Practical LAM Motion Questions
Posted: Tue Feb 24, 2009 6:02 pm
I'm coming dangerously close to actually starting my first LAM motion case
(with extreme trepidation because it will be downtown and we all know which
Judge(s) is there.).
Anyway, here are the facts and my questions.
H&W have a property which probably qualifies for a lien strip of the second
(value $320,000; first mortgage $338,000; second $119,000). Second is an
individual, not a bank.
H&W's income is a combo of part-time work, and social security. They are
below median. With both mortgage payments, they are running a negative in
their budget. If the second is eliminated, they would have about $800
"surplus" income, although that would arguably be from exempt social
security income.
1. Does the "best efforts" requirement mandate that they pay the full
surplus even if it results from social security income, or could they do a
$100 per month plan?
2. Without disclosing what you all charge, how do you structure
payments for a LAM motion in your retainer agreements? It's obviously
additional to the "base fee" services. Do you just do fee apps and then
get paid from the future monthly plan payments? If so, what if there is
too small a plan payment to cover it? Do you build in additional fees in
case you get a certain judge?
3. If debtors are current with the payments on the mortgages on the
date their case is filed, but then stop paying on the 2nd which is to be
lienstripped (either immediately, or if a certain judge is on the case then
after the LAM trial is concluded in their favor) and then they end up
dismissing the Chapter 13 case prior to discharge, can the 2nd then declare
the loan in default and foreclose because less than the required monthly
payments had been made?
I have many more stupid questions, but that's enough for now.Thanks in
advance for your input.
*************************
Mark J. Markus
Law Office of Mark J. Markus
11684 Ventura Blvd. PMB #403
Studio City, CA 91604-2652
(818)509-1173 (818)509-1460 (fax)
Toll Free: 1-866-576-6275
web: http://www.bklaw.com/
This Firm is a Qualified Federal Debt Relief Agency (see what this means at
The post was migrated from Yahoo.