DAYTON CHAPTER 13 TRUSTEE NEWSLETTER Jeffrey M. Kellner, Trustee Scott G. Stout, Staff Attorney Linda S. Wright, Operations and Personnel Manager December 15, 2003 DAYTON, OH HAPPY HOLIDAYS FROM THE CHAPTER 13 TRUSTEE & STAFF CONTENTS 341 Resets... 1 Upcoming 341 Dates... 1 Confirmation Hearing Dates.... 2 Hearing Dates on Modifications... 2 Petitions... 2 Motions to Dismiss... 2 Order Confirming Modifications... 2 ECF... 3 Proof of Claim, Mods and Statements... 3 Social Security Numbers... 3 Court and Consent Dockets... 3 Debtor Change of Address... 3 Reminder to Serve... 3 Fee Changes... 3 Mortgages In or Out?... 4 Chapter 13 Local Rule Changes... 5 and 6 Office of the Chapter 13 Trustee 131 N. Ludlow Street Suite 900 Dayton, Ohio 45402-1161 Phone: 222-7600 Legal: 222-8100 Fax: 222-7383 www.13network.com questions@dayton13.com Payment Addr: 1722 Solutions Center Chicago, IL 60677 341 Resets Our newest policy on resetting the 341 Meeting of Creditors is that the resets will be scheduled at the last half hour of the day. If it is a half day, the resets will be at 11:30 a.m. If a full day is scheduled, then the resets will be at 3:30 p.m. Since the filings are so high most 341's are going all day, so anticipate the reset will be at 3:30 p.m. Also, remember that if a 341 is reset to serve us by leaving a copy of the reset in the basket by the copy machine at the 341 room. Many of you are forgetting to do this. Upcoming 341 Dates December 16, 2003 December 23, 2003 December 30, 2003 January 6, 2004 January 13,2004 1
Confirmation Hearing Dates Judge Waldron December 22, 2003 at 9:00 a.m. January 13, 2004 February 3, 2004 March 9, 2004 Judge Walter December 16, 2003 January 20, 2004 February 24, 2004 March 23, 2004 All hearings are held at 1:30 p.m. unless otherwise designated. Hearing Dates On Modifications Please make sure you allow enough time from filing your modification to the hearing date. The hearing date should really be about 35 days from filing. If you use a wrong date you will need to do a correcting notice on the hearing or file an Amended Certificate of Service if you forget the 20 day notice. Please make sure to check the web site, www.dayton13.com to verify the hearing dates before you file. Dates are subject to change. Remember, the 20 day notice must go on all motions (except dismissals and objections to proof of claims - the proof of claim notice is 30 days - see L.B.R. 3007-1(b)). Also, do not set hearing dates on objections to proof of claims - the Court will set a 7016 telephone conference and your hearing date more than likely will not make the docket. Furthermore, make sure your postconfirmation modifications get served on us or we won't know about them. Petitions With the advent of E.C.F., you will no longer be able to write on your petitions. We also request that you no longer handwrite on the plan or schedules as we are having difficulty reading your petitions/plans. Either type or print your plan provisions. If we can't read it, the plan may not get properly noticed and you may need to modify. Motions to Dismiss If you receive a motion to dismiss for nonpayment, the case will not get resolved until a full payment is made and received by our office. If a motion to dismiss is filed, advise your debtors to bring the funds to your office for you to mail to the lockbox. The check is in the mail doesn't work as it takes about 7 days from mailing for the money to be posted to the case. The payment should be in good funds. If you want a payroll deduction and provide for it in your response, the payroll deduction order will not get processed until after the motion is resolved - i.e. payment made. The lock box address is: Jeffrey M. Kellner, Chapter 13 Trustee 1722 Solutions Center Chicago, IL 60677-1007 Order Confirming Modifications. When you submit the Order Confirming Modification, many of you attach the mod and state so in the order. Due to E.C.F., this may cause a problem with the attachment (which may cause additional e-mails). We would recommend the Order without the attachment. Make sure you delete the language stating it is attached. Just refer to the mod by date. 2
ECF The Trustee's Office is now on E.C.F. We have found that it takes us about a week to get items filed electronically, so be patient with us while we work out the bugs. If you have not signed up for E.C.F. training, you need to do so as soon as possible. Forms for the training can be obtained from the Clerk's Office and off of the Court's website. Remember, E.C.F. will be required starting July 1, 2004. Proof Of Claims, Modifications And Statement Of Intentions Timing, they say, is everything. If you do a pre-confirmation modification and the case is confirmed and then the proof of claim is filed, the proof of claim will control. If the modification is filed post-confirmation after the proof of claim is filed then the modification will control. If you provide that a second or later mortgage is to be crammed down and paid unsecured and a secured proof of claim is filed, the claim will be paid per the proof of claim until you file your adversary proceeding complaint. We will then put a hold on the claim pending the resolution of the adversary. WATCH AND READ YOUR STATEMENT OF INTENTIONS!!!! Social Security Numbers DO NOT FORGET that only the last four digits of a debtor's social security number can be used on pleadings effective December 1, 2003. Court and Consent Dockets The Judges' court dockets and consent dockets can now be accessed through our website at: www.dayton13.com Debtor Change of Address Beginning December 1, 2003, we will no longer be filing the notice with Court when a debtor changes their address. If we receive a notice in the mail that the debtor has a new address, we will change our records on the system but will not notify anyone else. You need to start stressing with your clients that they need to contact you with a change of address and you will then