Help with my trustee objections please!

[busbis]

Can anyone please help me on what this means:

1) Schedules provide that walnut creek assocation, State of FL dept of revenue and Amsouth have a secured priority claim, however the chp 13 plan fails to provide for said creditor, in violatio n of 11 u.s.c. sections 1322(a) (2) or 1325 (a) (5).

MY QUESTION: WHAT DOES THIS MEAN EXACTLY? DO I NEED TO DO ANYTHING MYSELF?

2) Mortgage Company filed a secured and/or priority proof of claim; however the plan fails to provide treatment for said claim, in violation of 11 usc sections 1322 (a) (2) or 1325 (a) (5).

MY QUESTION: WHAT DOES THIS MEAN EXACTLY? DO I NEED TO DO ANYTHING MYSELF?

3)The form B22C filed in this case includes a deduction in line 47 in the amount of $1831.66 for debt payments for real or personal property, to wit; condo, although the plan provides that said property will be surrendered and any claim filed by a lien holder whose collateral is surrendered will be treated as unsecured. The trustee objects to the inclusion of the expense for surrendered in line 47 as the debter willnot have future payments on said debts and said claims will not be treated as "secured".

MY QUESTION: DOES THIS JUST MEAN THAT I NEED TO AMEND THE BUDGET. I DON'T SEE IT ON THERE, BUT WHERE SHOULD I LOOK?

4) Debtors should provide proof of the fair market value of real property so trustee may conduct a hypothetical liquidation analysis.

QUESTION: HOW DO I GO ABOUT GETTING THIS?

5)The chp 13 budget reflects a 100 per month recreation expense, thereby preventing the contribution of all monthly disposable income to the one hundred percent composition plan.

QUESTION: IS THE TRUSTEE JUST SAYING HE JUST DON'T LIKE ME HAVING THIS IN MY BUDGET?

Sorry for the long post, but I know I can get always count on you for help.

[JollyGG]

Do you have a lawyer?

[busbis]

i do have lawyer, but for what ever reason, he decides not to return my calls or emails. I figured I could find out quicker by asking you guys.

[HHM]

First obvious question...do you have a lawyer?

Can anyone please help me on what this means:

1) Schedules provide that walnut creek association, State of FL dept of revenue and Amsouth have a secured priority claim, however the chp 13 plan fails to provide for said creditor, in violation of 11 u.s.c. sections 1322(a) (2) or 1325 (a) (5).

MY QUESTION: WHAT DOES THIS MEAN EXACTLY? DO I NEED TO DO ANYTHING MYSELF?

This means that there is a conflict between the way you provided for the debts mentioned above and the proof of claim that was filed by the creditors. YES, you need to do something, and you have 2 options.
(1) Object to the proof claimed filed by these creditors. That is assuming, of course, that those debts are really not "secured priority" claims.
(2) If those debts really are "secured priority" claims, then you need to amend your chapter 13 plan to reflect that designation, etc.

2) Mortgage Company filed a secured and/or priority proof of claim; however the plan fails to provide treatment for said claim, in violation of 11 usc sections 1322 (a) (2) or 1325 (a) (5).

MY QUESTION: WHAT DOES THIS MEAN EXACTLY? DO I NEED TO DO ANYTHING MYSELF?

Same as above, either object to the proof of claim, or amend your chapter 13 plan.

3)The form B22C filed in this case includes a deduction in line 47 in the amount of $1831.66 for debt payments for real or personal property, to wit; condo, although the plan provides that said property will be surrendered and any claim filed by a lien holder whose collateral is surrendered will be treated as unsecured. The trustee objects to the inclusion of the expense for surrendered in line 47 as the debtor will not have future payments on said debts and said claims will not be treated as "secured".

MY QUESTION: DOES THIS JUST MEAN THAT I NEED TO AMEND THE BUDGET. I DON'T SEE IT ON THERE, BUT WHERE SHOULD I LOOK?

