§ 1325(b)

In re Pliler

Trustee objected to a chapter 13 plan proposed by a married couple who were above-median income debtors and sought dismissal on grounds that confirmation was improper given the inclusion of an early termination (ET) clause allowing debtors to exit chapter 13 in 55 months if trustee commissions and debtor's attorneys fees were paid, which period was five months less than the applicable commitment period (ACP) in 11 U.S.C.S. § 1325(b)(4)(A).
Ruling: 
Early termination clause allowing debtor to exit chapter 13 in 55 months, rather than 60, was void.
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Consumer case opionion summary, case decided on January 15,2013, LexisNexis #0213-029

In re Tedder

Trustee objected to a chapter 13 plan proposed by debtors and sought dismissal of the case for failure to file a plan in good faith and failure to pay required amounts for the entirety of the applicable commitment period (ACP) per 11 U.S.C.S. § 1325(b)(1). Issues included whether the plan's early termination (ET) clause rendered it non-confirmable and whether it was an attorney-fee only scheme that was not proposed in good faith.
Ruling: 
Early termination provision was void but plan could otherwise be properly confirmed.
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Consumer case opionion summary, case decided on January 14,2013, LexisNexis #0213-025

In re Boyd

Trustee objected to a chapter 13 plan proposed by a below-median income debtor and sought dismissal on grounds that confirmation was improper given the inclusion therein of an early termination (ET) clause allowing debtor to exit chapter 13 in 31 months if trustee commissions and debtor's attorneys fees were paid, which period was five months less than the applicable commitment period (ACP) in 11 U.S.C.S. § 1325(b)(4)(A).
Ruling: 
Chapter 13 plan could not provide for termination short of applicable commitment period.
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Consumer case opionion summary, case decided on January 14,2013, LexisNexis #0213-030

In re Scott

Before the court were two chapter 13 cases where the trustee objected to confirmation because the debtors were not including certain social security benefits in the calculation of "projected disposable income" under 11 U.S.C.S. § 1325(b)(1)(B).
Ruling: 
Social security benefits were not properly included in projected disposable income calculation.
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Consumer case opionion summary, case decided on January 11,2013, LexisNexis #0213-026

In re Ballew

Trustee sought dismissal of numerous chapter 13 cases on claims including that some debtors had failed to contribute their projected disposable income (PDI) to pay unsecured creditors per 11 U.S.C.S. § 1325(b)(1)(B) based on claims that the presence of early termination language in some of the plans and the use of plan terms of less than 5 years in others improperly resulted in unsecured creditors receiving less than such debtor's PDI.
Ruling: 
Applicable commitment period only applied to debtors making payments based on positive projected disposable income.
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Consumer case opionion summary, case decided on January 11,2013, LexisNexis #0213-027

In re Toxvard

Before the court was the confirmation of chapter 13 debtor's second amended chapter 13 plan and the objection to confirmation filed by the chapter 13 trustee.
Ruling: 
Confirmation denied due to failure to provide income information for nondebtor spouse.
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Consumer case opionion summary, case decided on January 09,2013, LexisNexis #0113-130

In re Drapeau

Before the court was an objection by the chapter 13 trustee to confirmation of debtors' chapter 13 plan.
Ruling: 
Objection to confirmation based on debtor's failure to include retirement contribution in projected disposable income overruled.
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Consumer case opionion summary, case decided on January 08,2013, LexisNexis #0113-131

Meyer v. United States Trustee (In re Scholz)

Trustee objected to chapter 13 debtors' calculation of their current monthly income under 11 U.S.C.S. 101(10A). The bankruptcy court overruled the trustee's objection. The Bankruptcy Appellate Panel of the Ninth Circuit (BAP) found that a Railroad Retirement Act of 1974 (RRA) annuity was current monthly income but not projected disposable income under 11 U.S.C.S. § 1325(b). The trustee appealed.
Ruling: 
Railroad Retirement Act annuity should not have been excluded from projected disposable income calculation.
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Consumer case opionion summary, case decided on November 15,2012, LexisNexis #1212-030

In re Grabarczyk

A chapter 13 Trustee objected to the confirmation of debtors' amended plan, arguing that the amended plan did not meet the projected disposable income test of 11 U.S.C.S. § 1325(b)(1)(B).
Ruling: 
Confirmation denied due to debtors' failure to devote all projected disposable income to plan.
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Consumer case opionion summary, case decided on November 06,2012, LexisNexis #1112-135

In re Hersh

A bankruptcy debtor proposed a plan which provided for payment to creditors of the debtor's projected disposable income based on support payments from the debtor's estranged spouse. A creditor objected to confirmation of the debtor's plan on the ground that not all of the debtor's projected disposable income was applied to the plan as required by 11 U.S.C.S. 1325(b)(1).
Ruling: 
Confirmation denied due to failure to apply all projected disposable income to payment of unsecured creditors.
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Consumer case opionion summary, case decided on November 02,2012, LexisNexis #1212-031

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