need to file the change of address with Court and serve us a copy. We will no longer be giving the debtors a change of address card at the 341. We will tell them that they need to contact your office so that the change can be filed officially. Reminder To Serve Some of you have become very sloppy in your serving us motions to reinstate; responses to motions to dismiss and providing us with orders. This is becoming epidemic. If this does not improve, we may have to take some drastic action. Please check your office procedures on how you serve us or tickle yourself to send us orders. We have started filing motions to deny for lack of prosecution. If that does not work then sanctions may not be too far behind. Fee Changes For Chapter 13 Effective November 1, 2003 Commencement of Case - $194.00 Motion for Relief - $150.00 Fee for Splitting Joint Case - $155.00 Appeals and Cross Appeals - $255.00 Amendment to Schedules (D, E & F), List of Creditors or Matrix - $26.00 3
Mortgages In Or Out Of The Plan? If there is a pre-petition mortgage arrearage, all claims related to that mortgage must be paid in the plan. If the mortgage is current, you have the option of paying outside-but BEWARE! Attached hereto is an order filed by Judge Waldron in a case involving a debtor disburse mortgage. The argument that the Trustee's expense is too high does not carry much weight anymore. Due to the high filings and amount of money disbursed, the expense is not much greater and you run a greater danger of losing the home by keeping the mortgage outside the plan. 4
CHAPTER 13 LOCAL RULE CHANGES TO GO INTO EFFECT JANUARY 1, 2004 There are other changes in the Local Bankruptcy Rules that affect chapters 7, 11 and 12, (but we do not care since Chapter 13 is supposed to be our expertise. If you practice in those areas, you need to read the new local rules) 1002-1(e)(2) - Petition - General Requirements of Designation Expanded the definition of a consumer case to include a debtor who was formerly engaged in business and has more consumer debt than business debt 2002-1(c)(1) - Notice to Creditors and Other Interested Parties Returned Notice - Chapter 13 cases. This is probably the biggest change effecting debtor's counsel. Debtor's attorney's address shall be listed as the return address on all 341 Notices and final orders of discharge. Debtor's attorney shall correct any address errors by amending the proper schedule or list, renoticing the creditor and filing a Certificate of Service. Neither the trustee nor the clerk will maintain a permanent record of or retain notices. 3001-1(e) - Claims and Equity Security Interests - General 3006-1 - Claims Withdrawal 3015-1(e) - Chapter 13 Plan (e) Transferred Claims - Requires the transferee to be included in the notice the date the affected Proof of Claim was filed, the amount of the claim and the Proof of Claim number assigned by the clerk. Added - Any creditor withdrawing a filed Proof of Claim shall state with specificity the date the affected Proof of Claim was filed, the amount of that claim and the Proof of Claim number assigned by the clerk. Payment Method - Added the chapter 13 debtor as a party who can file the motion for payroll deduction, and requires the motion by the debtor shall be made with the filing of the plan. Note: In Dayton, the preferred method is for the Trustee to institute the required paperwork at the conclusion of the Meeting of Creditors.
4001-1 - Automatic Stay - Relief From 4001-2 - Cash Collateral 5003-1 - Clerk Added (a)(1), (2) and (3) (1) for real estate, which requires attaching Form 4001(a) to the motion along with copies of the note and mortgages; (2) motor vehicles, attaching a copy of the title showing notation of lien, balance due movant and value of vehicle from any recognized motor vehicle guide; and, (3) personal property, which requires a description, value, balance due and copy of the Security Agreement or Retail Installment Contract. There are changes in the procedures for a motion for cash collateral (which is rare in a Chapter 13 case). Check the updated addresses for the State and Federal agencies. 5005-1(c) - Filing Papers - Requirement 5005-4 - Electronic Filing (c) Identification of attorney expanded to include attorney mailing address, telephone numbers, fax number, email address and state bar number in the signature block under the signature line See Administrative Procedures for Electronic Case Filing available at the court's website at: http://www.ohsb.uscourts.gov 6004-2(c) - Sale of Estate Property - Chapter 13 Cases Clarifies the objection process as to the sale of personal property. If the trustee does not approve the Application to Sell, or a creditor objects (and any objection shall be served on the trustee and not filed with court) debtor may file a motion with the court and request a hearing and shall include as an attachment copies of any objections and/or the trustee's denial of the application. 9007-1 - Papers - Requirements of Forms (b) Papers and Form. Added Typed print on pleadings submitted for filing shall be at least 10-12 font size. 9073-1 - Hearings (Including Expedited Hearings) Forms - Changes to: Changes some of the procedures for requesting an expedited hearing or disposition and order 1.) Form 2016-1(a)(1)(A) Interim Application of Compensation and Expense 2.) Form 4001(a) - Relief From Stay/Adequate Protection 3.) Form 7016-1 - Order on Pretrial and Trial Procedures Order
Comments from Jeffrey M. Kellner, Chapter 13 Trustee (a.k.a. Scrooge) Happy Holidays from our office! We had a record year for filings. We appreciate the work and cooperation from the Court, attorneys and staff. Who says we do not have a sense of humor? (You need a sense of humor to work in our office.) We are working hard... and storing up for a long hard winter. We really DO get wrapped up in our work!
Chapter 13 Office 131 N. Ludlow St. Suite 900 Dayton, OH 45402 From the Chapter 13 Trustee and Staff!