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In re Davis

United States Court of Appeals, Ninth Circuit

February 17, 2015

IN RE CAROLYN L. DAVIS, Debtor. CAROLYN L. DAVIS, Appellant,
v.
U.S. BANK, N.A.; ONEWEST BANK; and ELIZABETH F. ROJAS, Appellees

Argued and Submitted: December 12, 2014, Pasadena, California

Appeal from the Ninth Circuit Bankruptcy Appellate Panel. BAP No. 11-1692. Kirscher, Markell, and Dunn, Bankruptcy Judges, Presiding.

AFFIRMED.

SUMMARY[*]

Bankruptcy

On appeal from a decision of the Bankruptcy Appellate Panel, the panel affirmed the bankruptcy court's dismissal of a petition under chapter 12 of the Bankruptcy Code.

The panel held that the appellant was ineligible to be a chapter 12 debtor because her " aggregate debts" exceeded the statutory limitation of $3,792,650. The panel held that appellant's " aggregate debts" included unsecured portions of creditors' claims, even though those liabilities had been discharged in an earlier chapter 7 proceeding, because a creditor's claim remains a " debt" so long as it is enforceable against either the debtor or the debtor's property.

Richard L. Antognini (argued), Law Offices of Richard L. Antognini, Lincoln, California, for Appellant.

Richard W. Esterkin (argued), Morgan, Lewis & Bockius LLP, Los Angeles, California; and Joshua A. del Castillo (argued) and David R. Zaro, Allen Matkins Leck Gamble Mallory & Natsis LLP, Los Angeles, California, for Appellees.

Before: Susan P. Graber, Ronald M. Gould, and Consuelo M. Callahan, Circuit Judges. Opinion by Judge Graber.

OPINION

Page 810

GRABER, Circuit Judge:

Debtor Carolyn L. Davis appeals from a decision of the Bankruptcy Appellate Panel (" BAP" ) affirming an order of the bankruptcy court that dismissed her voluntary petition under chapter 12 of the Bankruptcy Code. The bankruptcy court dismissed Davis' petition because her " aggregate debts" exceeded $3,792,650, the statutory limitation for chapter 12 eligibility in effect at the time that Davis filed her petition. See 11 U.S.C. ยง 101(18)(A) (2010). The BAP affirmed, concluding that Davis' " aggregate debts" included her liabilities for the unsecured portions of her creditors' claims, even though those ...


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