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In re Wharton (Case No. 09-61741) 03/26/2010

The matter before the Court is the debtors' motion to avoid a lien pursuant to 11 U.S.C. § 522(f) on the basis that it impairs an exemption to which the debtors are entitled.  The debtors filed amended schedules reducing the value of certain parcels of real property without providing any basis for the reduction in value.  The Court found that the only apparent reason for the reduction is to permit the debtors to avoid a greater portion of the lien.  Since ambiguities in a debtor's schedules must be construed against the debtor, the Court concluded that the higher value must be used, and therefore, the lien is only partially avoidable.

Date: 
Friday, March 26, 2010
Category: 
Avoidance
Chapter 13 Issues
Lien Avoidance
Plan Modification
Chapter: 
13