In re Murphy

226 B.R. 601 (1998)

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In re Murphy

United States Bankruptcy Court for the Middle District of Tennessee
226 B.R. 601 (1998)

  • Written by Jody Stuart, JD

Facts

Brenda Murphy (debtor) shared a household with Sam Hambrick for 11 years before filing for Chapter 13 bankruptcy. Murphy had raised Hambrick’s daughters and maintained the household, and Hambrick had maintained continuous financial support of Murphy. Hambrick signed an unconditional written commitment to provide Murphy with money to fund the proposed Chapter 13 plan. For many years, Hambrick’s income had equaled at least the amount he committed. Murphy filed a motion to partially avoid a lien held by Constance Morris (creditor). Morris objected, arguing that Murphy was not eligible for Chapter 13 due to a lack of regular income. Hambrick and Murphy presented evidence of their commitment to each other and their family and of their intent and ability to fund a Chapter 13 plan.

Rule of Law

Issue

Holding and Reasoning (Lundin, J.)

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