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Ronald Martinez v. Wells Fargo Bank, N.A. (In re Martinez)

Case Type:
Consumer
Case Status:
Affirmed
Citation:
BAP No. CC-19-1037-FSTa (9th Circuit, Oct 08,2019) Not Published
Tag(s):
Ruling:
BAP for 9th Circuit affirmed ruling of bankruptcy court (CD Cal.) denying chapter 13 debtor's motion to reconsider relief from stay order. Debtor failed to raise claim preclusion issue in objecting to relief from stay, and failed to raise timeliness issue in appeal. On merits, confirmation order did not excuse default under plan, even if defaults occurred prior to confirmation and creditor did not object to confirmation.
Procedural context:
Bankruptcy court (CD Cal.) entered stay order on creditor's post-confirmation motion for relief from stay. Debtor filed motion to reconsider order, asserting that relief granted impermissibly amended plan. Bankruptcy court denied motion to reconsider. Debtor appealed to BAP.
Facts:
Chapter 13 debtor confirmed plan providing for cure of prepetition default over time to second lienholder (Wells Fargo) in residence, and commitment to remain current on future payments. Wells Fargo did not object to plan. Postpetition and prior to plan confirmation, debtor made payments that were inadequate to pay prepetition default and remain current. Wells Fargo applied payments to prepetition default. Wells Fargo filed motion for relief from stay to foreclose on home, asserting that debtor was in default under plan. Bankruptcy court entered stay order maintaining stay if debtor could make payments sufficient to get current on plan obligations. Debtor filed motion to reconsider order, asserting that relief granted impermissibly amended plan, to which Wells Fargo had not objected. Bankruptcy court denied motion to reconsider. Debtor appealed to BAP.
Judge(s):
Faris, Spraker, Taylor

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