[Dec 15 2019] Foreclosure Saga - http://civilinquiry.jud.ct.gov/CaseDetail/PublicCaseDetail.aspx?DocketNo=FBTCV196091825S

[DarkSoulsPhil]

Well that's the big gay

 

[James Smith]

As for his HOA fees: he's required to pay those due to separate legal reasons in his condo contract until it leaves his name.

People overcomplicate this. He's required to pay the condo association fees because they are new debt. You declare bankruptcy today, next week the guy comes and mows your lawn. You still owe the guy money for mowing your lawn. The same concept applies each month when the condo association fee comes around. It's not some nebulous "legal reason".

 

[JTLEXL]

So, can anyone 100% say if Mid First is done and lost or not?

 

[harbinger]

So, can anyone 100% say if Mid First is done and lost or not?

Everything I’ve learned about bankruptcy has been here on the farms in the last 4 months, so by no means am I an expert nor should my word be taken as gospel. With that said, from what I’ve read online, because Philip forfeited the CTCondo as part of the bankruptcy, MidFirst can just take possession of the condo via foreclosure, but is shit out of luck when it comes to the remaining balance.

Philip’s credit score, however, will now have a Bankruptcy and a Foreclosure on it for the next several years.

 

[AnOminous]

Everything I’ve learned about bankruptcy has been here on the farms in the last 4 months, so by no means am I an expert nor should my word be taken as gospel. With that said, from what I’ve read online, because Philip forfeited the CTCondo as part of the bankruptcy, MidFirst can just take possession of the condo via foreclosure, but is shit out of luck when it comes to the remaining balance.

Philip’s credit score, however, will now have a Bankruptcy and a Foreclosure on it for the next several years.

He only told the bankruptcy court that was his intention. The actual foreclosure happens in Connecticut state court. I think the deficiency will be discharged as well, and am not sure if MidFirst has some way around that. I'm not sure how they could have been aware enough of what was going on to request lifting the bankruptcy stay and yet not have the sense to challenge his obviously bogus numbers, but whatever.

 

[UncleTusky]

I am not 100% sure if it matters anymore, but MidFirst has finally added the relief from stay to the docket in Connecticut:

http://civilinquiry.jud.ct.gov/DocumentInquiry/DocumentInquiry.aspx?DocumentNo=19087013

 

[Agent Proper]

I am not 100% sure if it matters anymore, but MidFirst has finally added the relief from stay to the docket in Connecticut:

http://civilinquiry.jud.ct.gov/DocumentInquiry/DocumentInquiry.aspx?DocumentNo=19087013

To break this down MidFirst is now allowed to obtain "The Property" (CT Kahndo) and then they can (if they choose to) get money from Phil by suing him, changing loan conditions,and other means of mitigation. Lastly they are allowed to continue to contact Phil.

MidFirst it is your move.

 

[actually]

To break this down MidFirst is now allowed to obtain "The Property" (CT Kahndo) and then they can (if they choose to) get money from Phil by suing him, changing loan conditions,and other means of mitigation. Lastly they are allowed to continue to contact Phil.

MidFirst it is your move.

I thought the bankruptcy had eliminated all liability for the debt from Phil?

 

[ReentryPhantom]

Everyone was praising Nancy, when Lance is the potential true hero

 

[Agent Proper]

I thought the bankruptcy had eliminated all liability for the debt from Phil?

I am still unclear about that but this is what caught my eye while reading the filing.

Maybe someone else who is more knowledgeable can clear it up for us.

 

[David Davidson]

I am still unclear about that but this is what caught my eye while reading the filing.View attachment 1324144
Maybe someone else who is more knowledgeable can clear it up for us.

I am by no means knowledgeable but that looks like a generic statement that's required and gets copy and pasted in. Reads like "We aren't saying we are gonna try to get the money you owe... but we might try."



Really looks more like MidFirst is just trying to get and sell the CA condo and POTENTIALLY the remainder of the outstanding debt unless Phil's judgment says "no, the CA condo is also cleared from outstanding debt after sale."

 

[Agent Proper]

I am by no means knowledgeable but that looks like a generic statement that's required and gets copy and pasted in. Reads like "We aren't saying we are gonna try to get the money you owe... but we might try."

View attachment 1324210View attachment 1324205View attachment 1324208

Really looks more like MidFirst is just trying to get and sell the CA condo and POTENTIALLY the remainder of the outstanding debt unless Phil's judgment says "no, the CA condo is also cleared from outstanding debt after sale."

My thoughts exactly. This could have a few outcomes: CT Condo gets sold by MidFirst Phil gets dragged to court to pay remainder, Phil works with MidFirst and pays what he owes in a payment plan (Phil likes minimum payments), Phil is free and clear of owing them a cent because of the Bankruptcy ruling.

MidFirst strikes me as the type of bank that would push to get as much as they can from someone like Phil, if they can. They would also know when to take a loss and walk away.

 

[AnOminous]

I thought the bankruptcy had eliminated all liability for the debt from Phil?

It doesn't eliminate the secured part. And I wouldn't be surprised if MidFirst just goes ahead and tries anyway and sees if Phil can do anything about it.

 

[Abe Vigoda]

They might just be trying to throw their dick around and hope to scare Phil into agreeing to a payment plan because he's too cheap to hire a lawyer even though he's in the right.

 

[Beetus Knuckles]

It's fairly common to try collect "zombie" debt after a bankruptcy. Providing a copy of the discharge order to the state court usually takes care of it. If Midfirst persists, Phil could sue them for damages under the FDCPA.

 

[Sparkletor 2.0]

Phil is Italian.

He will only respond to debt collectors who ask nicely with four greaseballs and a baseball bat.

 

[PutridElephant]

I thought the MidFirst debt was removed from the bankruptcy so it didn't get discharged.

 

[TankMelee]

I thought the MidFirst debt was removed from the bankruptcy so it didn't get discharged.

That is not what happened. They just received the go-ahead to foreclose despite the bankruptcy because DSP has no equity in the property. The document is nothing new (as the poster said); Midfirst is just CCing the Connecticourt that they're allowed to foreclose... 1.5 months after they've been permitted.

DSP already gave them permission to foreclose why are they dragging their feet?

Probably because they're a bunch of assholes who are inept at what they do.

 

[gh0stzero]

DSP already gave them permission to foreclose why are they dragging their feet?

 

[UncleTusky]

I thought the bankruptcy had eliminated all liability for the debt from Phil?

It eliminated all unsecured debt (credit cards) but there was much more confusion about how surrendering secured property works. Even Rackets wasn't quite sure whether it's considered an extension of old debt (which could be wiped) or a new debt created when the foreclosure sale went through (which would not, Chapter 7 does not wipe debts incurred after filing).

My reading of the law is that he is liable for the deficiency after MidFirst sells it, but only if the judge considers the initial foreclosure suit to be the date of foreclosure rather than the date of his/her ruling:

If the bank foreclosed on the property before you filed Chapter 7 and sold it at auction for less than what you owe, you likely still owe the remaining balance, called a deficiency balance. (Keep in mind that the law of some states doesn’t allow for deficiency balances.) Your mortgage lender can come after you to collect a deficiency balance, so you might be facing a lawsuit even after the lender foreclosed on your house.

Source

I posted about it upthread but Connecticut does allow for deficiency balances. The only cap/reduction on amount owed is if the bank sells it for below market value (and then they have to forgive half the difference between market value and sales price).

Paging our legal eagle Kiwis (@AnOminous @SoapQueen1) is the foreclosure date the date of initial filing or when the judge issues his/her order? This is literally a $40,000 question.