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NO CLEAR ERROR IN DECISION TO INDEFINITELY EXTEND DEADLINES FOR PAYMENT OF INSTALLMENTS OF FILING FEE

By Karl Johnson posted 02-24-2019 02:24 PM

  
​BANKRUPTCY BULLETIN
Editors-in-Chief
Karl Johnson, Hellmuth & Johnson, PLLC
Jeffrey Klobucar, Bassford Remele, P.A.

 Contributing Editor: Karl Johnson, Hellmuth & Johnson, PLLC
BAP___Curran_v__Moon.pdf

            In reviewing denial of the debtor’s motion under Rule 60(b) to reconsider an order indefinitely extending the deadline to pay the final two out of four installments of the debtor’s filing fee, the BAP applied an abuse of discretion standard and found no clear error of fact or abuse of discretion. The debtor filed under chapter 7 and applied for a fee waiver, but was ordered to pay the fee in four equal installments. After the trustee prevailed in objections to claimed exemptions, amended exemptions, an action to recover a prepetition transfer of real estate, and a motion for sanctions, the debtor moved for voluntary dismissal. The debtor’s motion was denied as was her motion for reconsideration of that decision. When the debtor failed to make her third installment of the filing fee, the court issued an order to show cause why the case should not be dismissed and the trustee filed a response requesting that the case not be dismissed. Instead, the court indefinitely extended the deadline to make those payments so that the trustee could administer the estate. The court then denied the debtor's motion to reconsider that decision. On appeal, the BAP found that the debtor’s fact-intensive argument failed to identify any clearly erroneous facts or incorrect application of the law.

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