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In re Groggins (Case No. 14-71033) 6/24/2015

Court granted the Trustee's motion to convert this case from Chapter 13 to Chapter 7 pursuant to 11 U.S.C. § 1307(c), in part because the Debtor had been sentenced to 27 months of incarceration. This case had been pending for 10 months and the debtor failed to obtain a confirmable plan during that time and unlikely that the debtor would be able to do so if he remained in Chapter 13.  Therefore, cause existed to convert this case to Chapter 7 because the debtor’s inability to file a confirmable plan constituted “an unreasonable delay . . . that is prejudicial to creditors.”  Further, conversion was in the best interests of the creditors and the estate because there may be equity of an undetermined amount in the debtor’s real property and, given the fact that the debtor was proceeding pro se, the “appointment of a disinterested Chapter 7 trustee would facilitate final resolution of the case.”

Date: 
Wednesday, June 24, 2015
Category: 
Best Interests
Conversion and Dismissal
Chapter: 
13