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IN RE ALVAREZ

BAP No. 11-080. Bankruptcy No. 10-07374-ESL.

473 B.R. 853 (2012)

Virgen P. Mercado ALVAREZ, a/k/a Virgen Mercado Alvarez, a/k/a Virgen P. Mercado, a/k/a Virgen Mercado, Debtor. RNPM, LLC, by and through Operating Partners Co., Inc., Appellant, v. Virgen P. Mercado Alvarez, Appellee.

United States Bankruptcy Appellate Panel for the First Circuit.

June 28, 2012.

Attorney(s) appearing for the Case

Charles P. Gilmore, Esq. , and Lucas A. Córdova-Ayusa, Esq. , on brief for Appellant.

Jose M. Prieto Carballo, Esq. , on brief for Appellee.

Before BOROFF, DEASY, and BAILEY, United States Bankruptcy Appellate Panel Judges.

BAILEY, Bankruptcy Judge.

RNPM, LLC, by and through Operating Partners Co., LLC ("RNPM"), appeals from the bankruptcy court's order reducing its claim for attorney's fees imposed under its mortgage's "penalty clause," as that term is used in Puerto Rico law, against the debtor, Virgen P. Mercado Alvarez ("the Debtor"), on account of her default under the terms of the Note, defined below. For the reasons set forth below, the Panel AFFIRMS.

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