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Financial Law Assignment

Author:
February 24th, 2020

Extra credit worth 12 points 3)

Suppose that Debbie borrows $600,000 from David in return for a mortgage on her house. If she does not repay the debt, he can foreclose. Unfortunately, property values plummet, and by the time Debbie files voluntary petition in bankruptcy, the house is worth only $400,000. What type of creditor is David secured and/or unsecured and does he need to file a proof of claim? If yes, why? (12 points)

Decision:

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