Category Archives: Financing

Defective Mortgages: Variations on a Theme

Harker v. PNC Mtg. Co. (In re Oakes), 581 B.R. 500 (6th Cir. B.A.P. 2018) – A chapter 7 trustee sought to avoid a recorded mortgage with a defective acknowledgment using his strong arm powers. The bankruptcy court ruled in favor … Continue reading

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Defective Mortgages: There Is Constructive Notice, and Then There Is Inquiry Notice

Kelley v. USAA Fed. Sav. Bank (In re Jones), 580 B.R. 916 (Bankr. M.D. Ga. 2017) – A chapter 7 trustee sought to avoid a lender’s lien on property of the debtor. The recorded deed of trust was not signed by … Continue reading

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UCC Terminations: An “Oops” Filing Can Be Fatal

Crop Production Services, Inc. v. Wheeler (In re Wheeler), 580 B.R. 719 (Bankr. W.D. Ky. 2017) – A chapter 7 debtor was a farmer who obtained various loans for equipment and land and to put crops in the field. One of … Continue reading

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Chapter 13 Plan Forced Vesting: If There Is No Objection And A Plan Is Confirmed, The Matter Is Settled Whether The Law Is Or Not

In re Peterson, 581 B.R. 789 (Bankr. D. Md. 2018) – A chapter 13 debtor confirmed a plan that provided for surrender of her condominium unit to secured creditors. After confirmation, the condominium association sought relief from the automatic stay to … Continue reading

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Manufactured Home Loans: Deciding Whether the Chapter 13 Anti-Modification Provision Applies Can Be A Vexatious Issue

The Paddock, LLC v. Bennett (In re Bennett), 584 B.R. 15 (8th Cir. B.A.P. 2018) – The debtors proposed a chapter 13 plan that modified the rights of a creditor whose claim was secured by their manufactured home. The creditor objected … Continue reading

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Disallowed Claims and Lien Stripping: Plain English May Not Be Sufficient to Win the Day

Kohout v. Nationstar Mortgage, LLC, 576 B.R. 290 (N.D.N.Y. 2017) – Chapter 13 debtors sought to avoid a mortgage lien after the claim was disallowed on procedural grounds. The bankruptcy court found in favor of the mortgagee and the debtors appealed … Continue reading

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Springing Liability: Full Recourse Means Full Recourse

Oak Creek Plaza, LLC v. Thrivent Financial for Lutherans, 579 B.R. 460 (N.D. Ill. 2017) – The key issue in this case turned on interpretation of the recourse provisions of a mortgage note. The bankruptcy court held that the debtor’s bankruptcy … Continue reading

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