Tag: chapter 13

Chapter 13 is a chapter or type of bankruptcy that lets someone with cash flow repay some or all of their debt in one monthly payment, freezing interest, and being protected from law suits and collections.

 

 

Welsh is a gift from the 9th Circuit for every bankruptcy attorney

Chapter 13, Social Security, & Luxury Debt: A Case you Must Know

Posted by Hale Andrew Antico on

Chapter 13, Social Security, & Luxury Debt: A Case you Must Know

Why Welsh is the greatest Chapter 13 case ever

Every now and then, courts pass down a ruling on a subject that is so practical and a decision so favorable to consumer debtors that it’s as if the heavens opened, angels sang, and cherubim hand-delivered a gift to attorneys far and wide on the wings of a unicorn. The Ninth Circuit’s In re Welsh is such a case.

Introduction

On this, the ten-year anniversary of In re Welsh, 711 F.3d 1120 (9th Cir, 2013), it seems relatively few attorneys know about this ruling, and how it can benefit debtors. Or at least, far fewer bankruptcy lawyers know about this than should. Yet we all should have it tattooed on the inside of our eyelids.

So, with the goal of getting the word out there, and celebrating a decade of relative anonymity, here’s a loud and triumphant commemoration as a monument to one of the greatest debtor cases in bankruptcy jurisprudence, and all of its varied folklore.

Continue reading “Chapter 13, Social Security, & Luxury Debt: A Case you Must Know” →

last will and testament receive inheritance bankruptcy

Inheritance, Bankruptcy and Chapter 13

Posted by Hale Andrew Antico on

Inheritance, Bankruptcy and Chapter 13

The mysterious interplay between Sections 541 and 1306 of the Bankruptcy Code

In bankruptcy, do inheritances go to the debts, or can the debtor keep them?  Does timing matter? What about Chapter 7 vs 13? What happens when someone in a Chapter 13 bankruptcy receives an inheritance after confirmation?

It all depends on the chapter, and when the debtor got the interest. Not the money interest, but the property interest.

Let’s break it down.

Continue reading “Inheritance, Bankruptcy and Chapter 13” →

Fighting over home appreciation in a converted bankruptcy

9th Cir: Here’s who gets Asset Appreciation in Converted Bankruptcy

Posted by Hale Andrew Antico on

9th Cir: Here’s who gets Asset Appreciation in Converted Bankruptcy

Ninth Circuit rules home appreciation which accrued between Chapter 13 confirmation and conversion to Chapter 7 can be administered to repay debts, creating split from 10th Circuit

It’s not uncommon for a debtor in Chapter 13 bankruptcy to need to convert to Chapter 7 if debtor has a job loss or health problems.  In a rising real estate market, homes can appreciate between confirmation and conversion. To whom does the appreciation in equity belong? This is where debtors and Chapter 7 trustees fight fiercely over the home and its new equity.

Continue reading “9th Cir: Here’s who gets Asset Appreciation in Converted Bankruptcy” →

Post-confirmation proceeds may or may not go into a Chapter 13, depending on circuit and judge.

Post-confirmation Assets Part of a Chapter 13? It Depends

Posted by Hale Andrew Antico on

Post-confirmation Assets in Chapter 13: Property of the Estate? Maybe.

In a Chapter 13 bankruptcy, do Debtors have to pay the trustee new property they get after confirmation? The answer may surprise you.

Your chapter 13 case is confirmed, things are sailing along, and then it happens:  there’s an inheritance or personal injury reward or life insurance payout or large asset of new property. Is this property of the estate, or is this the debtor’s and excluded from the bankruptcy case?

It all hinges on the tension between Sections 1306 versus 1327 of the Bankruptcy Code. Let’s see what all the fuss is about.

Continue reading “Post-confirmation Assets Part of a Chapter 13? It Depends” →

Absolute Right to Dismiss Chapter 13 is a Happy Green Light

9th Cir BAP: Actually, Absolute Right to Dismiss means Absolute

Posted by Hale Andrew Antico on

9th Cir BAP: Actually, Absolute Right to Dismiss means Absolute

Ninth Circuit Bankruptcy Appellate Panel finds no “eligibility” exception to right to dismiss a Chapter 13 bankruptcy

Recent BAP ruling answers the question if debtor’s right to dismiss a Chapter 13 bankruptcy after Nichols is absolute, or if debt limit ineligibility restricts it.

