IN RE BARTO

Nos. 80-00289, 80-00346, 80-00356, 80-00586, 80-00660, 80-02084 and 80-02400, Adv. Proceeding No. 800539.

8 B.R. 145 (1981)

In re Bethol Paulette BARTO, Debtor. SECURITY PACIFIC FINANCE CORPORATION, Plaintiff, v. Bethol Paulette BARTO, Defendant, United States of America, Intervenor. Since the Barto case was taken under advisement by the Court, the identical issue has arisen in other cases and the parties therein agreed to let the Barto decision be dispositive of them all. Those cases are In re Clifton L. ANDREWS, Debtor. In re Danny Clarence FARLEY, Debtor. In re Linda Whitehurst LASSITER, Debtor. In re Anna Louise FARLEY, Debtor. In re Deborah Ann Small PALAIMO, Debtor. In re Helen Delores Smith TYNES, Debtor.

United States Bankruptcy Court, E.D. Virginia, Norfolk Division.

January 7, 1981.


Attorney(s) appearing for the Case

George H. Heilig, Jr. of Rixey, Heilig & McKenry, Norfolk, Va., for Sec. Pac. Finance Corp.

Ronald J. Berg of Berg & Gordon, Virginia Beach, Va., for debtor.

Barbara G. O'Connor, Washington, D.C., Staff Atty. for the Executive Office for the U.S. Trustee, U.S., intervenors.


HAL J. BENNEY, Jr., Bankruptcy Judge.

An entirely new and now highly controversial feature was placed in the Bankruptcy Code which did not appear in the prior Act. It is section 522(f), 11 U.S.C. 522(f). Its provisions would permit a debtor to avoid a non-possessory, non-purchase money security interest in certain exempt household goods.

When Barto, the debtor here, borrowed money on November 7, 1978 from Security Pacific Finance Corporation, as collateral...

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