The Ninth Circuit is poised to address a set of important issues at the intersection of Chapter 13 practice and discharge enforcement in Valdellon v. Wells Fargo. The appeal challenges how § 524(i) applies when a mortgage servicer fails to honor the cure-and-maintain structure of a confirmed Chapter 13 plan and asks whether emotional-distress damages remain available as a contempt remedy after Taggart v. Lorenzen. The outcome will directly affect the reliability of Notices of Final Cure, the finality of the discharge order, and the remedies available to protect debtors from unlawful post-discharge collection efforts.
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