On Monday, June 26, 2006, the U.S. Supreme Court granted cert in the case of Marrama v. Citizens Bank of Massachusetts. The case involves a Chapter 7 debtor whose conversion to Chapter 13 was denied. The 1st Circuit Court of Appeals had ruled that a debtor's right to convert from Chapter 7 to Chapter 13 is not absolute and can be denied in some circumstances. Robert Louis Marrama appeals to the Supreme Court with the argument that the actual language of the Federal Bankruptcy Code gives an absolute right to convert to Chapter 13 from Chapter 7. The Bankruptcy Court had previously denied Marrama's conversion on the grounds that the request was made in bad faith. Marrama ran a flooring business and his assets were seized by Citizens Bank of Massachusetts. Marrama became unemployed and was therefore ineligible to file under Chapter 13 which requires a debtor to have regular income, so Marrama filed for Chapter 7 protection instead. The Chapter 7 Trustee took possession of Marrama's home in Maine, in which Marrama had been living. Marrama moved back into a home he owned in Massachusetts, which was exempt. Once he got a job with his brother's flooring company, he became eligible for Chapter 13 relief and sought to convert to Chapter 13. His request was objected to by the Trustee and Citizens Bank, and his request was denied. The Supreme Court will hear this case. Ray