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BEGINNING OF CASE; MEETING OF CREDITORS
PRE-CONFIRMATION
POST-CONFIRMATION
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BEGINNING OF CASE; MEETING OF CREDITORS
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Contacting the Trustee Office:
Website access to view case information:
General Information
Debtors (register online):
Debtor attorneys:
(Credentials first issued by trustee office)
Creditors & creditor attorneys:
(Internet Access Agreement is required)
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www.chapter13.info
www.ndc.org
www.ndc.org
www.13network.com
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| Making Plan Payments |
Russell Brown, Trustee
P.O. Box 842480
Los Angeles, CA 90084-2480
Cashier's check or money order only. Include your case number on each payment.
Online (electronic) bill payments accepted only through www.TFSBillpay.com or Court Compass.
The Trustee does NOT accept online bill payments from a debtor's bank account as such funds are not guaranteed.
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Documents typically requested
by Trustee to be provided
before the meeting of creditors
(no self-employed debtor).
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The Trustee’s questionnaire, most recently filed income tax returns, two post-petition pay stubs and, for any financial account, the statements covering the petition date and the prior statement.
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Documents requested by
Trustee at or by the meeting of
creditors (self-employed debtor).
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Business income tax returns, if filed separately from individual, bank statements, balance sheet for any separate entity. Self-employment questionnaire and business case questionnaire possible.
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Continuance of meeting of
creditors for debtor.
L.R. 2003-1.
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Liberally granted but could depend on whether creditor has notified will be appearing, or prior case filing.
Contact the trustee for continuance, but a waiver of appearance requires a motion and court order.
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Representation of debtor at
MOC by other attorney.
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Unless exigent circumstance, notice of appearance filed by appearance attorney and Rule 2016(b) disclosure filed, if paid for appearance. With the use of Zoom, there should be few instances of an attorney needing an appearance attorney.
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Waiver of debtor appearance at
MOC.
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Only a bankruptcy judge may grant a waiver of a debtor's appearance at a meeting of creditors. The Trustee usually has no objection for a debtor's exigent circumstances. Waiver for mere debtor inconvenience generally gets an objection, particularly since the meetings are conducted using Zoom.
Trustee requires copies of debtor’s driver’s license and social security card and affidavit from attorney attesting to the debtor’s identity and the authenticity of the documents. These documents must be uploaded at least two days before the meeting of creditors by using the portal, www.bkdocs.us.
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Self-employed debtor versus debtor engaged in business.
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Incurring trade credit is the primary factor, but other factors besides trade credit include:
employees, lease, retail location, service versus product business. Monthly business operating statement to be filed by self-employed debtors.
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Tax refund for prepetition
period.
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Generally to be turned over to the Trustee as nonexempt funds. Sometimes debtor to
keep if exigent circumstance and reasonably necessary.
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Document transmission to Trustee.
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Documents from a debtor must be submitted through the trustee's portal: https://www.bkdocs.us/. See Local Rule of Bankruptcy Procedure 2084-27. If a debtor is represented by an attorney, then the debtor is to provide all documents through the attorney, then the attorney will upload the documents to the portal. A debtor not represented by an attorney must use the portal. An attorney or pro se debtor must be registered to upload documents to the portal by registering. After entering an email address, the Trustee's office will approve or disapprove the application. A debtor's documents must not mailed or emailed to the Trustee's office. Other documents, such as a proposed order confirming a plan, may be emailed to the applicable person in the Trustee's office.
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| PRECONFIRMATION |
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Model Plan 13-2 Required? L.R. 2084-4,
Form 2084-2. |
Yes. Keep the Varying Provisions
relevant and to a minimum.
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Post-petition tax refunds.
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If the Trustee projects a debtor will receive tax refunds, the refunds might have to be turned over to the Trustee or plan payments increased.
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Direct payment of vehicle debt.
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Trustee generally objects to direct payment of vehicle or other non-mortgage debts. Some case-by-case exceptions based on amount or type of debt, when to be paid off, or unusual circumstances.
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Adequate protection payments to creditors secured by a lien in personal property.
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Follow Local Rule 2084-6. |
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Trustee recovery of preferential
transfers by debtor.
