Scott and Lynne Charmoli filed a first amended Subchapter V plan that would pay allowed general unsecured claims 100% in cash by the effective date and leave their ownership interests unimpaired. The First Amended Chapter 11 PlanDkt. 585 says all 128 filed proofs of claim have been settled, withdrawn or disallowed, eliminating the former-patient claims overhang that shaped the case. Funding would come from liquidation of nonexempt assets and a $374,900 contribution from Aspen American Insurance Company, subject to separate approval of the Aspen settlement.
The effective date would occur 30 days after confirmation if the Aspen funds have been received, or seven days after their later receipt. Class 1 claimants would be barred from direct actions against Aspen under its policies, and claimants with prepetition civil actions must dismiss them with prejudice within 14 days after effectiveness. The confirmation-procedure orderDkt. 586 requires ballots by September 4, confirmation objections by September 21 and responses by October 5, with the confirmation hearing set for October 28 at 11:00 a.m. The plan therefore converts a long-running disputed-claims case into a defined, near-term pathway to full creditor payment and discharge.
