Utah Bankruptcy Courts (UT)
Proposed plans before the Utah Bankruptcy courts must be approved before becoming enforceable
All debtors must file a proposed plan in Chapter 13 Cases. Upon filing, the Utah Bankruptcy Court assigns a trustee to administrate cases, and deadlines are established for submitting forms, schedules, and the debtor's posed plan. The contents of the plan must include all creditors, whether classified as priority, secured or unsecured. Priority claims are paid first, and thereafter, the trustee disburses net payments according to a hierarchy of preference established through the trustees practice. But in practice, trustees tend to repay arrearages on secured notes first (especially past due mortgage payments) and as a last priority, repay general unsecured creditors. At the completion of the plan term, all remaining balances owed to general unsecured creditors are eliminated in a manner similar to discharge under other chapters.
Divisional Utah Bankruptcy Court Locations And Offices:
The District Utah Bankruptcy Court maintains two Divisions located in Ogden and Salt Lake City.
Forms for filing proposed plans are available free of charge from the clerk, as well as publications regarding applicable interest rates, calculations, and approved living expenses. The amount of disposable income is the product of total expenses, less monthly living allowances and expenses, according to a statutorily created process of approval.