IN RE LAGUNA

No. 90-15715.

944 F.2d 542 (1991)

In re Emilio J. LAGUNA, Jr.; Cynthia Laguna, Debtors. SHEARSON LEHMAN MORTGAGE CORPORATION, Appellant, v. Emilio J. LAGUNA, Jr.; Cynthia Laguna; Lawrence J. Loheit, Trustee, Appellees.

United States Court of Appeals, Ninth Circuit.

Decided September 11, 1991.


Attorney(s) appearing for the Case

Thomas J. Holthus, Shapiro & Miles, Santa Ana, Cal., for appellant.

Dan Vaughan and W. Scott de Bie, Law Offices of Max Cline, Sacramento, Cal., for appellees.

Before BROWNING, FARRIS and LEAVY, Circuit Judges.


LEAVY, Circuit Judge:

This case presents a question of first impression in this Circuit involving the distinction between cure and modification in the context of bankruptcy law. For the reasons set forth below, we affirm the bankruptcy court's ruling in favor of the debtors.

FACTS AND PRIOR PROCEEDINGS

Emilio and Cynthia Laguna ("debtors") own a single-family dwelling which is both their principal residence and the sole security for their obligation...

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