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Carlos J. Cuevas

Chapter 13 of the Bankruptcy Code is an important provision of the law because it enables a distressed homeowner to cure a defaulted mortgage and thereby save his or her home. Di Pierro v. Taddeo (In re Taddeo), 685 F.2d 24 (2d Cir. 1982). Bankruptcy jurisdiction is equitable. Bank of Marin v. England, 385 U.S. 99, 110 (1966). There are instances in which a debtor might be trying to abuse Chapter 13 to injure his or her creditors. See Handeen v. LeMaire (In re LeMaire), 898 F.2d 1346 (8th Cir. 1990) (en banc). Bankruptcy Code §1307(c) provides a bankruptcy judge with discretion to dismiss a Chapter 13 case for “cause” when a debtor is abusing Chapter 13 and is attempting to harm his or her creditors. See In re Love, 957 F.2d 1350, 1354 (7th Cir. 1992).

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