Tag Archives: financing

Mortgage Liens: Can Liens Be Stripped Off in a Chapter 13?

Woolsey v. Citibank, N.A. (In re Woolsey), 696 F.3d 1266 (10th Cir. 2012)  – A Chapter 13 plan proposed to strip off the lien of a junior residential mortgage that was totally underwater.  The bankruptcy court sustained an objection to the … Continue reading

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Mortgage Liens: Can Liens Be “Stripped Off” (vs. “Stripped Down”) in a Chapter 7 Case?

Wachovia Mortgage v Smoot, 478 B.R. 555 (E.D.N.Y. 2012) – In Smoot, the bankruptcy court held that a  totally underwater junior lien on a residential property could be “stripped off” in a Chapter 7 case – choosing to follow a Second … Continue reading

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Secured Claims: What Does it Take to Extinguish a Lien Through a Plan?

In re Omega Optical, Inc., 476 B.R. 157 (Bankr. E.D.Pa. 2012) – A bank filed a proof of claim in a bankruptcy that erroneously identified its claim as unsecured.  After confirmation of a chapter 11 plan of reorganization that treated the claim … Continue reading

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Priority Fight: Equipment Vendor Takes On Mortgagee

MTGLQ Investors, LP v. Bresco Solutions, LLC (In re Marvel Cliff Crossing Apartments, LLC), 484 B.R. 175 (Bankr. S.D. Ohio 2012) – In Marvel Cliff, an equipment vendor sold and installed security cameras and wireless internet access equipment together with related … Continue reading

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Mortgagee “Cramdown”: Sometimes You Just Can’t Win

Fed. Nat’l Mortgage Ass’n v. Village Green I, GP, 483 B.R. 807 (W.D. Tenn. 2012) – Fannie Mae objected to a “cramdown” plan of reorganization, arguing that (i) the accepting class of creditors was artificially impaired, (ii) the modification of its … Continue reading

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Mortgagee Standing: This Time MERS Is Not The Problem (a/k/a Sloppy Securitization Procedures Strike Again)

In re Idicula, 484 B.R. 284 (Bankr. S.D. N.Y. 2013) – A servicer acting on behalf of U.S. Bank National Association, as trustee on behalf of holders of asset backed pass-through certificates, moved for relief from the automatic stay in order to … Continue reading

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