The court confirmed the debtor’s sixth amended Chapter 12 plan over the objections of a pair of unsecured creditors holding post-petition judgments who did not file timely proofs of claim. The creditors had objected on grounds of feasibility, good faith, and failure to meet the best interests of creditors test. However, the evidence showed that the debtor is making a sincere effort to salvage a substantially scaled-down farming operation. His financial projections appear to be reasonable and fact-based. He has the ability to make his first plan payment immediately upon confirmation and to make the second payment as soon as his crop is sold this year. The creditors provided little evidence to challenge the debtor’s valuation of his real estate in the liquidation analysis. The court found that the proposed plan met the requirements of §1225(a) and should be confirmed.
Date:
Tuesday, December 3, 2024
Judge:
Judge Thomas L. Saladino