To assist in efficiently handling 362 settlement orders in conduit cases, the Court has made available a new form settlement order in Judge Duncan cases only. A sample is available here. The Request for Settlement Order on Motion for Relief from Stay event has been modified to require users to indicate if the bankruptcy case is changing from a non-conduit to a conduit case. After selection of the conduit option and proper input of the required information, the trustee is notified of the request for a settlement order, and upon her consent, the new form settlement order will be generated and sent to Judge Duncan for review and signature
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The Operating Orders (16-02 and 16-03), which govern Conduit Mortgage Payment Procedures, have been amended. The revisions are: (1) to revise footnote 13; (2) to amend Exhibit C, the form to be used for a debtor to consent to payment of funds to affected mortgage creditors and the debtor’s attorney upon conversion or dismissal and to rename it Exhibit C.1; and (3) to add Exhibit C.2, a form order to be used in cases being converted when the debtor has signed a Consent in accordance with Exhibit C.1. The revised Operating Orders are available here.
Additionally, the Court has made new CM/ECF events available to be used in chapter 13 conduit cases. The events are as follows:
- Exemption from Conduit Mortgage Payment Requirement. The event is located in the Motions/Applications menu and may be used by any party seeking an exemption from the conduit mortgage payment requirement. This event may be used in Judge Duncan’s and Judge Waites’ cases.
- Mortgage Creditor Report. The event is located in the Other and Creditor Claims Actions menu and may be used by a mortgage creditor for filing its report in response to a Trustee’s Request for Mortgage Creditor Report. This event may be used in all Judges’ cases.
- Consent Allowing Payment of Funds to Creditor(s) and Debtor(s) Attorney-Conduit. The event is located in the Other menu and may be used by a debtor to consent to payment of funds to a conduit mortgage creditor and to the debtor’s attorney in the event of a conversion or pre-confirmation dismissal of the case. This event may be used in all Judges’ cases, and the Judges encourage the filing of the Consent at the beginning of the case whenever possible. In any event, the Consent must be filed before an order allowing the payment can be obtained. Note that it is the debtor’s attorney’s responsibility to ensure that an order is proposed to the Court at the time conversion is requested. A form order for use in cases being converted is available here.
The Plan and Amended Plan events have also been revised to add an option to designate the plan as a conduit plan. Additional events have also been made available for use by the chapter 13 trustees.