Duty to Disclose Substantial and Unanticipated Changes in Debtor’s Financial Condition

In the case of In re Ilyev, 17-12987-KHK (Bankr. E.D. VA July 26, 2022), Judge Kenney granted the Chapter 13 Trustee’s motion to modify the plan to require the Debtor to repay some of the $29,250 of disposable income he retained by not making his mortgage payments during an 18-month Covid forbearance.

The Debtor never disclosed to the Trustee, or the Court, that he obtained a mortgage deferral for 18 months, until he filed a “Motion to Approve Proposed Covid-19 Payment Deferral” after not making his mortgage payments . . .

It looks like you are not signed in or registered! This content is only available to members.

Or Sign In Below:

Angela scolforo
Staff Attorney for Chapter 13 Standing Trustee Herbert L. Beskin (Charlottsville, VA)

Angela M. Scolforo is the Standing Chapter 13 Trustee for the Western District of Virginia.  She was appointed in 2023, after serving as Herb Beskin’s Staff Attorney for 18 years.  She has spoken on seminar panels in Virginia and nationally and enjoys learning from and interacting with her peers.  Before the Fourth Circuit Court of Appeals she successfully briefed and argued Virginia v. Webb, 908 F.3d 941 (4th Cir. 2018)(denying the ability for creditors to garnish funds held by the trustee).  For 20 years she served as the Town Attorney for Gordonsville, Virginia.  The mother of seven children and fifteen grandchildren, she is called Mom, Miss Angela, Grams, and Grandma Chocolate.  She graduated from the University of Virginia School of Law in 1998, and received a B.A. in English from the College of the Holy Cross in 1987.  A past Chairman of the Bankruptcy Section of the Virginia State Bar, she served on the Bankruptcy Section Board from 2009 through 2016.

Related Articles

October 13, 2019
Taxpayers with expiring Individual Taxpayer Identification Numbers (ITINs) can get their ITINs renewed more quickly and avoid refund delays next year by submitting their renewal application soon, the Internal Revenue Service said 10/10/19. An ITIN is a tax ID number used by taxpayers who don’t qualify to get a Social Security number. Any ITIN with middle digits 83, 84 ....
Members
M Joseph Photo 2-1-22
November 5, 2023
“The focus of this article is to review some of the issues faced in cases with pending state court marital property division proceedings.”
Members
March 17, 2019
By Wm. Houston Brown, United States Bankruptcy Judge (Retired) Confirmation - Bankruptcy court could not sua sponte object to confirmation. Distinguishing between “self-executing” provisions of the Code and those sections that were not “self-executing,” and discussing Espinosa’s impact on that distinction, District Court held that the bankruptcy court could not sua sponte object to confirmation based on the above- median...
Members
Proof of Claim
In any given year Chapter 13 Trustees administer 400,000 to 500,000 cases and distribute almost $5 billion to creditors.  A critical duty for trustees is to be sure that distributions are correctly delivered to an allowed claimant. 11 USC § 501 governs the filing of a proof of claim and 11 USC § 502 sets forth the requirements for allowance...
Members
May 2, 2021
By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of Tennessee (Nashville) In calculating an above-median income debtor’s projected disposable income, the court may deduct from the debtor’s current monthly income only the expenses as listed in the IRS manual and not the debtor’s actual expenses. (Taylor) In re Rodriguez, 520 B.R. 94 (B.A.P. 9th Cir....
Members
March 31, 2019
By Wm. Houston Brown, United States Bankruptcy Judge (Retired) Debtor’s Attorney - Chapter 13 debtors not required to seek approval to employ special counsel. The Chapter 13 debtors moved to employ special counsel for representation in state-court litigation, but § 327(e) did not apply to Chapter 13 debtors when no request was being made to pay the special counsel from...
Members
William-1_print_2019
Selected Consumer Opinions Since January 1, 2022 Automatic Stay Denial of stay relief was final and appealable, although it was “without prejudice.”Deciding an issue not addressed in Ritzen Grp., Inc. v. Jackson Masonry, LLC, 140 S.Ct. 582 (2020), the Ninth Circuit concluded that the bankruptcy court’s order denying stay relief was final and appealable, despite its “without prejudice” language, because...
Members
February 3, 2019
By Edward C. Boltz, The Law Offices of John T. Orcutt (Durham, NC) (Originally published in pertinent part at ncbarblog.com, December 19, 2018) With the publication of Evicted: Poverty and Profit in the American City, author Matthew Desmond has brought increasing attention both nationwide and in North Carolina to the growing eviction crisis. With . . . It looks like...
Members
January 27, 2019
By Kathryne M. Shaw1 Boleman Law Firm, P.C. (Virginia Beach, VA) Click here for Part 1 In Part I of this article, we reviewed In re Holman, in which the debtors violated their confirmation order and exhibited bad faith . . . It looks like you are not signed in or registered! This content is only available to members. Join...
Members
May 26, 2019
By Lawrence R. Ahern III, Brown & Ahern (Nashville, TN) Introduction In Ritzen Group, Inc. v. Jackson Masonry, LLC (In re Jackson Masonry, LLC),1 the Sixth Circuit reviewed circuit authority on finality of orders for appellate purposes and affirmed the district court's dismissal of an appeal from an order denying stay relief. The Court of Appeals said that, under 28...
Members

Looking to Become a Member?

ConsiderChapter13.org offers a forum to advance continuing education of consumer bankruptcy via access to insightful articles, informative webinars, and the latest industry news. Join now to benefit from expert resources and stay informed.

Webinars

These informative sessions are led by industry experts and cover a range of consumer bankruptcy topics.

Member Articles

Written by industry experts, these articles provide in-depth analysis and practical guidance on consumer bankruptcy topics.

Industry News

The Academy is the go-to source for the latest news and analysis in the Chapter 13 bankruptcy industry.

To get started, please let us know which of these best fits your current position: