The debtor filed a chapter 12 plan and three amended chapter 12 plans; none of the plans were confirmed. The two largest creditors and the chapter 12 trustee objected to each plan. The debtor’s two largest secured creditors objected to their treatment under the plan and advocated for dismissal, citing unreasonable delay that is prejudicial to the creditors, under 11 U.S.C. § 1208(c)(1), and the continuing loss to or diminution of the estate and absence of a reasonable likelihood of rehabilitation, under 11 U.S.C. § 1208(c)(9). The farm sought confirmation of its fourth chapter 12 plan over the objections of its creditors, or in the alternative leave to amend in order to file a fifth plan in hopes that it might be confirmed. One of the creditors urged the court to deny any further leave to amend and simply dismiss the case. The court denied confirmation of the plan and denied the debtor leave to amend the plan. The court then dismissed the case.
Judge:
Date:
Friday, October 3, 2014
Category:
Chapter 12 Issues
Confirmation of Plan
Conversion and Dismissal
Chapter:
12