RULE 3007-1 OBJECTIONS TO CLAIMS

(a)    General.  An objection to claim is a contested matter governed by Bankruptcy Rule 9014 and should state with particularity the grounds for the objection.

(b)    Notice, Service and Hearing.  Except as provided in subdivision (c) of this Rule, upon filing any objection to claim, the clerk's office or some other person as the Court may direct must prepare a notice of hearing on the objection and transmit the notice to the following:

 

•  the debtor or the debtor in possession;

•  the claimant;

•  the Trustee;

•  any committee appointed in the case; and

•  any other entity as the Court may direct.

The party filing the objection to claim must serve the objection upon the aforesaid parties and must attach a certificate of service to the objection.  The hearing will be a final evidentiary hearing, and parties must be prepared for trial.

(c)    Negative Notice Allowed for Certain Objections.

 

(1)  A party may use negative notice for an objection to claim based on the following grounds, provided the party's objection and notice substantially comply with the objection to claim and notice forms found on this Court's website at Local Forms:

 

(A)  the claim is a duplicate of another claim;

(B)  the claim was untimely filed, and the claimant is a creditor whose name and address were accurately shown on the debtor's timely filed schedules and matrix;

(C)  the claim is satisfied or excessive as evidenced by a refund of payment from the claimant to the Trustee or debtor or written notice from the claimant to the Trustee or debtor;

(D)  the claim is not entitled to secured status, and, if the ground for the objection to claim is because the claim is not entitled to secured status because the claimant's lien on the debtor's property was avoided by an order previously entered by this Court, the party filing the objection to claim must attach the applicable order;

(E)  the claim is for an unsecured debt or obligation that was incurred prior to the filing of a prior bankruptcy case in which the debtor received a discharge, the party filing the objection to claim must attach copies of the petition filed in the prior case, the schedule listing the debt or obligation, and the discharge order; or

(F)  the claim is not entitled to priority status.   

 

(2)  The party filing the objection to claim must serve the objection and the notice upon the following:

 

•  the debtor or the debtor in possession;

•  the claimant;

•  the Trustee;  

•  any committee appointed in the case; and

•  any other entity as the Court may direct.

 

(3)  The notice must advise the parties of the date by which a response is due, that the Court may set a hearing date on the objection through a subsequent notice, and that the failure to file a response with the Court by the given date may result in the Court sustaining the objection to claim without a hearing. 

(4)  Any responses to the objection to claim must be served upon the following: 

 

•  the debtor or the debtor in possession;  

•  the Trustee;  

•  any other affected creditors;  

•  any committee appointed in the case; and

•  any other entity as the Court may direct. 

 

The responding party must attach a certificate of service to the response. 

(5)  If no response is filed to the objection to claim, the party filing the objection to claim must submit a proposed order no sooner than 30 days after the objection was filed and served and no later than 45 days after such filing and service.  The proposed order must substantially comply with the objection to claim order form found on this Court's website at Local Forms.

(6)  If the objection, notice, or proposed order does not comply with the applicable forms found on this Court's website, or if any information required by these forms is not provided, or if procedures required by this Rule are not strictly followed, the clerk's office will issue a deficiency notice.  If the deficiency or error is not corrected within 2 business days, the objection may be dismissed, denied, or overruled, without prejudice, without further notice or hearing.

(Eff. 7/1/2010)