Maryland may soon have the "Ride-Through" again

[malf1204]

There is an interesting case here in Maryland Bankruptcy Court. Maureen P. Roberson v Ford Motor Credit. The debtor filed a chapter 7 bankruptcy case and did not reaffirm her loan with FMCC. After her case was discharged and closed and with the debtor having never been late on payments FMCC repossessed her vehicle without warning. Debtor immediately filed a Chapter 13 case and and Emergency AP against FMCC. FMCC has tried many maneuvers including the dreaded arbitration clause and has been overruled by the court. The Bankruptcy Court certified the case to the Maryland Court of Appeals (our supreme court) asking it to certify whether MD law allowed repossession solely on the basis of the "ipso-facto" clause. The oral arguments can be viewed here
http://www.courts.state.md.us/coappe...starchive.html. The MD Court of Appeals has not ruled yet but if they rule for the Debtor MD will have the ride-through again.

[disconapper]

Does Maryland REQUIRE a re-affirmation agreement on a vehicle? I did not know this. I do not have the agreement yet, unless my lawyer does and has not told me. I have my 341 on the 31st. I do not plan on signing the agreement but my petition said I was going to reaffirm because at the time I was considering doing so.

[malf1204]

The petition is only a statement of intentions you are not bound by a reaffirmation agreement until you and your attorney sign one.

[disconapper]

The petition is only a statement of intentions you are not bound by a reaffirmation agreement until you and your attorney sign one.

Thank you malf1204. I read your post yesterday and got a bit confused....to much money issues on the brain!

[biotechsolution]

There is an interesting case here in Maryland Bankruptcy Court. Maureen P. Roberson v Ford Motor Credit. The debtor filed a chapter 7 bankruptcy case and did not reaffirm her loan with FMCC. After her case was discharged and closed and with the debtor having never been late on payments FMCC repossessed her vehicle without warning. Debtor immediately filed a Chapter 13 case and and Emergency AP against FMCC. FMCC has tried many maneuvers including the dreaded arbitration clause and has been overruled by the court. The Bankruptcy Court certified the case to the Maryland Court of Appeals (our supreme court) asking it to certify whether MD law allowed repossession solely on the basis of the "ipso-facto" clause. The oral arguments can be viewed here
http://www.courts.state.md.us/coappe...starchive.html. The MD Court of Appeals has not ruled yet but if they rule for the Debtor MD will have the ride-through again.

I think this varies with what your current situation is with Ford Credit (every late on payments or such). I filed for a Chapter 7 pro se in 2007 with Ford a 0% ford loan with 2 years left. Never reaffirmed and when I contacted Ford they didn't have any problems with me just paying. 2 years later I received a payoff letter stating the loan was paid in full and the title.
FIled in Baltimore CIty.

[ruttie]

I received a reaffirmation from ford within 2 weeks of filing BK 7. They are real hard on this. They state that filing bk is a defualt on your contract(it is stated in the terms) and that they definately want a reaffirmation. I have read that Ford is the toughest creditor out there with vehicle loans.