Adler v. BancPlus Mortgage Corp.

108 B.R. 435, 1989 U.S. Dist. LEXIS 14872, 1989 WL 156108
CourtDistrict Court, S.D. New York
DecidedDecember 13, 1989
Docket88 Civ. 9191 (TPG)
StatusPublished
Cited by7 cases

This text of 108 B.R. 435 (Adler v. BancPlus Mortgage Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Adler v. BancPlus Mortgage Corp., 108 B.R. 435, 1989 U.S. Dist. LEXIS 14872, 1989 WL 156108 (S.D.N.Y. 1989).

Opinion

OPINION

GRIESA, District Judge.

This case is an appeal from an order of the bankruptcy court signed on September 29, 1988 dismissing appellant’s chapter 13 bankruptcy case pursuant to 11 U.S.C. § 109(g)(1). Appellee moves to dismiss the appeal for failure to prosecute.

The motion is granted.

FACTS

On February 24, 1983, appellant Louis Jerome Adler and his wife purchased a single family house at 13 Chestnut Street, Stony Point, New York. The Adlers took the property subject to a mortgage and mortgage bond. At the time of this transaction, the mortgage and bond belonged to The Richard Gill Company, which had retained appellee BancPlus Mortgage Corporation as its servicing agent.

In July 1984 BancPlus commenced an action against Adler in Supreme Court, Rockland County, seeking to foreclose the mortgage. After Adler failed to appear in the action, the court granted BancPlus a judgment of foreclosure and sale. A sale was scheduled for October 30, 1985. Adler obtained a temporary restraining order staying the foreclosure sale. Apparently there was some question about whether service of process was proper.

BancPlus commenced a second foreclosure action and served Adler again. After Adler’s default in the second action, the court entered a judgment of foreclosure and sale. The amount of the debt reflected in the judgment was $53,588.87. On November 17, 1986, two days before the scheduled sale, Adler moved for an order vacating the judgment and dismissing the second foreclosure action. After a hearing on June 15, 1987, the court entered an order denying Adler’s motion in its entirety. A new sale was scheduled for August 6, 1987.

One day before the foreclosure sale, Adler filed a chapter 13 bankruptcy petition in the Southern District of New York. This filing automatically stayed the foreclosure sale pursuant to § 362(a) of the Bankruptcy Code. Adler filed with the bankruptcy court a proposed chapter 13 plan, offering to pay BancPlus $17,625.70. BancPlus filed a proof of claim for $38,-294.23. The claim was for less than the judgment of foreclosure. The foreclosure judgment was based upon acceleration. The proof of claim initially filed by Banc-Plus in the bankruptcy proceeding did not include acceleration. Chapter 13 contemplates the possibility of a plan in a case such as this that avoids acceleration.

In October 1987 the chapter 13 trustee moved to dismiss the ease for failure of Adler to make payments to the trustee as required by § 1326 of the Bankruptcy Code and for Adler’s failure to appear at an examination by the trustee pursuant to § 341. The trustee’s motion was originally returnable November 18, 1987 but was adjourned to January 13 and then to March 16, 1988. On March 16 the trustee withdrew the motion after Adler made the required payments.

On February 12 BancPlus had moved to vacate the stay of the foreclosure sale because of Adler’s failure to make post-filing mortgage payments. At a March 1 hearing, the bankruptcy court adjourned the motion until March 16 to permit Adler to produce evidence of post-filing payments. Adler failed to do so and the bankruptcy court directed counsel for BancPlus to settle an order for March 28 terminating the automatic stay in the event Adler failed to produce evidence of payment on or before that date. Instead of providing proof of payment, Adler produced in court four money orders sufficient to make current his post-filing' mortgage payments. The court continued the stay of the foreclosure sale.

On March 10 BancPlus objected to the confirmation of Adler’s chapter 13 plan because the plan did not cover the full amount of BancPlus’s claim. A hearing on confirmation of Adler’s chapter 13 plan had *437 been scheduled for January 13, but was adjourned several times because Adler requested, inter alia, additional time to retain counsel.

On June 20 while Adler was still pro se, he served an amended chapter 13 plan proposing to pay BancPlus $18,198.80 over a 5 year period and served an objection to BancPlus’s claim. On June 22 Adler appeared with his present counsel, who requested additional time to prepare an objection to BancPlus’s claim. Both matters were adjourned to August 17.

On August 17 the court allowed as Banc-Plus’s claim the full amount of the foreclosure judgment, $53,588.87. Immediately thereafter, the court held a hearing to consider confirmation of Adler’s amended chapter 13 plan. Because the amended plan did not provide for the payment in full of BancPlus’s allowed claim, the court adjourned the confirmation hearing to September 7 and gave Adler until September 2 to submit a further amended plan.

On September 15 the court entered an order dated September 2 allowing the claim of BancPlus in accordance with the ruling of August 17. One week later, Adler filed a notice of appeal to the district court from the September 2 order. Adler took no action to perfect this appeal, and on January 25, 1989 Judge Duffy dismissed it for lack of prosecution.

On September 7, 1988 Adler had requested further time to prepare a plan. However, the court refused to sign an order to show cause in connection with this request. Moreover, the court granted provisionally BancPlus’s motion to dismiss the chapter 13 case and directed BancPlus to settle an order of dismissal on September 28 should plaintiff fail to file a feasible plan on or before that date.

On September 28 Adler attempted to forestall entry of the dismissal order by seeking a temporary restraining order from the district court. The proposed order was presented to Judge Edelstein, who refused to sign it.

On September 29, 1988 the bankruptcy court dismissed Adler’s chapter 13 case pursuant to § 109(g)(1) of the Bankruptcy Code. On October 11 Adler filed a notice of appeal. On October 26 the bankruptcy court granted Adler a stay of the foreclosure proceedings pending the determination of this appeal, conditioned on Adler’s posting a $4,000 supersedeas bond, which was done.

Bankruptcy Rule 8006 requires that within 10 days after filing the notice of appeal the appellant is to file with the bankruptcy court clerk and serve on the appellee a designation of the items to be included in the record on appeal and a statement of the issues. Within 7 days after service of the statement, the appellee may file and serve on the appellant a designation of additional items to be included in the record on appeal, known as the counter-designation.

On October 26 Adler filed a designation of the record on appeal and statement of issues with the clerk of the bankruptcy court. Adler’s designation included items from the docket sheet but no transcripts of the bankruptcy hearings. In its counter-designation, BancPlus listed among other things transcripts of certain hearings.

Although Adler’s designation of the record on appeal was filed a few days late, this is not the problem raised by Banc-Plus’s motion to dismiss the appeal for lack of prosecution. This problem is Adler’s failure to file a brief.

Bankruptcy Rule 8009(a) requires the appellant’s brief to be filed and served within 15 days after the entry of the appeal on the docket of the district court. Rule 8007(b) provides for the entry of the appeal as follows:

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Bluebook (online)
108 B.R. 435, 1989 U.S. Dist. LEXIS 14872, 1989 WL 156108, Counsel Stack Legal Research, https://law.counselstack.com/opinion/adler-v-bancplus-mortgage-corp-nysd-1989.