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Bankruptcy: Enjoining Employers From Discharging Employees Because Of Chapter Xiii Wage Deduction Order, Kenneth Gleason
Bankruptcy: Enjoining Employers From Discharging Employees Because Of Chapter Xiii Wage Deduction Order, Kenneth Gleason
San Diego Law Review
Section 658 of the Bankruptcy Act authorizes issuance of wage deduction orders and enforcement of such orders "in the manner provided for the enforcement of judgments." Thus, if the debtor's employer were to resist the order, the court could levy execution upon the debtor's wages. It would not be necessary to go beyond section 658 to find permission for execution. However, the injunction in Jackson goes beyond mere enforcement of an order. In effect, it preserves the debtor's future earnings upon which the Chapter XIII plan depends. With his income thus preserved, the basis is provided for later support of …
Bankruptcy: Enforcing A Chapter Xiii Wage Earner's Plan Over The Objection Of A Secured Creditor, Donald Bolles
Bankruptcy: Enforcing A Chapter Xiii Wage Earner's Plan Over The Objection Of A Secured Creditor, Donald Bolles
San Diego Law Review
As part of a petition under Chapter XIII of the Bankruptcy Act, Edward Cheetham submitted a wage earner’s plan to a referee in bankruptcy. Although Universal C.I.T. Credit Corp. [hereinafter referred to as C.I.T.] was listed as a secured creditor in Cheetham’s plan, no further mention was made of the corporation. C.I.T. rejected the plan and proposed to take back its security, an automobile in Cheetham’s possession. The referee confirmed the plan over C.I.T.’s objection and denied C.I.T.’s petition for reclamation. Upon appeal, the district court reversed on the grounds that C.I.T.’s acceptance was a condition precedent to proper confirmation …