#Sales Offer!| Get upto 25% Off:

Part 1 For each of the following, read through the scenario and then answer each of the questions that follow as completely as possible:

Chapman agreed to sell certain land to Pierson and retained a mortgage on the property to secure payment of the purchase price. The mortgage contained a clause providing that if Pierson defaulted, Chapman had the “right to enter upon the above described premises and sell the same at public sale” to pay the purchase price, accounting to Pierson for any surplus. What type of foreclosure does this provision contemplate, and why? Bolton Hardware Company was engaged in the business of furnishing materials to property owned by John and Lisa Mason. The materials were for the use of a contractor that was building a home for the Masons as well as several other houses in the area. Bolton was not paid for the materials by the contractor and sought to obtain a mechanic’s lien/materialmen’s lien against the Mason’s property. The Masons claimed that even though the materials were delivered to their home, they were actually used to build other houses in the area. Was the Mason’s property subject to a mechanic’s lien/materialmen’s lien because payment had not been made for the materials delivered, and why or why not? Carson bought a ruby ring from Dazzling Diamonds as an anniversary present for his wife. Carson signed a purchase money security agreement giving Dazzling Diamonds a security interest in the ring until it was paid for. Dazzling Diamonds did not file a financial statement covering its security interest. Carson filed for bankruptcy. The bankruptcy trustee claim that the ring was part of the bankruptcy estate because Dazzling Diamonds did not perfect its security interest. Dazzling Diamonds claimed that it had a perfected security interest in the ring. Did Dazzling Diamond have to file a financing statement to perfect its security in the ruby ring? Byers purchased a new Ford F-150 automobile. She traded in her old car and financed the balance of $8,575 through the Lovell Credit Union, which took a security interest in the Ford F-150. Several months later, the F-150 was involved in two accidents and sustained major damage. It was taken to ABC Auto for repairs, which took seven months and resulted in charges of $3,100. Byers was unable to pay the charges, and ABC claimed a garageman’s lien. Does Lovell Credit Union’s lien or ABC’s lien have priority and why? Part 2 First, read the following scenario: Suppose a friend of yours is insolvent and asks for your assistance in choosing between filing for a straight bankruptcy under Chapter 7 and filing under Chapter 13. Your friend has multiple debts including a mortgage to Citi Bank, student loan debt, unpaid income taxes, child support payments, a loan from Ally Financial for her car, a $10,000 loan she incurred for a bike that she bought last month, and credit card debt. Based on the scenario above, answer each of the following questions as completely as possible:

Describe to your friend the major differences between the Chapter 7 and Chapter 11 proceedings. (10 points) Explain why Chapter 11 is not applicable in this case. (5 points)

If your friend does file bankruptcy, what property would be exempt?

Which of your friend’s debts would not be dischargeable in bankruptcy and why?

Assume your friend decides to file Chapter 7 bankruptcy, but does not have enough assets to satisfy all of her debts. Which creditors would have priority?

Found something interesting ?

• On-time delivery guarantee
• PhD-level professional writers
• Free Plagiarism Report

• 100% money-back guarantee
• Absolute Privacy & Confidentiality
• High Quality custom-written papers

Related Model Questions

Feel free to peruse our college and university model questions. If any our our assignment tasks interests you, click to place your order. Every paper is written by our professional essay writers from scratch to avoid plagiarism. We guarantee highest quality of work besides delivering your paper on time.

Grab your Discount!

25% Coupon Code: SAVE25
get 25% !!