Sanchez v. Ameriquest Mortgage Co. (In Re Sanchez)
This case involves Chapter 13 debtors Lino and Mary Sanchez (Plaintiffs) and Ameriquest Mortgage Company (Defendant). The central issue is whether a creditor may assess post-petition charges, such as attorney's fees and property inspection fees, without disclosing them to the debtors or seeking court approval, even if allowed by a pre-petition contract. The Court ruled that such charges must be disclosed and approved, and the Defendant's failure to do so rendered them per se unreasonable and a violation of the automatic stay. The Court also found the Defendant's unilateral modification of the Chapter 13 plan and its purchase of tax claims without proper notice to be invalid. The Court grants the Plaintiffs’ Motion for Partial Summary Judgment and denies the Defendant’s Motion for Summary Judgment.