Chapter 13 Plan Confirmation and Modification: Walking the Good Faith
This panel explores the evolving and fact-intensive concept of good faith in chapter 13 bankruptcy, with a focus on plan confirmation and post-confirmation modifications. The panelists examine how courts interpret “good faith” under §§ 1325 and 1329, common red flags that can trigger bad-faith findings, and key strategic considerations for trustees, debtors’ counsel and creditors when modifications are proposed. Through statutory analysis, leading case law and practical examples, the panelists address when plan confirmation calls into question the good faith of the debtor and/or their counsel and proposed modifications cross the line from legitimate adjustment to improper use of the Bankruptcy Code. Topics include income and expense changes, serial or late-stage modifications, treatment of unsecured creditors, disclosure obligations, and the role of debtor conduct before and after confirmation.Learning Objectives:Attendees will understand the good-faith requirements of §§ 1325 and 1329 and how courts evaluate good faith in chapter 13 plan confirmation and post-confirmation modification proceedings.Attendees will identify common factual circumstances and litigation issues that can trigger good-faith challenges, including changes in income and expenses, serial filings, disclosure obligations and debtor conduct.Attendees will analyze recent case law and practical strategies for evaluating, prosecuting or defending plan confirmation and modification disputes involving allegations of bad faith.