OPINION In Proceedings Under Chapter 13 LAURA K. GRANDY , Bankruptcy Judge . This case presents the issue of whether the Court must dismiss or convert a Chapter 13 case for cause where, due to substantial educational loans, a debtor exceeds the debt limits imposed by 11 U.S.C. 109(e). FACTS Debtor Barbara A. Mosley ("Debtor") filed a petition under Chapter 13 of the Bankruptcy Code on May 21, 2018. On her Schedule E/F, the Debtor listed unsecured, non-contingent, liquidated debts...
OPINION LAURA K. GRANDY , Bankruptcy Judge . The issue before the Court is whether a nonrefundable child tax credit is exempt under Illinois law as a public assistance benefit. The relevant facts, set forth below, are based on the record in this case and on the representations contained in the Trustee's Findings of Facts and Conclusions of Law. Counsel for the Debtor did not file any findings nor has he disputed the facts as set forth by the Trustee. According to the Debtor's 2017 tax...
OPINION LAURA K. GRANDY , Bankruptcy Judge . This matter is before the Court on the Chapter 13 Trustee's Complaint to Revoke the Debtors' Discharge under 11 U.S.C. 1328(e). The Debtors/Defendants filed an amended motion to dismiss the complaint for failure to state a claim upon which relief can be granted. A hearing on the motion was held on August 20, 2018, at which time the Court granted the Debtors' motion. This Order serves as the written record of the Court's oral findings and...
OPINION LAURA K. GRANDY , Bankruptcy Judge . This matter is before the Court on a motion filed by First Mid-Illinois Bank & Trust, N.A. f/k/a First Clover Leaf Bank ("the Bank") to enforce a settlement agreement with the Debtors. The Bank is the Debtors' primary secured creditor. On the date of filing, the Debtors owed the Bank approximately $1,717,426.29, plus interest, fees and costs. The indebtedness to the Bank is secured by first priority liens and security interests in substantially...
OPINION Laura K. Grandy , UNITED STATES BANKRUPTCY JUDGE . In this case, the Court is asked to decide whether a chapter 7 debtor may claim two separate exemptions, each in the amount of $15,000.00, for payment received on account of personal bodily injury. The Debtor seeks to exempt $15,000.00 for personal bodily injury arising from a pre-petition automobile accident, as well as $15,000.00 for injuries related to a pre-petition products liability claim. The Court finds that under the...
OPINION WILLIAM V. ALTENBERGER , Bankruptcy Judge . The matter before this Court is the Chapter 13 Trustee's (Trustee) Objection to Confirmation of the Debtor's Second Amended Chapter 13 Plan (Plan) on the grounds that the Plan was not filed in good faith. At the confirmation hearing neither the Trustee nor the Debtor presented evidence, instead choosing to rely on the facts shown by the schedules and pleadings. The facts are not in dispute. Prior to filing this Chapter 13 case, the...
OPINION Laura K. Grandy , UNITED STATES BANKRUPTCY JUDGE . This matter is before the Court on confirmation of the chapter 13 plan filed by Michael S. Eubanks and Alicia F. Eubanks ("Debtors") and on the objection thereto filed by the Chapter 13 Trustee, Russell C. Simon ("Trustee"). The Debtors filed a chapter 13 plan with a proposed duration of five years. Pursuant to the terms of the plan, general unsecured creditors will be paid 100% of their claims. The Trustee objects to confirmation...
