In re Tosi, 546 B.R. 487

Debtor James W. Tosi filed Chapter 13; he and his non‑debtor wife co‑own real property in Melrose, MA that secures a mortgage now held/serviced by Green Tree Servicing LLC.
Debtor’s amended plan proposed a 90‑day period after confirmation to attempt sale of the marital home; if no sale closed in 90 days, Debtor’s interest would be "surrendered" and would "immediately vest" in the mortgagee without further court order.
Green Tree objected to confirmation: (1) the 90‑day retention is prejudicial and makes the plan infeasible, and (2) the plan cannot force vesting of title in the mortgagee over the mortgagee’s objection because vesting alters the creditor’s rights and is not equivalent to surrender.
Court granted Green Tree relief from stay on Green Tree’s separate motion (without Debtor objection), but retained the confirmation objection for decision.
Court considered statutory interplay of § 1325(a)(5) (acceptance/cramdown/surrender) and § 1322(b)(9) (vesting), and related case law about the meaning of "surrender" and "vest."

Issue	Tosi's Argument	Green Tree's Argument	Held
Whether the Plan’s 90‑day retention/sale period constitutes permissible "surrender" under § 1325(a)(5)(C)	The plan effects surrender if sale fails; Debtor may retain property short term to attempt sale and then surrender his interest	Retention impairs creditor’s state‑law rights during the retention period and is not an immediate surrender, making the plan infeasible and prejudicial	Court: 90‑day retention is inconsistent with § 1325(a)(5)(C); plan does not effect immediate/sole surrender and cannot be confirmed without creditor consent
Whether a plan may force vesting of estate property in a secured creditor over that creditor’s objection (interaction of § 1322(b)(9) and § 1325(a)(5))	§ 1322(b)(9) (and related provisions) permit vesting on confirmation or later; vesting can be used to transfer title via plan	Forced vesting changes the creditor’s ownership form and substantive rights (e.g., foreclosure remedies, junior lien discharge, tax/maintenance liabilities); vesting is distinct from surrender and cannot satisfy § 1325(a)(5) absent creditor assent	Court: Vesting is a transfer of title that alters creditor rights and is not synonymous with surrender; § 1322(b)(9) does not override § 1325(a)(5). Forced vesting without creditor consent is not a permissible means to satisfy § 1325(a)(5)

In re Pratt, 462 F.3d 14 (1st Cir.) (construing "surrender" to mean making collateral available so creditor can exercise state‑law rights)
In re Canning, 706 F.3d 64 (1st Cir.) (same understanding of "surrender" in bankruptcy context)