Impact of paying off partially avoided lien for nondischargeable judgment?
Posted: Sat Jun 22, 2013 6:59 pm
Does anyone know of German Speaking Attorney. Idealy they would have some knowledge of German Courts.
Please email me off-list. This is for me personally not a client.
Jonathan Leventhal, Esq..
Leventhal Law Group, P.C.
818-347-5800
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From jesseelaw@aol.com Sat Jun 22 21:35:17 2013
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Subject: Impact of paying off partially avoided lien for nondischargeable judgment?
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Creditor has judgment in adversary proceeding excepting a large debt from discharge under Section 523(a). Debtor successfully avoided most of the recorded abstract of judgment against personal residence under 522(f) after hearing over creditor's objection. The Creditor unsuccessfully tried to rely on In re Farr, 278 BR 171 (9th Cir. B.A.P. 2002) to support its position that lien avoidance under 522(f) was not allowed for nondischargeable debts. Farr never attempted to avoid the nondischargeable lien under 522(f), so it was not applicable. Judgement Debtor now desires to refinance and pay off the unavoided portion of the lien on the home. I have not found any case law or anything else discussing the topic, but my logic concludes once that portion of the lien not avoided under 522(f) is paid off, that particular real property is never again subject to enforcement of that particular nondischargeable judgment. Anyone aware of any authority on the issue?
Is Judgement Creditor entitled to interest on the partially avoided lien under 522(f)? Judge Hargrove from the Southern District of CA says yes - In re Kanakaris, 341 BR 33 - Bankr. Court, SD California 2006. I have not found anything else addressing this question. Thoughts?
Mark Jessee
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