00621010.DOCX 2

UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF FLORIDA

FORT LAUDERDALE DIVISION

In re: Case No. 20-13949-BKC-PDR

IRIS ISABEL MORRELL

SS# XXX-XX-8679

Debtor

/

TRUSTEE, SCOTT N. BROWN’S MOTION TO APPROVE STIPULATION 

FOR COMPROMISE AND SETTLEMENT BETWEEN TRUSTEE AND 

DEBTOR REGARDING HOMESTEAD OBJECTION

Any interested party who fails to file and serve a written response to 

this Motion within 21 days after the date of service stated in this 

Motion shall, pursuant to Local Rule 9013-1(D), be deemed to have 

consented to the entry of an order in the form attached to this Motion. 

Any scheduled hearing may then be canceled.

Scott N. Brown, as Chapter 7 trustee of the bankruptcy estate of Iris Isabel Morrell (the 

“Trustee”), through counsel and pursuant to Federal Rule of Bankruptcy Procedure 9019 and 

Local Rule 9013-1(D), files this Motion to Approve Stipulation For Compromise and Settlement

Between Trustee and Debtor Regarding Homestead Objection (the “Motion”), and in support 

thereof states as follows:

I. Background

1. This case commenced with the filing of a voluntary Chapter 7 bankruptcy petition 

by the Debtor, Iris Isabel Morrell (the “Debtor”) on March 25, 2020 (the “Petition Date”). 

Shortly thereafter, Scott N. Brown was appointed as Chapter 7 trustee of the Debtor’s bankruptcy 

estate (the “Estate” or the “Bankruptcy Estate”).

2. The 341 Meeting was held and concluded on April 29, 2020.

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The Claimed Homestead Property, the Post-Petition Rental Income

3. Line 1.1 of the Debtor’s Schedule “A/B” lists her interest in the real property 

located at 6041 N.E. 5th Avenue, Fort Lauderdale, FL 33334 (the “Claimed Homestead 

Property”) with a scheduled value of $281,551.00.

4. The Claimed Homestead Property is claimed as exempt on Schedule “C” pursuant 

to Florida’s Constitutional Homestead Exemption as well as Fla. Stat. 222.01 & 222.02. 

5. Schedule “D” reflects a $96,365.00 mortgage loan in favor of Chase Mortgage 

secured by the Claimed Homestead Property.

6. Schedule “I” reflects that the Debtor derives $1,000.00 per month in rental 

income, which the Debtor testified was from the rental of a portion of the Claimed Homestead 

Property to a non-family member. The Debtor testified that she has been renting a portion of the 

Claimed Homestead Property for approximately ten (10) years.

The Trustee’s Objection and Motion to Compel Turnover of Post-Petition Rental Income 

7. Based on the foregoing, on June 29, 2020, the Trustee filed his (I) Objection to 

Debtor’s Claimed Homestead Exemption and (II) Motion to Compel Turnover of Post-Petition 

Rental Income (ECF No. 20) (collectively, the “Objection”).

8. On July 28, 2020, the Debtor filed her Response to Trustee, Scott Brown’s (I) 

Objection to Debtor’s Claimed Homestead Exemption and (II) Motion to Compel Turnover of 

Post-Petition Rental Income (ECF No. 29) (the “Debtor Response”), and on July 29, 2020, the 

Debtor filed her Motion to Convert Case From Chapter 7 to a Case Under Chapter 13 Under 11 

U.S.C. 706(a)(ECF No. 30)(the “Motion to Convert”).

9. On July 30, 2020, the Court conducted a preliminary hearing on the Objection, 

and, at the request of Debtor’s counsel, deferred ruling and continued the hearing to August 27, 

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2020 at 9:30 a.m. (see ECF No. 31) to give the parties an opportunity to explore settlement 

opportunities. 

10. Thereafter, the parties re-engaged in settlement discussions, reached a settlement 

in principle, and agreed to memorialize same..

II. The Settlement1

11. In light of, among other things, the expense and uncertainty of further litigation , 

the Trustee and the Debtor reached a settlement of the dispute regarding the Objection and the 

Motion to Convert, on the terms and conditions set forth in Stipulation for Compromise and 

Settlement Between Trustee and Debtor Regarding Homestead Objection (the “Stipulation”), a 

true and correct copy of which is attached hereto as Exhibit “A” and incorporated by reference.

12. Pursuant to the terms of the Stipulation, the Debtor has agreed to pay to the 

Trustee, and the Trustee has agreed to accept, the sum of $8,000.00 in cleared funds (the 

“Settlement Amount”) in full and final settlement of the Trustee’s objection to the Debtor’s 

claimed homestead exemption. The Settlement Amount shall be paid no later than September 10, 

2020, by cashier’s check, money order or attorney trust account check payable to “Scott N. 

Brown, Trustee” and delivered to the Trustee as follows: c/o Bast Amron LLP, One Southeast 

Third Avenue – Suite #1400, Miami, Florida 33131. 

