US Supreme Court Holds That Chapter 7 Debtor May Not Void An “Underwater” Junior Mortgage
June 2, 2015
On June 1, 2015, the United States Supreme Court issued an opinion in Bank of America, N.A. v. Caulkett, 575 U. S. ____ (2015), holding a debtor in a Chapter 7 bankruptcy proceeding may not void a junior mortgage under 11 U.S.C. §506(d) even if the debt owed on a senior mortgage exceeds the present value of the property.
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