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Forced Vesting by Any Other Name – Just Might Work
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By Academy Staff
Those who have been around consumer bankruptcy for a while remember the halcyon days when a Debtor surrendered property in the Plan; Plan was confirmed; lender would foreclosure and file its deficiency claim; Debtor would complete the Plan; and obtain a discharge of all unsecured debts including the deficiency balance. Lenders were able to realize on the collateral with minimal problems; Debtors were able to get on with their lives; and Real Estate Agents were happy (after all, lenders had to hire someone to help dispose of foreclosed properties).
Then along came the great recession . . .
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