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IN RE FENNELLY

Bankruptcy No. 96-33868.

203 B.R. 562 (1996)

In re Laurence Anthony FENNELLY and Sheelagh Mary Fennelly, Debtors.

United States Bankruptcy Court, D. New Jersey.

December 20, 1996.

Attorney(s) appearing for the Case

Gail Chester, Middlesex County Legal Services, Perth Amboy, NJ, for Debtors.

Marc Alan Krefetz, Deputy Attorney General, Trenton, NJ, for the State of New Jersey, Division of Motor Vehicles.

MEMORANDUM OPINION

STEPHEN A. STRIPP, Bankruptcy Judge.

This is the court's decision on an objection by the State of New Jersey, Division of Motor Vehicles (hereinafter "DMV") to confirmation of the chapter 13 plan of Laurence and Sheelagh Fennelly (hereinafter "debtors"). The DMV argues that a debt arising from surcharges which it imposed is a statutory lien which cannot be avoided by the debtors' plan. The debtors argue that the lien of the DMV...

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