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: How Appealing

"We hold that the hanging paragraph does not operate to deprive such undersecured '910 creditors' of their deficiency claims because the parties are bound to their contractual rights and obligations under operative state law"

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"We hold that the hanging paragraph does not operate to deprive such undersecured '910 creditors' of their deficiency claims because the parties are bound to their contractual rights and obligations under operative state law, and the Bankruptcy Code does not command otherwise." In a decision issued today, another federal appellate court -- the U.S. Court of Appeals for the Fourth Circuit -- examines the effect of the so-called "hanging paragraph" found in 11 U.S.C. sec. 1325(a), added by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005.

Full post as published by How Appealing on June 25, 2008 (boomark / email).

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