how does bk attorney get paid, fiduciary to whom

[lrn]

despritfreya
since I have a foreclosure auction four days from now, do i have time to ask for a stay.
I have to shop for attorney and ask for emergency filing or it does not matter with the auction date regarding Chapter 11
I already paid half of the lawyer's fee., that can be minimal if I can find a lawyer for $15K for Chapter 11.
I live florida West Central

[lrn]

What questions to ask for an attorney regarding Chapter 11?

[LadyInTheRed]

keepsmiling
do they take all your pension and IRA money?

ERISA qualified retirement plans are exempt assets. Besides, in a 13 (and probably in an 11, but I don't know), they don't take your assets. You have to pay for your non-exempt assets over the life of the plan.

Read carefully what Des wrote. Only a few members of bkforum know much about Chap 11s. Des is one of them. You need to consult with some attorneys who specialize in business bankruptcy.

despritfreya
since I have a foreclosure auction four days from now, do i have time to ask for a stay.
I have to shop for attorney and ask for emergency filing or it does not matter with the auction date regarding Chapter 11
I already paid half of the lawyer's fee., that can be minimal if I can find a lawyer for $15K for Chapter 11.
I live florida West Central

Get on the phone first thing tomorrow morning to BK attorneys who specialize in business bankruptcy. Tell them the date of the auction so they know the urgency. If your attorney is not experienced in Chap 11, it is probably worth throwing away what you already paid to start out with the right attorney.

[despritfreya]

File as a 13 now. Quickly decide if the 11 is the better way to go. Quickly find an attny that can handle the 11 if current attny can't. New (or current) attny then files a Motion to Convert to the 11. Reason for conversion. . . realized filed wrong Chapter (done this numerous times). In about a month there will be a hearing on the Motion. Conversion should be allowed. You will then have to pay the conversion fee - $932.00 - and then proceed as necessary in the Chapter 11. Should not be a problem assuming you find an attny who can handle the 11 (but attny may want a retainer that you may or may not be able to come up with).

All during this time the stay is in effect so foreclosure will not happen. You may decide to let one or more properties go but, for now, you will have some breathing room.

Des.

[keepsmiling]

Is the foreclosure on the property you want to keep?

[despritfreya]

What questions to ask for an attorney regarding Chapter 11?

Simple. . . do you handle Chapter 11s for individuals and, if so, how much do I need to pay to retain you?

Des.

[lrn]

do the foreclosure property on the list want to keep?
answer : no
despritfreya:
what about experiences and ratio of success with 1111 election?
what is your firm name?

[lrn]

can anybody private message to me?
I think that Ch 11 is correct but attorney hesitates about money and her fee is at the high end of the above mentioning range.
if the plan comes out as unsecured debt is $250,000 what is the trustee total fee as a percent of unsecured debt?
so we can make a decision Ch11 fee of ($15 - 25k) vs Ch 13 ( fee + trustee fee(as a percent of unsecured debt))

[keepsmiling]

If you don't want this property, the rush is reduced. You'd be surrendering it regardless. Later when you file you can void any claim for deficiency. Des or someone will correct me if I am wrong.

Pretty sure you needn't worry about the tt's fee. It's a total non issue. This will become clearer when things calm down over there.

[lrn]

Des
"OP already recognizes that a cram down for the investment property is virtually impossible to accomplish in a Chapter 13 BECAUSE the crammed down value MUST be paid “in equal monthly installments over the life of the Plan”. The payment would be a principal and interest payment and would last no more than 60 months."
I thought the cram down amount becomes unsecured debt, and it will be paid based on your disposable monthly income for five years. am I wrong ?

[LadyInTheRed]

do the foreclosure property on the list want to keep?
answer : no

Des, in a Chap 11, could there be an advantage to avoiding a pre-petition foreclosure if you don't want to keep the property? Maybe there really is not a big rush here.

can anybody private message to me?

You don't have enough posts to send and receive PMs. Just ask your questions in public (Des cannot tell you his firm's name in a public post. It's against forum rules even if he wanted to. I can tell you that his firm is not in Florida.)

[despritfreya]

Yes, if this is a property you were going to surrender, let it go so there is no "rush to file".

As to my firm's name, while I would not disclose it, such wouldn't matter since I do not practice in Florida.

As to the 1111(b) election, you can try to negotiate it away by raising the secured claim value, if the creditor takes the election. In most instances the debtor pays a bit more but still gets a "good deal". As to success ratio. . . can't tell you. It depends upon many factors including the debtor's ability to keep the properties "income producing".

Trustee's fee in the 13 is not based upon the amount of unsecured claims. It is a percentage of what you pay each month into the Plan. The most it would be is 10%. But remember, the cram down claims must be paid in 60 months.

Des.

[despritfreya]

Des I thought the cram down amount becomes unsecured debt, and it will be paid based on your disposable monthly income for five years. am I wrong ?

The cram down amount is the secured claim, reduced to the value of the property. The balance is a general unsecured claim. You are "cramming the value down the throat of the creditor".

Des.

[lrn]

the cram down is the secured debt, to be paid in 5 yrs.
that is a question I try to find the answer for and that is the reason for me to go look for a mortgage in about 2-3 yrs to pay off the secured debt.
I will have to find a hard money loan since I am in bankruptcy.
so the cram down is lower amount but because it is amortized over five years, and therefore the monthly payment is high.

[lrn]

how soon can you see the plan from the attorney?