Holder of long-term debt dealt with under cure-and-maintenance plan did not have to give notice of postpetition legal fees.
on July 14th, 2008A creditor holding long-term residential mortgage debt with which a Chapter 13 debtor proposed to deal under the cure-and-maintenance provision of the Code had no obligation to give the debtor notice, or to obtain court approval, of postpetition legal expenses to which it was allegedly entitled under an attorney fee provision in the mortgage document in order to collect such legal expenses not from the bankruptcy estate, but from the debtor after completion of her plan payments and entry of a discharge order. While imposition of such an obligation might make sense as a matter of policy, no such obligation was imposed by the Code provision dealing with the rights of oversecured creditors, by the cure-and-maintenance provision itself, or by Bankruptcy Rule 2016(a).
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