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Trustee will pursue such transfers unless the plan meets the best interests of creditors test AND each transferee signs the trustee’s waiver of statute of limitations.
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Postpetition payment of
student loan.
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Generally will get an objection.
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Preferential treatment of
student loan.
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Generally will get an objection.
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Postpetition payment of 401(k)
loan.
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Generally no objection, but might get an objection if incurred close to the petition date. Payments of such loans usually no objection, but an increase in the plan payment might be required.
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401(k) loan repayment
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The trustee will require the plan payments to increase if the loan is paid off during the term of the plan.
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Preferential treatment of other
nondischargeable debt, such as a student loan.
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Generally will get an objection.
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Preferential treatment of codebt.
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Trustee might not object, but depends on amount and money diverted away
from unsecured nonpriority claims. Verification of the codebtor obligation is required.
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Postpetition mortgage payments
included in the plan payment.
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See Local Rule 2084-4(b). This depends on if the debtor is delinquent on the mortgage payments at the time the debtor filed the bankruptcy petition. If the debtor is delinquent, then the post-filing mortgage payment must be included in the monthly payment to the Trustee. If the debtor is current on the prepetition mortgage payments, then the post-filing mortgage payment need not be included in the payment to the Trustee.
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Amended Plan – when required.
L.R. 2084-8(b).
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Substantial change of treatment to creditor or large reduction in payback to unsecured claims, including reduction in the plan payment amount.
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Property of the estate
postconfirmation.
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Might require the order confirming plan to state that nonexempt property remains property of the estate.
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Secured creditor, no proof of
claim.
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The Trustee likely will object to plan confirmation because all creditors must file a proof of claim to be paid out of the bankruptcy estate, whether such payment is made directly by a debtor or through the Trustee. See Federal Rule of Bankruptcy Procedure 3002(a).
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Unsecured creditor, untimely
filed proof of claim.
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Generally Trustee will file an objection to the claim, but has made an exception for domestic support obligations (child support or spousal maintenance) and creditors who did not get actual notice of filing.
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Mortgage claim arrears different
from plan amount (non-stripped
lien).
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Unless the lien is being reclassified as unsecured/stripped, the amount of arrearage in the allowed proof of claim is the amount to be cured, unless an objection to the claim is sustained.
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Non-mortgage claim different
from plan amount.
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Secured creditor must timely file an objection to confirmation.
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Standard SOC submission
letter?
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The letter is not a standard form,
but it must reference each recommendation item or
paragraph.
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Return of PSOC by trustee.
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Not a standard letter. Docket entry to be made.
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Does the Trustee sell
nonexempt property?
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Yes, with Court permission or plan confirmation order.
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Form stipulated order
confirming plan required?
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Yes. Click here for general form. Use the required format and put the applicable information in it. Review the court docket and claims register before submitting.
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Preconfirmation incurring of debt.
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Trustee will require court approval.
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AFTER PLAN CONFIRMATION
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Post-confirmation tax returns.
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If the debtor is legally required to file tax returns, then up to five years of post-petition tax returns, including separately filed business returns.
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Notice of plan confirmation.
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Notice of Allowed Claims and Post-Confirmation Report.
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Incurring new mortgage debt.
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Usually will give approval after documents provided. Might need amended Schedules I and J to be filed.
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Incurring new non-mortgage
debt.
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Usually will give approval after documents provided. Might need amended Schedules I and J. Vehicle payment no more than $385.
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Disbursement – timing.
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Disbursement is near the end of each month. AP payments are included in the regular disbursement.
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Plan completion notice.
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A Notice of Completed Plan is filed.
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Annual report to debtors.
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Usually the Trustee will file an annual report with the bankruptcy court in June or July of each year. Also, the Trustee transmits the annual reports to the National Data Center. The Trustee will email or mail a copy of the annual report to debtors.
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Plan payment delinquency.
L.R. 2084-15.
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A motion to dismiss usually is filed after three months delinquent. Debtor to resolve within 35 days.
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Reinstatement of case.
L.R. 2084-16.
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If the conditions that caused dismissal are resolved, trustee liberally has no objection to reinstatement. However, if the debtor wants to reinstate for purpose of conversion, trustee might not stipulate to reinstatement if a final report was filed or other issue present (DSO information not provided, substantial income).
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