To protect your interest in the car, make certain you're listed as the lienholder
on the car's title and auto insurance policy.
Freedom from claims means that there is superior title to that of other transferees, such as prior or subsequent purchasers and lienholders
, as well as bankruptcy trustees vested with the powers of hypothetical purchasers and creditors.
The Seventh Circuit has signaled a principled preference for the face value approach as well, albeit in a different context and only in dicta: "As a general rule, the bankruptcy court should not order property sold 'free and clear of' liens unless the court is satisfied that the sale proceeds will fully compensate secured lienholders
and produce some equity for the benefit of the bankrupt's estate.
08-13412 (BLS) (explaining dispute among debtors, pre-petition first lienholders
, prepetition second lienholders
, creditors' committee, and postpetition lenders and requesting conversion of Chapter 11 cases as a result of the parties' inability to resolve dispute).
Accordingly, the lienholders
in this case were not seeking to collect a debt, but seeking to enforce a statutory lien, a lien that only applied to the common fund.
The Second Lien Program (SLP) encourages second lienholders
to modify, (115) offering second mortgage servicers "pay for success" rewards for mortgages that remain current following modification.
The owner or lienbolder may retake possession during business hours by appearing, proving ownership, releasing any law enforcement or official hold, and paying all charges or by other written arrangement between owner or lienholder
and towing/storage firm Failure to exercise the right to reclaim within the time prescribed constitutes a waiver by the owner and lienholders
of all right, title, and interest in the vehicle and contents, and constitutes consent to the sale, dismantling, or destruction of the vehicle and contents.
In recent discussions with servicers, investors in mortgage-backed securities and administration officials, it has become clear that one of the most significant impediments to the success of H4H is the unwillingness of subordinate lienholders
to extinguish their liens as required for participation in this program, even in return for offers of reasonable compensation," Dodd and Frank wrote the regulators.
Under Section C, some innocent parties must be indemnified with respect to their interests in the vehicle (named insured owners, lessors, and lienholders
operating under an SEF 23b Mortgage Endorsement).
JetsAmerica, a company that buys, sells and manages VLJs, had offered $500,000 each for the aircraft to United Technologies Finance, one of the lienholders
of the fleet.
So it may be that what occurs is that the debtor goes through the analysis process of which leases to reject pre-bankruptcy, prenegotiates with some landlords, but again primarily focuses its attention on the secured lienholders
and these bondholders.
At one time there were 49 lienholders
on the property; now there are close to 60.