Surrender of collateral under section 521(a)(2) is a procedural action lifting the bankruptcy stay and permitting a lienholder to exercise state remedies with respect to the collateral. Because surrender does not affect the substantive rights of the debtor or the creditor, however, the debtor could not compel the creditor to take possession or release the lien. In re Loucks, 619 B.R. 908 (Bankr. E.D. Mich. Oct. 9, 2020) (case no. 20-42265). [Read more…] about Creditor Cannot Be Compelled to Take Possession of Surrendered Collateral
CIT Bank v. Ryan, No. 16-1391(B.A.P. 9th Cir.)
Type: Amicus
Date: February 16, 2017
Description: Whether debtor who surrendered house in bankruptcy may oppose state court foreclosure action post-discharge.
Result: Pending
In re Sagendorph, No. 15-40117 (D. Mass.)
Type: Amicus
Date: February 17, 2016
Description: Whether a chapter 13 debtor may employ the option of providing for vesting of property in the creditor whose debt is secured by that property.
Result: Reversed and remanded, January 23, 2017
In re Sagendorph, No. 14-41675 (Bankr. D. Mass.)
Type: Amicus
Date: March 23, 2015
Description: Whether Chapter 13 plan can include provision vesting title to surrendered property in secured creditor.
Result: Plan confirmed, June 22, 2015
Sagendorph Bankr Mass opinion
Court Erroneously Applies Lanning to Find Presumption of Abuse in Chapter 7
The district court for the Eastern District of North Carolina was asked to revisit its previous decision that a Chapter 7 debtor may take secured payment deductions on property he intends to surrender. Krawczyk v. Lynch (In re Krawczyk), No. 12-643 (E.D. N.C. June 17, 2013). The bankruptcy court had concluded that intervening Supreme Court and Fourth Circuit decisions rendered that finding incorrect. In re Krawczyk, No. 11-0956-8-JRL, 2012 WL 3069437 * 5 (Bankr. E.D. N.C. July 27, 2012) (relying on Hamilton v. Lanning, 130 S. Ct. 2464 (2010); Ransom v. FIA Card Services, 131 S.Ct. 716, 178 L.Ed.2d 603 (2011); In re Quigley, 673 F.3d 269 (4th Cir. 2012)). The district court agreed that the debtor could not take the deductions and that, therefore, the petition was presumptively abusive under section 707(b)(2)(A). [Read more…] about Court Erroneously Applies Lanning to Find Presumption of Abuse in Chapter 7
In re Barrett, No. 07-14796 (11th Cir.)
Type: Amicus
Date: January 25, 2008
Description: Whether debtor may surrender 910 car in full satisfaction of creditor’s claim.
Result: Debtor lost.
Brief
In re Wright, No. 07-1483 (7th Cir.)
Type: Amicus
Date: May 1, 2007
Description: Whether debtor may surrender 910 vehicle in full satisfaction of creditor’s claim.
Result: Debtor lost. 2007 WL 1892592 (7th Cir. July 3, 2007)
Wright 7th Cir. opinion
In re Gentry, No. 06-50204 (Bankr. E.D. Tenn.)
Type: Amicus
Date: June 30, 2006
Description: Whether debtor may surrender a 910 vehicle in full satisfaction of creditor’s claim.
Result: Debtor won.
In re Ezell, No. 05-38219 (Bankr. E.D. Tenn.)
Type: Amicus
Date: March 13, 2006
Description: Whether debtor may surrender 910 car in full satisfaction of creditor’s claim.
Result: Debtor won. 338 B.R. 330 (Bankr. E.D. Tenn. 2006), Reversed by E.D. Tenn. (Aug. 12, 2008)
Ezell Bankr. ED Tenn opinion
In re Long, No. 06-6252 (6th Cir.)
Type: Amicus
Date: March 10, 2007
Description: Whether debtor may surrender 910 car in full satisfaction of creditor’s claim.
Result: Reversed.