Handling Real Property-Secured Loans
in Chapter 7 Bankruptcy
A NorthLegal Webinar presented October 18, 2012
Approximate Duration: 1:54 hrs:min, including Q&A

Cost/Registration | How to Attend a Webinar

Most discussions regarding the treatment of real property-secured loans in bankruptcy focus on Chapter 13 cases, but what about Chapter 7?

Chapter 7 bankruptcy presents lenders with unique challenges when the collateral is real property. Many of the steps that would ordinarily be taken and rules that would apply with respect to other types of debts make little sense in the context of real property loans.

To complicate matters, in many cases your relationship with a real property loan borrower will continue for many years or even decades after the bankruptcy is over. What can (and what can't) you do or say during that time?

And now some debtors are looking to Chapter 7 courts to give them relief (including the stripping of junior liens!) that was previously only available in Chapter 13—and some courts are giving that relief.

During this program, attorney Eric North talks with lending institutions and loan servicers about the rights and obligations you have when a real property loan borrower files Chapter 7 bankruptcy. Topics include—

• What effect does a Chapter 7 bankruptcy have on a loan secured by real property? Does it make any difference if the property is the borrower's principal residence?
• How did the Circuit Court of Appeal for three states justify allowing a debtor to completely strip off a real property secured lien? Is it likely other circuit courts will follow?
• Should you file a proof of claim in Chapter 7 cases?
• Is there any reason to ask for a reaffirmation in Chapter 7 cases? Is there any reason a debtor should agree to one? How is the reaffirmation process different for real estate loans than for other types of loans?
• What effect does the automatic stay have on pending foreclosures? On foreclosures completed just before the bankruptcy?
• What collection problems may you encounter with respect to real property secured loans long after a Chapter 7 bankruptcy has concluded?
• May you modify a real property secured loan after the borrower's liability has been terminated in Chapter 7 bankruptcy? What are the risks, and how can you mitigate against those risks?
• What tools does a borrower's Chapter 7 bankruptcy give you that—if used properly—can help your financial institution make wise decisions and prevent unnecessary loss?
  

NOTE: This program is intended for employees of consumer lending institutions. Please contact NorthLegal Training and Publications to obtain approval before registering if you are not an employee of a consumer lending institution.

Cost/Registration
The fee to attend this archived program is $145.00 if paid by credit card or $155.00 if paid by check. For that fee, you or someone from your financial institution may view this program as often as you like for a period of 30 days.

How to Attend a Webinar
To attend this NorthLegal Webinar, please do the following:

• Register.  To register online using a credit card, visit the link shown in the grey box near the top of this page. To register by mail, call NorthLegal at 623.537.7150.
• Check your email. Within moments after you complete the registration process you should receive two emails.  One will be a receipt for the transaction and the other will contain a link and detailed instructions explaining how to use that link to attend the program. 
• Watch for an email the day before the program or the morning of the program telling you that the handout materials are ready to be downloaded.  (A link will also appear on this site's home page when the materials are ready.)