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Chapter 13 in disarray! Is this considered negligence ?

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kenhunt

Junior Member
What is the name of your state? Illinois -Chicago


I am posting this on behalf of a longtime friend Im trying to help. She filed her chapter 13 in December of 2002 to avoid foreclosure.Her paycheck deductions were to start January of 2006 and they were to last 46 months. She made 37 payments into her plan when her diabetes caused her to lose her eyesight and she was approved for disability enough to cover the payments but she would have to wait 6 months in that time she would only receive ssi that was only half of her chapter 13 payment plan.

She tried to ask for a extension but the lawyer told her she couldnt because she was at the limit that a plan can be paid and now her lawyer who attended the motion to dismiss hearing last week to get an continuance told her the judge gave her 21 days before the next hearing at which time the case would be dismissed .

Now it gets tricky because after reading through all the papers and she has kept them all I find and Im no lawyer a letter about a motion from the mortgage company(Apr 03) to dismiss because from Jan 03 to apr 03 no mortgage payments had been made at all. I have her very first case status report and it shows payments were taken out on time but the very first payment was made in May to the mortgage company . The mortgage company asks for either a dismissal or the past due payments + fees and costs etc totalling 4700.

It seems on the case status report that the lawyer had gotten 2500 of his 2700 in fees paid during the first 5 months at the expense of her mortgage payment and then added the late fees and payments on the backend without even telling her .Is this legal and why would the trustee allow them to do this ? They are forcing her to pay for their negligence and now because of it she cant even get the suspension of payment for 2 months that she needs . Are the lawyer and trustee somehow in this together ?

She can never get the lawyer handling her case and the trustee's secretary told her she would speak to all 40 of his staff before she would get to him. Can she file suit ? file a motion to present her side to the judge before her 21 days are up ?

Someone in the lawyers office told her hat she could refile for $275 after its been dismissed but that seem to me like an excuse to tack on more fees on the back end.Anyone out there ever heard of anything like this ? Any help would be greatly appreciated .What is the name of your state?What is the name of your state?
 



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