Amended plan after 2004 exam

[Kingxray]

Hi all,

I had our "2004 exam" today with the trustee. It was done informally from our lawyer's office via conference call. We completed our 60 month plan in Oct. of this year. At the meeting we agreed to settle on additional sum of money from my inheritance to give to the plan after which the trustee told me she would confirm the plan and discharge us. My question is how long after we file our amended plan does the trustee have to object to the plan? Not that I don't trust the trustee's word (lol), I'm just wondering what kind of time frame we were looking at before confirmation and discharge. Sorry if this has been asked a million times before.

[dmc-2008]

What a 2004 exam

[despritfreya]

My question is - why an amended plan? I assume you settled with the Trustee - maybe at that 30% amount we discussed in another thread. I also assume you will be making a lump sum payment since you are already past 60 months. Modifying a Plan takes too much time depending upon local procedure . Call your attny tomorrow and ask if this can be done as a "9019 compromise settlement". In my district, such is done on what is called a "21 day negative notice". Motion to approve settlement is filed and mailed to creditors. Creditors have 21 days to object. No objections, its a done deal.

Des.

[Kingxray]

Thx Des. We completed our plan at 39% and agreed to an additional lump sum payment. The way it was presented to me was that an amended plan will be filed, trustee will confirm it, I write a check and she discharges us. I asked if the judge would accept a modified plan after 60 mos. He said the amended plan had to be worded to explain why we are paying past 60 mos. That's all I know and agreed to it because I was so happy they weren't asking for 100% payback. That's why I was asking how long this would take. Our lawyer isn't exactly timely when it comes to filing paperwork. We have almost gotten dismissed several times due to failure to file paperwork on time by our lawyer.

[justbroke]

This reads to be so contrary to what Despritfreya wrote and the law regarding a 60-month plan. I wonder why your District likes a lot of paperwork!

[despritfreya]

This reads to be so contrary to what Despritfreya wrote and the law regarding a 60-month plan. I wonder why your District likes a lot of paperwork!

True, but if such a modification works who are we to question it. Maybe it takes less time in OP's district than doing it as a 9019. Regardless of how the settlement is drafted and brought before the court, I am sure it will go smoothly. I just cannot venture a guess as to how long the process will take.

Des.

[justbroke]

You're right Des. There are just too many things that are done differently among the Districts. In hindsight, modifying the plan so that it reflects the actual amount paid to unsecured creditors may be good for case management purposes. I think our model plan reads "minimum to unsecured creditors", so as not needing modification if the pro-rata pool is larger than expected.

No more questions, but my rhetorical question is then, why would a plan need to be modified?

[Kingxray]

Hey guys, I completely understand where you're coming from and I did ask our lawyer if the judge would accept an amended plan past 60 months and he assured me that it would be "okay". We'll see. I'll let you know what happens after the amended plan gets filed. Justbroke, In our case my dad (a creditor) died in June and our plan wasn't complete until Oct. I inherited some assets that the trustee wanted.

[justbroke]

Kingxray I don't think the plan will extend to 60 months, they'll just modify the plan to pay more for the 60 existing months of the plan. I just found it interesting how your District requires a plan modification to accomplish the settlement on the inheritance.

If I haven't already done so, please accept my condolences on your father's passing. Bankruptcy can be stressful enough and for your dad to pass. (As an aside, it's interesting that he was a creditor and passed... and you inherited some or all of his estate.)

[Kingxray]

Thx justbroke. This whole BK has been a nightmare from the start. It's an odd set of circumstances and I'm ready to put it behind us. I'm praying there are no setbacks and the rest goes smoothly and quickly. Here's hoping!

[Kingxray]

Update. Attorney filed the necessary paperwork for our settlement with the trustee. As you know from my above posts, I received an inheritance from my father (a creditor) just prior to completing our plan. We are post confirmation and completed our 60 months at 39%.

For those of you who are interested, our attorney filed a modification to the plan. In this modification it reads that we are paying a lump sum of which my father's estate will not receive any funds. It also goes on to say the reason for the lump sum settlement (other assets too difficult to liquidate in a timely fashion) and that we will pay the lump sum within 14 days of confirmation. Creditors have 21 days to object to the modified plan (fingers crossed).

So once the plan is confirmed we pay our lump sum and the trustee will discharge us (fingers and toes crossed) Apparently this is how our district handles these oddball cases. Here's hoping for the best!