[CLBS] CDCA Ch 13 - seeking to modify Conf plan

[Holly Roark]

I should add to the fact pattern below, that a good portion of the litigation between conversion and confirmation were not solely confirmation issues, but were fights with a creditor over the homestead exemption. This fight would have been had in a chapter 7 as well. 

Best regards, 

Holly Roark
Attorney at Law

Roark Law Offices
Phone: (310) 553-2600
Fax:  (310) 553-2601
Cell phone:  (818) 648-3238
E-mail:  holly at roarklawoffices.com 

*Cycle Sport Lawyer: www.cyclesportlawyer.com

*Bankruptcy Specialist, certified by State Bar of California Board of Legal Specialization
www.bankruptcyattorneyinlosangeles.net

Sent from my iPhone

> On Mar 6, 2019, at 12:41 AM, Holly Roark <holly at roarklawboise.com> wrote:
> 
> This is a case converted from ch 7 to 13, and confirmed. Highly litigious case. I’ve had 3 fee apps and have one final one, BUT, can I do this: reduce the base amount owed to general unsecured creditors in this way: 
> 
> So a modified plan still has to meet best interest of creditors: 1325(a)(4) under 1329(b)(1). In light of that, and the fact that liquidation analysis is as of the “effective date of the plan,” which is construed to be at confirmation under Pak, 378 BR 257 (9th Cir Bap 2007), can I redo the liquidation analysis (as part of my request to modify the plan reducing the base amount to be paid to general unsecured creditors) to accommodate my administrative fee claim, based on the fact that upon confirmation I was owed a significant amount of fees between the converted date and confirmation though my fees were not approved until after confirmation? 
> 
> This is a unique case, highly litigious. Had the case actually been reconverted to chapter 7 instead of confirmed, I would have sought those fees. They were earned but not  yet approved on confirmation. Between conversion from 7 to 13, and confirmation was 9 months.   
> 
> So the math looks like this:
> Assets: $200,000
> Less homestead: $100,000
> Less admin claims: $60,000
> =@$40,000 to general unsecured creditors when case converted and plan was filed
> 
> 9 months later ....
> Case confirmed, but,
> Now through date of confirmation, I’m owed $20,000 more in admin fees which I apply for after confirmation and which are approved. I am paid those fees.
> 
> Now, 2 years later, I am owed some more fees; I put in fee app.
> Trustee says can’t reduce $40k liquidation owed to General Unsecured Creditors (see above) per 1325(a)(4)
> But... can I? Can I go back in and say, wait, actually, on the effective date (confirmation)  the liquidation analysis should have been reduced by those $20k in fees but was not done so. 
> 
> Thoughts? 
> 
> I need to file my reply today.
> 
> Best regards, 
> 
> Holly Roark
> Attorney at Law
> 
> Roark Law Offices
> Phone: (310) 553-2600
> Fax:  (310) 553-2601
> Cell phone:  (818) 648-3238
> E-mail:  holly at roarklawoffices.com 
> 
> *Cycle Sport Lawyer: www.cyclesportlawyer.com
> 
> *Bankruptcy Specialist, certified by State Bar of California Board of Legal Specialization
> www.bankruptcyattorneyinlosangeles.net
> 
> Sent from my iPhone