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In re Radden

United States Bankruptcy Court for the Eastern District of Virginia
35 B.R. 821 (1983)


Darnell Radden (plaintiff) purchased a Ford Mustang from Hechler Chevrolet, Inc. (Hechler). Hechler financed the purchase through an installment sales contract assigned to General Motors Acceptance Corporation (GMAC) and secured by the car. Radden missed a monthly payment, did not cure the default, and then missed another monthly payment. GMAC repossessed the Mustang and notified Radden of his right to redeem the car and of the date of the proposed sale of the car. Two days prior to the proposed sale date, Radden filed for chapter 13 bankruptcy. The automatic stay prevented GMAC from proceeding with the planned sale of the car. In the bankruptcy plan, Radden proposed to retain the vehicle and make monthly payments, but he valued the car at less than what was owed. GMAC filed a motion seeking relief from the stay in order to proceed with the sale. Radden responded and argued against lifting the stay and for the return of the car.

Rule of Law


Holding and Reasoning (Shelly, J.)

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