In re Morales
Jun 26, 2015OUTCOME: Chapter 11 Plan was confirmed.
This was a Chapter 11 case filed in the Central District of California, Riverside Division, Judge Johnson presiding.
Los Angeles, CA
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OUTCOME: Chapter 11 Plan was confirmed.
This was a Chapter 11 case filed in the Central District of California, Riverside Division, Judge Johnson presiding.
OUTCOME: A Big Win for the Debtor
The Office of the United States Trustee filed a Motion to dismiss the bankruptcy case on the grounds of abuse. The issue is whether the debtor may include in her “means test†calculation paymen ... ts due on her secured property obligations, notwithstanding the fact that she intends to surrender the property subject to the security interest and will not be making payments on the secured debt postpetition. After analysis of the statutory language as applied to the facts of this case, the court joined with the majority of bankruptcy court decisions addressing this issue and finds the debtor is entitled to deduct these secured payments in her means test calculations. As a result of this deduction, the debtor passes the means test of §707(b)(2).
OUTCOME: Win of bankruptcy appeal
A very successful bankruptcy appellate defense. Debtor's ex wife appealed the Confirmation of the debtor's Plan. The debtor prevailed. A tort claim was properly scheduled in the debtor's bankruptcy cas ... e with a claim amount of "unknown".