In re Pasley
Opinion
Lead Opinion
Lee, J.
MEMORANDUM DECISION REGARDING MOTION TO CONFIRM MODIFIED CHAPTER 13 PLAN
Before the court is a motion by the debtors Frances and Ricky Pasley (the “Debtors”) to confirm their sixth modified chapter 13 plan (the “Modified Plan”). The “below-median-income” Debtors have successfully modified their mortgage, significantly reducing the monthly payments, and they now seek to shorten the term of this bankruptcy from 60 months to 44 months (the “Motion”). In opposition, the chapter 13 trustee Michael H. Meyer (the “Trustee”) contends that reduction of the plan’s term does violence to the “good faith” requirement of 11 U.S.C. *315 § 1325 (a)(3) 1 (the “Objection”). After oral argument, the parties waived the right to an evidentiary hearing and the matter was submitted on the briefs and declarations.
Initially, the Debtors were only required to be in bankruptcy for 36 months; however, there was “cause,” at the time, to extend the term to 60 months. Because cause no longer exists for permitting the Debtors to remain that long in bankruptcy, and because there is no statutory basis to require that they do so, the Trustee’s Objection will be overruled and the Motion will be granted.