Seems like the trustee is looking for a fight. You have two options here, either amend your budget, or file an opposition to the trustee's motion.

4) Debtors should provide proof of the fair market value of real property so trustee may conduct a hypothetical liquidation analysis.

QUESTION: HOW DO I GO ABOUT GETTING THIS?

Looks like you are going to have to go get an appraisal.

5)The chp 13 budget reflects a 100 per month recreation expense, thereby preventing the contribution of all monthly disposable income to the one hundred percent composition plan.

QUESTION: IS THE TRUSTEE JUST SAYING HE JUST DON'T LIKE ME HAVING THIS IN MY BUDGET?

The trustee is simply objecting to this expense. What is your proposed monthly payment? This part of the objection is cheesy and can usually be solved by a simple phone call to the trustee and negotiate the payment amount.

OVERALL, you can either make the changes (as well as negotiate with the trustee) the trustee wants or you can file an opposition to the trustee's motion. However, since the bulk of the trustees objections are technical, if you do not have an attorney, you should probably get one at this point.

[HHM]

I should also add...the fact that the trustee filed an objection is nothing to be worried about, in itself, a chapter 13 trustee would not be doing their job if they did not find at least something to object to in the debtors 1st proposed plan. But some of these are more technical objections which may, or may not have been avoided.

[MomIcantFindmy]

Where in Florida are you filing. We noticed quite a few cases filed in N. Florida where the trustee objected to anything extra on a BK 13.

[busbis]

Thanks HHM, but so far Amsouth, the association and FL dept of revenue have not filed claims.

Also, it states in the objection that if I am surrendering the secured property than the total claim should be considered unsecured. Is this correct or should we object to that? We proposed a 100% payback, but we didn't include any of the surrendered property. I thought I always read that if it is secured than you have the option of surrendering, but shouldn't it still reflect a secured claim?

[HHM]

Thanks HHM, but so far Amsouth, the association and FL dept of revenue have not filed claims.

Also, it states in the objection that if I am surrendering the secured property than the total claim should be considered unsecured. Is this correct or should we object to that? We proposed a 100% payback, but we didn't include any of the surrendered property. I thought I always read that if it is secured than you have the option of surrendering, but shouldn't it still reflect a secured claim?

There are two issues you are facing with the condo....

Sounds like the trustee is objecting to the way the plan dealt with the secured claim of the mortgage. This may just be a mistake in the way the plan designated the claim. Yes, if the property is going to be surrendered, then the ONLY claim the creditor will have is an unsecured claim (the deficiency, if any). However, no one knows that amount, so there is an unliquidated, contingent claim out there. Now, since the condo has not been foreclosed, the proof of claim would still reflect as secured, because title has not passed to the bank. I would imagine this is probably an easy issue to resolve (but since your attorney didn't do it right the first time, I am concerned).

The second issue is the expense objection to the condo payment. That is a tough one and could really sabotage your chapter 13 plan. Hopefully your lawyer can straighten it out.

[busbis]

I went over everything and did find several errors that the atty did. I will have to get with him next week. But the corrections that I made were on the Form 22C which is the Monthly Income and Calculation of Commitment Period and Disposable Income. What is the difference between this form and the Schedule J. My Schedule J is more in line with what my disposable income is and can not afford what is stated on the other form, it is twice the amount. Which form does the court go by?

[busbis]

HHM, I have looked over my papers that my atty filed and in the previous post I mentioned that he made mistakes. It appears that maybe he didn't. On Form B22C question 47 states to list all future payments on secured claims that you are contractually due to each secured creditor. My atty did include in this section my total payment although I am surrendering the property, I am still contractual agreement with my name. Reading alot of cases where trustees objected to this very same thing, in all cases I have read the judge has disagreed with the trustees objection and stated that even if you plan on surrendering your secured property, it should still be listed in this section of the Form 22C. Do you have any suggestions on what I should do next?