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Appellant Cash America was then free to make its notation pursuant to the regulations of the Texas Administrative Code

Appellant Cash America was then free to make its notation pursuant to the regulations of the Texas Administrative Code

The parties have not supplied the Court with any Fifth Circuit authority as to whether the specific provisions of § 108(b) prevail over the general stay provision of § 362(a) and the Court could find none. We adopt the majority position that § 362 of the Bankruptcy Code, the automatic stay provision, does not toll the running of the redemption period. Thus, when, as here, the bankruptcy is filed before the expiration of the applicable state redemption period, § 108(b) extends the redemption period for 60 days from the commencement of the bankruptcy proceedings. A further extension of the redemption period would constitute an impermissible creation of a property right. It is well settled that absent Congressional action to the contrary ,

“[P]roperty rights are created and defined by state law. Unless some federal interest requires a different result, there is no reason why such interests should be analyzed differently simply because an interested party is involved in a bankruptcy proceeding. Uniform treatment of property interests by both State and federal courts within a state serve to reduce uncertainty, to discourage forum shopping, and to prevent a party from receiving `a windfall merely by reason of the happenstance of bankruptcy.'” [citations omitted.]

This letter was received on or about erica was not subject to the terms of the automatic stay and gave Debtors until erica to redeem the pawn tickets

Thus upon the filing of the bankruptcy petition, Debtors, or the trustee, had 60 days to redeem the property. Having failed to exercise this right of redemption, full title would vest in Cash America Pawn once it made the applicable notation on its fourth record or electronically recorded the final forfeiture according to the regulations of the Texas Administrative Code. However when the Debtors failed to exercise the right of redemption within the 60 days extension provided by § 108(b), they no longer had any legal or equitable interest in the collateral and it ceased to be part of the bankruptcy online installment loans VA estate. Appellants, at that point were not subject to the automatic stay provisions of 11 U.S.C. § 362(a) of the Bankruptcy Code as concerns the collateral.

Debtors’ argument is based upon the receipt by Debtor’s attorney of a letter from Cash America International, Inc. regarding Debtors’ pawned property. Debtors’ counsel responded by filing an adversary and seeking injunctive relief. Debtors argue that this letter was a willful violation of the automatic stay provisions of the Bankruptcy Code. 11 U.S.C. § 362(h).

This factual finding as to the intent of Cash America in sending this letter should not be set aside unless clearly erroneous

The bankruptcy court found that the evidence did not support a finding that Cash America’s letter to Debtors was an act which intentionally violated the automatic stay. In re Bloom, 875 F.2d 224 (9th Cir.1989). The bankruptcy court discussed the letter which cited prior Cash America published cases and stated that Cash America would take the position that the property was forfeited after a certain date. Citing United States v. Nelson, 969 F.2d 626 (8th Cir.1992), it was held that it was not a violation because Debtors’ counsel “presumably would be in a position to know or learn of his clients’ rights under the bankruptcy law and would not be intimidated by a letter such as this. . . . It is not a violation of the automatic stay for a creditor to advise debtor’s counsel that he will take any action that he may legally take under the Bankruptcy Code.” Nelson, 969 F.2d at 630. FED. R.BANKR.P. 8013. The Court finds that the bankruptcy court’s ruling on this matter was not clearly erroneous.

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