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IN RE NELSON

BAP No. NC-05-1293-KRYB, Bankruptcy No. 05-10660.

343 B.R. 671 (2006)

In re Candie Jill NELSON, Debtor. Candie Jill Nelson, Appellant, v. Michael H. Meyer, Chapter 13 Trustee, Appellee.

United States Bankruptcy Appellate Panel of the Ninth Circuit.

Filed May 15, 2006.

Attorney(s) appearing for the Case

John W. Findley, Robert J. Lotero, Law Offices of John W. Findley, Walnut Creek, CA, for debtor.

Michael H. Meyer, Santa Rosa, CA, trustee.

Before: KLEIN, RYAN and BRANDT, Bankruptcy Judges.

OPINION

KLEIN, Bankruptcy Judge:

The debtor appeals the order dismissing her chapter 13 case. We conclude, first, that the court did not comply with the two-step requirement of 11 U.S.C. § 1307(c) to determine "cause" and then to weigh the alternatives of conversion or dismissal based on the "best interests of creditors and the estate," and, second, that § 1307(c)(5) "cause" based on denial of confirmation of a plan requires that the court allow...

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