Bank of America v. Nasruddin Lakhani

[DO NOT PUBLISH]
IN THE UNITED STATES COURT OF APPEALS
FOR THE ELEVENTH CIRCUIT
___________________________
No. 14-12749
Non-Argument Calendar
___________________________
Docket No. 1:14-cv-00461-AT,
Bkcy No. 13-bkc-72472-WLH
In re: NASRUDDIN LAKHANI,
Debtor.
__________________________________________________________________
BANK OF AMERICA, N.A.,
Plaintiff-Appellant,
versus
NASRUDDIN LAKHANI,
Defendant-Appellee.
______________________________
Appeal from the United States District Court
for the Northern District of Georgia
_______________________________
(November 19, 2014)
Case: 14-12749 Date Filed: 11/19/2014 Page: 1 of 2

-- 1 of 2 --

2
Before WILLIAM PRYOR, ANDERSON and EDMONDSON, Circuit Judges.
PER CURIAM:
Bank of America, N.A. appeals the district court’s summary affirmance of
the bankruptcy court’s order voiding a wholly unsecured second priority lien on
residential property owned by a Chapter 7 debtor.
The bankruptcy court granted Debtor’s request to “strip off” the unsecured
junior lien, based on this Court’s binding precedent in McNeal v. GMAC Mortg.,
LLC (In re McNeal), 735 F.3d 1263 (11th Cir. 2012) (citing Folendore v. United
States Small Bus. Admin. (In re Folendore), 862 F.2d 1537 (11th Cir. 1989)). In
McNeal, we concluded that a Chapter 7 debtor is allowed to “strip off” a second
priority lien on his home, pursuant to 11 U.S.C. § 506(a) and (d), when the first
priority lien exceeds the value of the property.
Bank of America acknowledges that this panel is bound by the Court’s
decisions in McNeal and Folendore but reserves the right to seek reconsideration
of the issue by the en banc Court. Cf. United States v. Smith, 122 F.3d 1355, 1359
(11th Cir. 1997) (“Under the prior panel precedent rule, we are bound by earlier
panel holdings . . . unless and until they are overruled en banc or by the Supreme
Court.”).
AFFIRMED.
Case: 14-12749 Date Filed: 11/19/2014 Page: 2 of 2

-- 2 of 2 --