Critical Case Comment

By Henry E. Hildebrand, III

A Chapter 13 debtor may void a valueless lien even where the creditor does not file a proof of claim. (Diaz) Burkhart v. Grigsby et al, 2018 WL 1526628 (4th Cir., March 29, 2018)

Case Summary

Michael and Teresa Burkhart filed a Chapter 13 bankruptcy petition in September of 2012. Their home was encumbered by four liens. The first lien, held by Chase Bank, was for $609,500. The second and third liens were held by Tri-County Bank totaling $127,700 and a forth lien held by PNC . . .

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