Undersecured Short-Term Mortgages May be Crammed Down

By Angela M. Scolforo, Staff Attorney to Herbert L. Beskin, Chapter 13 Trustee (Charlottesville, VA)

In Hurlburt v. Black,1 the en banc Fourth Circuit Court of Appeals overturned its prior decision in Witt,2 and held that Bankruptcy Code § 1322(c)(2) authorizes modification of some home mortgage loans through bifurcation and cram down. This enables debtors to cram down home mortgage loans for which the last payment is due before the end of the plan term, if the Debtor is able to . . .

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ABI Commission on Consumer Bankruptcy – Post-Petition Changes in Value

July 14, 2019

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN) One of the issues raised at the public hearings of the Commission concerned Chapter 7 trustees that would not take prompt action to abandon exempt or partially exempt assets but, would retain assets in the hope that there might be equity in the future to sell the asset for...

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Surrender of Collateral in a Plan- What Is the Court to Do if the Debtor Doesn’t Follow Through?

June 2, 2019

By Tammy E. Stickley and Francis J. DiCesare, Staff Attorneys for Margaret A. Burks, Esq. Chapter 13 Standing Trustee (Cincinnati, OH) In a media age in which people expect to be told when “spoilers” are ahead, this summary needs no such warning. Courts have little patience for debtors who surrender collateral – especially real estate – then oppose the foreclosure...

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What Else Does the Code Say About Interest and Unsecured Debts?

Ken Siomos

March 31, 2024

While some circuits differ, statutory interpretation suggests similar treatment for secured and unsecured claims regarding interest disallowance, unless context dictates otherwise. Attorney Siomos brings subscribers a follow-up to last week’s article.

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How My Law Firm Learned to Stop Leaving Money on the Table Part 1 – Looking at Bankruptcy Cases Differently

Mark C. Leffler

April 17, 2022

Mark Leffler, of the Boleman Law Firm in Virginia and also the current President of the Academy for Consumer Bankruptcy Education, begins a series of articles describing his firm’s development of a broader practice on behalf of consumer debtors. Look for subsequent parts of this series over the next few weeks. My fellow self-described consumer bankruptcy lawyers: you wield more...

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ABI Commission on Consumer Bankruptcy – Collateral Repossessed Pre-Petition

October 6, 2019

By Henry E. Hildebrand, III, Chapter 13 Standing Trustee (Nashville, TN) One of the most difficult situations faced by a debtor and debtors’ counsel is the repossession of important collateral securing a debt owed to a creditor. These items, such as automobiles, furniture, boats, and mowers which have been pledged to a creditor are important – often critical – to...

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A Practical Approach to Using Bankruptcy Rules Effectively – Part 3

Beverly M. Burden

February 16, 2025

This third article could be subtitled: “Uh-Oh! I Can’t Meet (or I Missed) a Deadline.” Setting deadlines is a critical component of any set of procedural rules. Practitioners must be aware of not only when and how a deadline can be extended, but WHETHER a deadline can be extended.

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Is an Unemployment Compensation Payment Exempt?

May 17, 2020

By Lawrence R. Ahern, III, Brown & Ahern (Nashville, TN) Introduction As of April 16, 2020, more than 22,000,000 people in the United States were reported to have filed for unemployment aid, "a staggering loss of jobs that has wiped out a decade of employment gains and pushed families to line up at food banks as they await government help."1...

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Is Nunc Pro Tunc Really Sunk?

December 20, 2020

By James M. Davis, Staff Attorney to Chapter 13 Standing Trustee Henry E. Hildebrand, III (Nashville, TN) Bankruptcy Courts take determinations from the Supreme Court seriously. And rightfully so. But sometimes, some bankruptcy courts are guilty of reading too much into the Court’s statements. The latest example is the soul searching around “nunc pro tunc” (“now for then”) orders. Earlier...

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