The debtor filed this adversary proceeding to discharge student loan debt. After negotiating with the holder of the student loans, she executed a promissory note for a consolidated income-contingent student loan. She subsequently realized that she had misunderstood the terms of the loan, believing that she was not required to make payments when she was unemployed and had no income. However, she learned that the repayment amount was based on her total family income, so – because her husband was earning income – she was expected to make monthly payments. The debtor then amended her adversary complaint in an attempt to discharge the consolidation loan.
The court granted the defendant’s motion to dismiss because debts incurred post-petition, as the consolidation loan was, are not subject to discharge.
You are here
Opinions
United States Courts Opinions (USCOURTS) collection is a collaborative effort between the U.S. Government Publishing Office (GPO) and the Administrative Office of the United States Courts (AOUSC) to provide public access to opinions from selected United States appellate, district, and bankruptcy courts.
The District of Nebraska offers a database of opinions for the years 1997 to current, listed by year and judge. For a more detailed search, enter the keyword or case number in the search box above.
The over-secured creditor's motion for relief from the stay was deferred for 60 days to permit the debtor to bring the delinquency current after he begins to receive the Social Security disability benefit payments he had recently been awarded.
Debtor could avoid the bank's non-possessory, non-purchase-money security interest in her vehicle to the extent it impaired her tool of the trade exemption under Nebraska law. The vehicle's value was its replacement value as of the petition date.
A Chap. 13 projected disposable income calculation should use the amount of actual plan payments to secured creditors, rather than the amount contractually due, as the plan likely alters the amount due & the statute refers to plan's effective date.
Because § 1325(b)(1) refers to payments as of the plan's effective date, a debtor who has avoided a junior lien on his residence as wholly unsecured cannot deduct that mortgage payment as a secured debt when calculating projected disposable income.
Debtors may claim a homestead exemption in a motor home moved to their real estate and used as temporary living quarters while they made improvements to a house located on the property. They demonstrated an intent to occupy the premises as their home.
The debtor's confirmed Chapter 12 plan was a binding contract and was res judicata as to the amount of the creditor's claim. The debtor couldn't modify the lienholder's rights without first challenging the claim or avoiding the security interest.
The court denied summary judgment to the defendant/non-debtor spouse on the trustee's avoidance action because fact questions existed about some transfers, including post-petition stock transfers and the source of funds for payment of expenses.
A finding regarding the ownership of jointly held stock by the non-debtor spouse in a dischargeability action did not collaterally estop the trustee from pursuing an avoidance action against her alleging fraudulent or preferential transfers.
The debtors' mortgage lenders had been overpaid due to their inaccurate records, so a determination was needed as to how the overpayments should be applied as among the lenders, the debtors, and the trustee. The court strongly suggested settlement.