In re Carlan

10 Citing cases

  1. In re Myers

    178 B.R. 518 (Bankr. W.D. Okla. 1995)   Cited 12 times
    Starting point for valuation of personal vehicles in Chapter 13 cases is the average of the wholesale and retail values in the most current N.A.D.A. book, with an opportunity for a hearing to present evidence to justify an increase or decrease from such starting point

    Both wholesale valuation and techniques that average wholesale and retail values, see, e.g., In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993), undercompensate the secured creditor and provide an invalid windfall to the debtor.Rash, 31 F.3d at 331.

  2. In re Marshall

    181 B.R. 599 (Bankr. N.D. Ala. 1995)   Cited 9 times

    1993); In re Green, 151 B.R. 501, 506 (Bankr. D.Minn. 1993); In re Reynolds, 17 B.R. 489, 493 (Bankr.N.D.Ga. 1981).In re Rowland, 166 B.R. 172, 176 (Bankr. N.D.Fla. 1994); In re Carlan, 157 B.R. 324, 326 (Bankr.S.D.Tex. 1993); In re Stauffer, 141 B.R. 612, 614 (Bankr.N.D.Ohio 1992); In re Chapman, 135 B.R. 11, 14 (Bankr.M.D.Pa. 1990); In re Thayer, 98 B.R. 748, 750 (Bankr.W.D.Va. 1989); In re Johnson, 8 B.R. 503, 505 fn. 1 (Bankr.S.D.Tex. 1981); In re McLeod, 5 B.R. 520, 521 (Bankr.N.D.Ga. 1980); In re Miller, 4 B.R. 392, 394 (Bankr.S.D.Cal. 1980).In re Mitchell, 954 F.2d 557, 560 (9th Cir. 1992); In re Malody, 102 B.R. 745, 749 (9th Cir. BAP 1989); In re King, 165 B.R. 296, 300 (Bankr.M.D.Fla. 1994); In re Angel, 147 B.R. 48, 49 (Bankr.D.Idaho 1992); In re Rossow, 147 B.R. 1, 2 (Bankr.W.D.N.Y. 1992); In re Phillips, 142 B.R. 15, 17 (Bankr.D.N.H. 1992); In re Owens, 120 B.R. 487, 490 (Bankr.E.D.Ark. 1990); In re Johnson, 115 B.R. 515, 516 (Bankr.D.S.C. 1988); In re Cook, 38 B.R. 870, 875 (Bankr. D.Utah 1984); In re Klein, 10 B.R. 657, 660 (Bankr.E.D.N.Y. 1981); In re Van Nort, 9 B.R. 218, 221 (Bankr.E.D.Mich.

  3. In re Rowland

    166 B.R. 172 (Bankr. N.D. Fla. 1994)   Cited 9 times
    Starting point is average between retail and wholesale values with adjustments due to special circumstances

    A growing number of cases have held that valuation of collateral at an average between wholesale and retail prices is the best alternative because it is the most consistent with the statutory language and legislative intent. See In re Jones, 5 B.R. 736 (Bankr.E.D.Va. 1980) (valuation is neither amount realized at a distress sale nor on-the-lot, in-the-store retail figure); In re Miller, 4 B.R. 392 (Bankr.S.D.Cal. 1980) (median value between wholesale and retail); In re Thayer, 98 B.R. 748 (Bankr.W.D.Va. 1989) (fair and equitable to value collateral at median value between average retail and average trade-in); In re Stauffer, 141 B.R. 612 (Bankr.N.D.Ohio 1992) (most equitable approach would be to average N.A.D.A. retail and wholesale values); and In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993) (proper value between wholesale and retail). I agree with these courts and hold that the proper and most equitable approach is to value the collateral usually at an average between the wholesale and retail amounts.

  4. Associates Commercial Corp. v. Rash (In re Rash)

    31 F.3d 325 (5th Cir. 1994)   Cited 27 times
    Holding that truck to be retained by Chapter 13 debtor must be valued at replacement cost to debtor because foreclosure value fails to account for debtor's proposed use of collateral

    Both wholesale valuation and techniques that average wholesale and retail values, see, e.g., In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993), undercompensate the secured creditor and provide an invalid windfall to the debtor. Finally, it is argued that profit should be eliminated from calculations of the value of the creditor's lien.

