Creditor: The person or organization to whom the debtor owes money or has some other form of legal obligation. … [Continue reading]
What is Bankruptcy Conversion?
Posted on December 29, 2009 Written by
Conversion: Cases under the Code may be converted from one chapter to another chapter; for example, a Chapter 7 case may be converted to a case under Chapter 13 if the debtor is eligible for Chapter 13. Even though the chapter of the Code which … [Continue reading]
What is a Contingent Debt?
Posted on December 28, 2009 Written by
Contingent: Used to describe debts that are not fixed in right at the time, but are dependent on some other event happening to fix the liability. … [Continue reading]
What Is Consumer Debt in Bankruptcy?
Posted on December 27, 2009 Written by
Consumer Debt:Â Debts incurred by an individual for personal, family or household purposes. Taxes are not consumer debts; neither are business loans. The means test only applies to those with primarily consumer debt. … [Continue reading]
Timeshare Debt Allowed on Means Test, Adult Child Disallowed
Posted on December 26, 2009 Written by
MORE LINE BY LINES OF B22C In re Hays, Case No 07-41285 April, 2008, Judge Karlin 13 Trustee objections to debtor’s attempts to claim living expenses for non-dependent debtors as well as for secured debt on a timeshare. Court followed Law and … [Continue reading]
What Is Confirmation in Bankruptcy?
Posted on December 26, 2009 Written by
Confirmation: The court order which makes the terms of the plan for repayment of debts in a Chapter 11, 12 or 13 binding. The terms of the confirmed plan replace the prepetition rights of the debtor and creditor. … [Continue reading]
Local Bankruptcy Rules Changes Proposed
Posted on December 25, 2009 Written by
The U.S. Bankruptcy Court for the District of Kansas is taking written comments on Proposed Local Rules of Practice and Procedure until January 1, 2010. Interested persons, whether or not members of the bar, may submit comments on the Proposed … [Continue reading]
Bankruptcy Time Counting Rules Changed
Posted on December 25, 2009 Written by
Among the time-computation amendments to the Federal Rules of Bankruptcy Procedure that will take effect on December 1, 2009, are changes to 12 rules that will result in a reduction by one day (from 15 to 14 days) of the time to take action. The … [Continue reading]
Nonworking Adult Son Not Counted in Household
Posted on December 25, 2009 Written by
B22C CASE, LINE BY LINE… In re Law, Case No. 07-40863 April 2008, Judge Karlin Court sustained 13 Trustee’s objection to confirmation as debtor included: adult son in household size, tax levy on Line 33 and duplicated it on Line 49 and … [Continue reading]
What Is Collateral in Bankruptcy?
Posted on December 25, 2009 Written by
Collateral: The property that is subject to a lien. A creditor with rights in collateral is a secured creditor and has additional protections in the Bankruptcy Code for the claim secured by collateral. The measure of the secured claim is the value of … [Continue reading]
Deduct Full Secured Debt on Bankruptcy Means Test
Posted on December 24, 2009 Written by
OK FOR CHAPTER 13 DEBTORS TO TAKE B22C DEDUCTION FOR FULL PAYMENT RATHER THAN CRAM DOWN AMOUNT In re Allen, Case No. 07-41327 February 2008, Judge Karlin Objected to confirmation on the basis that Debtor's means test calculations erroneously … [Continue reading]
What Does Charged Off Mean?
Posted on December 24, 2009 Written by
Charged Off: This is an accounting term that means the creditor does not expect to collect on the debt. It relates to the creditor’s taxes. It starts time periods under the Fair Credit Reporting Act. It does not mean that the debt is no longer … [Continue reading]
Don’t Be Fooled by False Letter that Says Your Bankruptcy is Dismissed – Your Stay Still in Effect
Posted on December 24, 2009 Written by
A Florida debt adjuster sent letters to Chapter 13 bankruptcy debtors in Kansas falsely telling them that their bankruptcy cases were dismissed and to call right away "to discuss the terms of your dismissal."Â What a scam! These letters from … [Continue reading]
Car Deduction Allowed on Means Test, Reversed by District Court
Posted on December 23, 2009 Written by
CAR DEDUCTIONS ALLOWED EVEN THOUGH NO LIEN In re Thomas, Case No 06-21108 In re Camacho, Case No. 06-20729 October 2007, Judge Berger UST Motion To Dismiss under 707(b) for presumed abuse based upon totality of circumstances was denied. The … [Continue reading]
What Does Confirmed Mean?
Posted on December 23, 2009 Written by
Confirmed: A plan of reorganization in Chapter 11, 12 or 13 approved by the court and binding on the parties is said to be confirmed. … [Continue reading]
No Early Payoff, But Chapter 13 Bankruptcy Plan Modification Possible
Posted on December 22, 2009 Written by
PLAN MAY NOT PROPOSE EARLY PAYOFF BUT 1329 MAY ALLOW POST CONFIRMATION MODIFICATION In re Kidd, et al, Case No. 06-41232 August 2007, Judge Karlin The Court recognized changes in 1324(b)(4) and held that debtors may not propose an early pay off … [Continue reading]