Continue reading “9th Cir BAP: Actually, Absolute Right to Dismiss means Absolute” →

Bankruptcy can toll or extend the statute of limitations using Section 108(c)

Does Bankruptcy Toll the Statute of Limitations? 108c Top Points

Posted by Hale Andrew Antico on

Does Bankruptcy Toll the Statute of Limitations? 108c Top Points

Does bankruptcy’s automatic stay toll a statute of limitations for a creditor’s claim or judgment, or extend it in Calif and beyond. What to know.

When a bankruptcy is dismissed or discharged, is the statute of limitations tolled on an earlier claim by the automatic stay, and suspended? Or is the statute of limitations extended by a few weeks with just a little bit of time tacked on? The answer could make a big difference on how much time the creditor has the act on their claim, lawsuit, lien, or other collection actions.

Continue reading “Does Bankruptcy Toll the Statute of Limitations? 108c Top Points” →

It's possible to change a Chapter 13 plan payment

Changing the Plan Payment in Chapter 13 Bankruptcy: What to Know

Posted by Hale Andrew Antico on

Changing the Plan Payment in Chapter 13 Bankruptcy by Motion to Modify: What to Know

A Motion to Modify can drop the Chapter 13 plan payment

You can change your payment amount in Chapter 13 bankruptcy, and this is done by a Motion to Modify. It can lower your payment. But beware, someone can also raise it. Here is everything you need to know.

So I can change my monthly payment for a Chapter 13?

Yes. Of course, there has to be a reason (and I want more money for movies and travel isn’t good enough). Let’s look and see what the law says.

Continue reading “Changing the Plan Payment in Chapter 13 Bankruptcy: What to Know” →

lien in bankruptcy cars

Liens in Bankruptcy: The Ultimate Guide, Explained

Posted by Hale Andrew Antico on

Liens in Bankruptcy: The Ultimate Guide, Explained

Liens in bankruptcy typically survive and don’t get affected by the discharge. However, there are exceptions where the lien can be reduced or even eliminated. I try to break these down in simple terms that are easy to grasp. But don’t be fooled: bankruptcy is more complicated than you think. Get a consultation with an attorney, and make sure you check out my list of 12 crucial tips to do or avoid before filing bankruptcy.

What is a Lien in Bankruptcy?

A lien is a security interest of a debt that encumbers a thing owned by the borrower until the debt is paid. One common example is a car and the car loan. The borrower who “owns” a car can’t just sell the car outright. He has to pay the debt secured by the lien against the car first. Then, once the debt is paid, the lien is satisfied and removed.

Section 101(37) of the Bankruptcy Code defines “lien” as:

charge against or interest in property to secure payment of a debt or performance of an obligation.

How does bankruptcy affect a lien? The General Rule

The general rule for liens in bankruptcy (and there are exceptions) is that bankruptcy doesn’t affect a lien at all. If a debt is secured by a lien and collateral, if you wish to keep the asset, then that debt will survive the bankruptcy. You don’t get a free house or car in bankruptcy. Here, let me put that in a fancy quote because it is so important:

You don’t get a free house or car in bankruptcy.

– Attorney Hale Andrew Antico

Continue reading “Liens in Bankruptcy: The Ultimate Guide, Explained” →

sell home chapter 13

Sell a Home in Chapter 13 Bankruptcy: Motion to Sell or Refi

Posted by Hale Andrew Antico on

Sell a Home in Chapter 13 Bankruptcy: Motion to Sell or Refi

My clients ask me, “can I sell a home in a Chapter 13 bankruptcy?”  As a bankruptcy attorney experienced in Chapter 13, selling a house is an issue that comes up often, particularly in a robust housing market. This is written without giving advice to the specifics of your case, but merely addressing whether it’s possible to sell or refinance a house during Chapter 13.

Continue reading “Sell a Home in Chapter 13 Bankruptcy: Motion to Sell or Refi” →

Automatic stay and bankruptcy protection

All About the Automatic Stay, the Ultimate Bankruptcy Protection

Posted by Hale Andrew Antico on

All About the Automatic Stay, the Ultimate Bankruptcy Protection

What is the Automatic Stay definition or meaning?

Automatic stay is the bankruptcy protection when a new petition is filed with the court. It protects against starting or continuing any debt collection. It’s a powerful provision, and stops all collection activity, maintaining the status quo on the day the bankruptcy papers are filed. Failure to respect the bankruptcy protection can lead to sanctions against the collecting creditor.

Continue reading “All About the Automatic Stay, the Ultimate Bankruptcy Protection” →