Case Summary:
Secured Creditor filed a Motion for Relief from Stay and Co-Debtor Stay and to Dismiss arising under 11 U.S.C. §§ 362(d)(1) and 1208(c). Secured Creditor claimed bad faith as well as lack of adequate protection as the bases. Debtors posited that equity in the property together with a stipulation moot the motions. The Court granted the Motion for Relief From Stay and Co-Debtor Stay and the Motion to Dismiss, finding that the Debtors' failure to perform under a previously confirmed Chapter 12 plan, repeated and unreasonable delays by Debtors prejudicial to creditors, and a pattern of waiting until the eve of foreclosure hearings to file bankruptcy confirmed litigation strategy and not an honest effort to perform under any Chapter 12 plan.
Statute/Rule References:
11 U.S.C. § 362(d)(1) -- Automatic Stay
11 U.S.C. § 1208(c) -- Conversion or Dismissal
Key Terms:
Automatic Stay
Conversion
Dismissal