Bankr. No.:
91-30025
Chapter:
13
Date of Decision:
February 10, 1992
Issue:
Whether the Chapter 13 plan treatment offered a secured creditor comported with §§ 1322(b)(3) and 1325(a)(5) where Debtors proposed to pay the secured value of the claim over the original term of the notes and pay the unsecured value with disposable income.
Ruling:
No. Debtors had to either pay the secured claim during the life of the plan under § 1325(a)(5) or cure the default during the plan and reinstate all other repayment terms of the original notes. A "long-term cram down" is not available under the Code.
Full Bankruptcy Court Decision:
