Category Archives: Financing

Avoiding Mortgages: Local Rules Rule

Oliveras v. Banco Popular de Puerto Rico (In re Casanova), 595 B.R. 616 (Bankr. P.R. 2018) – A chapter 13 trustee brought an adversary proceeding to avoid a bank’s mortgage lien using his strong arm powers as a hypothetical bona fide … Continue reading

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Avoiding Mortgages: Not All Typos Are Fatal

Fuhrman v. Wilmington Sav. Fund Society FSB (In re Fuhrman), 596 B.R. 343 (Bankr. E.D. Mich. 2018) – A chapter 13 debtor sought disallowance of a mortgage claim based on an error in the mortgage legal description. The lender moved to … Continue reading

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Debt Recharacterization, Etc.: Standing, Standing and More Standing

Elswick Co., LLC v. Comm2013 CCRE12 Crossings Mall Road LLC (In re Tara Retail Group, LLC), 595 B.R. 215 (Bankr. N.D. W.Va. 2018) – An unsecured tenant creditor brought an adversary proceeding to recharacterize or equitably subordinate a $17 million claim … Continue reading

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Discharge of Debt: A Seller Relying on a Buyer’s Assumption of Debt May Be Out of Luck If the Buyer Files Bankruptcy

Recanati v. Roberts (In re Roberts), 594 B.R. 484 (Bankr. N.D. Fla. 2018) – In connection with acquisition of a restaurant the debtor agreed to assume debts of the business. After the debtor filed a chapter 7 bankruptcy, the former owners … Continue reading

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Avoiding Mortgages: What Happens When A Stranger to The Transaction Files a Discharge in Error?

Kelley v. Ocwen Loan Servicing, LLC (In re Bowers), 595 B.R. 869 (Bankr. M.D. Ga. 2018) – A chapter 7 trustee sought to avoid a security deed based on the fact that as of the petition date satisfactions of the security … Continue reading

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Mortgage Loans: Beware Time Bars on Enforcing a Note or Mortgage

In re Eastman, 588 B.R. 600 (Bankr. D. Colo. 2018) – A chapter 13 debtor objected to the proof of claim filed by a mortgagee. The primary issue was whether the applicable statute of limitations precluded recovery of delinquent payments that … Continue reading

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Foreclosure Sales: When Does a Debtor Lose the Ability to Interfere with the Sale?

In re Vertullo, 593 B.R. 92 (Bankr. D. N.H. 2018) – A mortgagee that sold a chapter 13 debtor’s home in a prepetition foreclosure auction but had not yet recorded a foreclosure deed sought relief from the automatic stay in order … Continue reading

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