§ 1325(b)

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

In re Hight-Goodspeed

This matter was before the court with regard to confirmation of debtor's proposed chapter 13 plan. The trustee objected to confirmation claiming that the plan did not satisfy the requirements of 11 U.S.C.S. § 1325(b)(1). The issues raised by that objection were submitted for a decision on stipulations of fact and the briefs of counsel.
Ruling: 
Confirmation denied due to failure to devote all disposable income to plan or pay unsecured claims in full with interest.
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Consumer case opionion summary, case decided on October 31,2012, LexisNexis #0413-066

Beaulieu v. Ragos (In re Ragos)

Bankruptcy debtors voluntarily filed a joint chapter 13 bankruptcy petition. The chapter 13 trustee objected to confirmation of the debtors' plan because the debtors did not dedicate 100% of their social security income to the plan for payment to creditors. After a hearing, U. S. Bankruptcy Court for the Eastern District of Louisiana rejected the trustee's arguments. The trustee appealed.
Ruling: 
Social Security income was properly excluded from projected disposable income calculation.
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Consumer case opionion summary, case decided on October 29,2012, LexisNexis #1112-101

Anderson v. Cranmer (In re Cranmer)

Debtor filed a chapter 13 bankruptcy repayment plan which excluded Social Security income (SSI) from the projected disposable income calculation. Appellant bankruptcy trustee objected, and the bankruptcy court denied confirmation of the plan. Debtor appealed, and the U.S. District Court for the District of Utah reversed. The trustee appealed.
Ruling: 
Receipt of Social Security income was not a change in income and was properly excluded from projected disposable income.
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Consumer case opionion summary, case decided on October 24,2012, LexisNexis #1112-065

In re Johnson

A bankruptcy debtor calculated projected disposable income for distribution to creditors under the debtor's plan based on a household size of two which included the debtor's adult son. The bankruptcy trustee objected to confirmation of the debtor's plan.
Ruling: 
Objection to confirmation denied as son who was totally financially dependent upon debtor was properly included in household.
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Consumer case opionion summary, case decided on October 19,2012, LexisNexis #1212-068

In re Deluna

Chapter 13 debtors filed a plan that allowed them to keep making car lease payments outside the plan for one of their vehicles, as a long term debt, pursuant to 11 U.S.C.S. § 1322(b)(5). The portion of the plan payment attributable to the remaining debt on that vehicle was only $59 a month.
Ruling: 
Debtor could make car lease payments outside plan as long term debt.
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Consumer case opionion summary, case decided on October 02,2012, LexisNexis #1012-138

In re Mack

Before the court was the issue of confirmation of debtor's chapter 13 plan. The chapter 13 Trustee objected to confirmation and also sought dismissal of the case.
Ruling: 
Objection to confirmation based on failure to include non-debtor spouse's income in current monthly income calculation overruled.
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Consumer case opionion summary, case decided on September 11,2012, LexisNexis #0213-028

In re Tibbs

Chapter 13 debtors filed a motion to modify their confirmed plan to allow the approval of an early payoff of the principal balance on the plan in a single payment, before the applicable commitment period of five years had run, without paying allowed unsecured claims in full. No creditor objected, but the trustee asserted that the modification was improper.
Ruling: 
Plan modified to allow debtor to accelerate remaining distributions with single lump sum payment.
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Consumer case opionion summary, case decided on August 31,2012, LexisNexis #1012-100

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