Mortgage Servicer Saddled with $375,000 in Sanctions for Violating Rule 3002.1

Rochelle’s Daily Wire posted an interesting article about a decision in Vermont. Here’s a snippet of the article: “In the first reported decision of its kind under Bankruptcy Rule 3002.1, Bankruptcy Judge Colleen A. Brown, Vermont’s chief bankruptcy judge, imposed $375,000 in sanctions on a mortgage servicer for billing debtors for fees without first filing the required notices under Rule 3002.1(c).”

“Bankruptcy Rule 3002.1 was added in 2011 to avoid situations where chapter 13 debtors would be faced with foreclosure after receiving a discharge on account of undisclosed post-petition charges from mortgage lenders. Rule 3002.1(c) requires mortgage lenders to file notices of post-petition fees and charges within 180 days of when the charges were incurred.”

You can read the rest of the article here.

The matter is In re Gravel, 11-10112.

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