  5. In re Scott

    248 B.R. 786 (Bankr. N.D. Ill. 2000)   Cited 12 times
    Determining present value interest rate is "arguably the most debated economic issue in bankruptcy litigation"

    The difference between retail and wholesale values of used vehicles is substantial. In In re Carlan, 157 B.R. 324, 325 (Bankr.S.D.Tex. 1993), the court considered evidence of an automobile with a wholesale value of $6,050 and a retail value of $7,675, a difference of $1,625, or almost 27% of the wholesale value. And in Metrobank v. Trimble (In re Trimble), 50 F.3d 530, 530 (8th Cir. 1995), the parties stipulated that the wholesale value of the debtor's pickup truck was $4,000, but that the retail value was $6,500, an increase of 38% over wholesale.

  6. In re Chrapliwy

    207 B.R. 469 (Bankr. M.D.N.C. 1996)   Cited 6 times

    See In re Mitchell, 191 B.R. 957 (Bankr.M.D.Ga. 1995); In re Madison, 186 B.R. 182 (Bankr.E.D.Pa. 1995); In re Hoskins, 183 B.R. 166 (Bankr.S.D.Ind. 1995); In re Myers, 178 B.R. 518 (Bankr.W.D.Okla. 1995); In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993). 11.

  7. In re Byington

    197 B.R. 130 (Bankr. D. Kan. 1996)   Cited 6 times

    See In re Myers, 178 B.R. 518, (Bankr.W.D.Okla. 1995) (average of wholesale and retail book values with adjustments based on facts of particular case); In re Rowland, 166 B.R. 172 (Bankr.N.D.Fla. 1994) (starting point is average between retail and wholesale values with adjustments due to special circumstances); In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993) (somewhere between wholesale and retail value); In re Stauffer, 141 B.R. 612 (Bankr.N.D.Ohio 1992) (average NADA wholesale and NADA retail values; party can request a hearing if factors necessitate higher or lower valuation); General Motors Acceptance Corp. v. Chapman (In re Chapman), 135 B.R. 11 (Bankr.M.D.Pa. 1990) (average between wholesale and retail value found in official used car guide); Dominion Bank v. Thayer (In re Thayer), 98 B.R. 748 (Bankr.W.D.Va. 1989) (average between NADA adjusted retail and trade-in values; must show that vehicle so deteriorated or so mint that formula should not apply). The bases for the different interpretations of ยง 506(a) stem from emphasizing either the first or second sentence of the statute. Courts favoring the wholesale method focus on the provision that an allowed claim "is a secured claim to the extent of the value of such creditor's interest."

  8. Matter of Maddox

    194 B.R. 762 (Bankr. D.N.J. 1996)   Cited 5 times
    Surveying the caselaw

    Id. See, e.g., General Motors Acceptance Corp. v. Valenti, 191 B.R. 521 (N.D.N.Y. 1995) (use of the average of the wholesale and retail values is dictated by local rule); In re Mitchell, 191 B.R. 957 (Bankr.M.D.Ga. 1995) (begins with average of wholesale and retail which gives court the flexibility to give meaning to both sentences in 506(a)); In re Madison, 186 B.R. 182 (Bankr.E.D.Pa. 1995) (cases advocating retail valuation overemphasize the second sentence of 506(a)); In re Hoskins, 183 B.R. 166 (Bankr.S.D.Ind. 1995) (average value was appropriate under particular facts of the case); In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993) (the starting point is the average between the book wholesale and retail values); In re Thayer, 98 B.R. 748 (Bankr.W.D.Va. 1989). II

  9. In re Madison

    186 B.R. 182 (Bankr. E.D. Pa. 1995)   Cited 7 times
    Valuing collateral to be retained and used by debtor at average of wholesale and retail value

    , In re Myers, 178 B.R. 518 (Bankr.W.D.Okla. 1995); In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993); In re Stauffer, 141 B.R. 612 (Bankr.N.D.Ohio 1992); In re Chapman, 135 B.R. 11 (Bankr.M.D.Pa. 1990); In re Thayer, 98 B.R. 748 (Bankr.W.D.Va. 1989). A party may request an evidentiary hearing if it believes certain factors necessitate a higher or lower value.

  10. In re Hoskins, (Bankr.S.D.Ind. 1995)

    183 B.R. 166 (Bankr. S.D. Ind. 1995)   Cited 8 times
    Noting that the Section 506 rights of a creditor subject to Chapter 13 cram down "cannot be ascertained without reference to Section 1325"

    In re Myers, 178 B.R. 518 (Bankr.W.D.Okla. 1995); In re Carlan, 157 B.R. 324 (Bankr.S.D.Tex. 1993); In re Stauffer, 141 B.R. 612 (Bankr.N.D.Ohio 1992); In re Thayer, 98 B.R. 748 (Bankr.W.D.Va. 1989). The "purpose of the valuation" in this case is to value the collateral in order to confirm a Chapter 13 plan. If that phrase is given meaning then a court must make distinctions dependant upon, in part, the reason for the valuation.