Category Archives: Financing

First Residential Mortgages: Do Not Take Anti-Modification Protection for Granted

In re Birmingham, 846 F.3d 88 (4th Cir. 2017) – A chapter 13 debtor sued his lender requesting a declaration that his chapter 13 plan could modify the lender’s mortgage on his primary residence. The bankruptcy court granted the lender’s … Continue reading

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Short Sale: Is There an Argument That an Underwater Mortgagee Is Required to Consider and Approve?

Hackman v. Nationstar Mortgage, LLC (In re Hackman), 563 B.R. 812 (Bankr. E.D. Va. 2017) – A Chapter 11 debtor sued the holder of his deed of trust note on various grounds, including fraud, breach of an implied covenant of … Continue reading

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Chapter 13 Plans: Start With The Standard Local Plan, And Then What? (Not Much)

In re Sperry, 562 B.R. 1 (Bankr. D. Mass. 2016) – The debtors’ chapter 13 plan included a provision requiring the first mortgagee to send the debtors monthly mortgage loan statements. The mortgagee argued that this made the plan unconfirmable.

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UCC Debtor Name: To Avoid Disaster Dot All of The I’s and Don’t Forget the T’s

Mainsource Bank v. Leaf Capital Funding, LLC (In re Nay), 563 B.R. 535 (Bankr. S.D. Ind. 2017) – A bank brought an adversary proceeding seeking a determination of the validity and priority of the competing lien of an equipment lender. … Continue reading

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Avoiding Mortgages (Again): Consider Carefully the Form of Execution / Acknowledgment When Using a Power Of Attorney

HSBC Bank USA, N.A. v. Lassman (In re DeMore), 844 F.3d 292 (1st Cir. 2016) – A chapter 7 trustee sought to avoid a mortgage using his strong arm powers based on an improper acknowledgment by a person executing the … Continue reading

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Interpreting a Guaranty: Teeny Typo Turns Into a Colossal Pain

WBCMT 2007 C33 Office 9720, L.L.C. v. NNN Realty Advisors, Inc., 844 F.3d 473 (5th Cir. 2016) – A noteholder sought to enforce a guaranty of a $17.5 million loan made to various entities for the purpose of acquiring tenant-in-common … Continue reading

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