that could be useful to litigants in contract disputes, divorce and child custody matters, insurance litigation or criminal prosecution. Additionally, debtors, creditors or third parties may be interested in the trustee’s internal operating procedures or legal position on disputes...
Separate Classification and Unfair Discrimination – Co-obligors Debts
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By Jeffrey M. Kellner, Chapter 13 Trustee (Dayton, OH)
As a Chapter 13 Trustee faced with numerous proposed plans which discriminate in the payments to non-priority unsecured claims, it does not happen often when the plan proposes to pay the unsecured claims of co-obligors less than the 100% dividend proposed to non-priority unsecured claims.
The issue was presented before the Court at a contested confirmation hearing on a creditor’s Objection to Confirmation. The plan proposed a 100% dividend to non-priority unsecured creditors; except, no payments would be made to unsecured claims with co . . .
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