Section 1325 Confirmation of plan (Judge Gargotta)
In re Aguerro (Apr. 1, 2008)
Issue: Whether the Debtor may surrender a vehicle purchased within 910 days of filing bankruptcy to Citifinancial in full satisfaction of the debt owed, as his plan provides, or whether Citifinancial retains the right to file an amended proof of claim for any deficiency balance that may remain owed after Citifinancial forecloses its security interest in the vehicle?
Holding: Citifinancial Auto Corporation's Objection to Confirmation of Debtor's Proposed Chapter 13 Plan is granted, such that Citifinancial is allowed to file an unsecured claim for any deficiency balance remaining on the debt after the 2004 Mitsubishi Montero is surrendered to it and Citifinancial has foreclosed its security interest in said vehicle.