13. In addition, and subject to this Court’s approval, the Settlement Parties agree that 

hearings on both the Objection and the Motion to Convert shall be continued pending entry of 

the Approval Order, and that upon entry of the Approval Order: (a) the Trustee shall upload an 

 1

 The following is a summary of the key terms of the Settlement. The terms of the Stipulation control and 

all parties are urged to review same. All capitalized terms not otherwise defined in this Motion shall have 

the meanings ascribed to them in the Stipulation.

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agreed order denying the Objection as moot pursuant to settlement; and (b) the Debtor shall 

withdraw the Motion to Convert

14. The Stipulation also contains, among other things: (a) representations and 

warranties; (b) venue and jurisdiction provisions; and (c) default provisions. 

III. Legal Standard for Settlement

15. Before addressing the substantive issues, it is important to note that the Settlement 

arose from extensive settlement discussions and negotiations between the Settlement Parties. The 

Settlement was negotiated at arm’s-length and approval is in accord with the strong public policy 

which favors settlement in all types of litigation. In re Grau, 267 B.R. 896, 899 (Bankr. S.D. 

Fla. 2001).

16. Bankruptcy Rule 9019(a) provides: “On motion . . . and after a hearing on notice 

to creditors, the debtor . . . and to such other entities as the court may designate, the court may 

approve a compromise or settlement.”

17. As this Court has previously found, “approval of a settlement in a bankruptcy 

proceeding is within the sound discretion of the Court, and will not be disturbed or modified on 

appeal unless approval or disapproval is an abuse of discretion.” In re Arrow Air, Inc., 85 B.R. 

886, 891 (Bankr. S.D. Fla. 1988) (Cristol, J.) (citing Rivercity v. Herpel (In re Jackson Brewing 

Co.), 624 F.2d 599, 602-03 (5th Cir. 1980); Anaconda-Ericsson, Inc. v. Hessen (In re Teltronics 

Servs., Inc.), 762 F.2d 185, 189 (2d Cir. 1985); In re Prudence Co., 98 F.2d 559 (2d Cir. 1938), 

cert. denied sub nom. Stein v. McGrath, 306 U.S. 636 (1939)).

18. The test is whether the proposed settlement “falls below the ‘lowest point in the 

range of reasonableness.’” Arrow Air, 85 Bankr. 891 (quoting Teltronics Servs., 762 F.2d 189; 

Cosoff v. Rodman (In re W.T. Grant Co.), 699 F.2d 599, 608 (2d Cir.), cert. denied, 464 U.S. 822 

(1983)).

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19. According to the United States Eleventh Circuit Court of Appeals, when a 

bankruptcy court decides whether to approve or disapprove a proposed settlement, it must 

consider:

(a) the probability of success in the litigation;

(b) the difficulties, if any, to be encountered in the matter of collection;

(c) the complexity of the litigation involved, and the expense, inconvenience 

and delay necessarily attending it; and

(d) the paramount interest of the creditors and a proper deference to their 

reasonable views in the premises.

Wallis v. Justice Oaks II, Ltd. (In re Justice Oaks II. Ltd.), 898 F.2d 1544 (11th Cir. 1990). See 

Jackson Brewing, 624 F.2d 602, quoted in Arrow Air, 85 B.R. 891.

20. Because the Proposed Settlement, among other things: (a) resolves the Objection

and the Motion to Convert by lump-sum payment; (b) is equitable based on the totality of the 

circumstances; (c) avoids the expense and uncertainty of further litigation; and (d) permits the 

Trustee to conclude his administration of this Estate in short order, the Trustee believes that the 

Settlement meets the standards set forth in In re Justice Oaks II, and therefore, recommends 

approval of the settlement as fair and reasonable, and within the reasonable range of possible 

litigation outcomes.

21. Pursuant to Local Rule 9013-1(D), a copy of the proposed Order is attached 

hereto as Exhibit “B.”

WHEREFORE, Scott N. Brown, as Chapter 7 trustee of the Bankruptcy Estate of Iris 

Isabel Morrell, respectfully requests this Honorable Court enter an Order: (1) granting the instant 

Motion; (2) finding that the Settlement meets the factors set forth in In re Justice Oaks II, Ltd. 

and falls above the lowest point in the range of reasonableness; (3) approving the Settlement and 

the Stipulation in its entirety; and (4) granting such other and further relief as this Court deems 

just and proper.

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Respectfully submitted,

BAST AMRON LLP

Counsel for the Trustee, Scott N. Brown

SunTrust International Center

One Southeast Third Avenue, Suite 1400

Miami, Florida 33131

Telephone: 305.379.7904

Email: sbrown@bastamron.com

By: /s/ Scott N. Brown

Scott N. Brown (FBN 663077)

 

CERTIFICATE OF SERVICE

I HEREBY CERTIFY that a true and correct copy of the foregoing has been served this 

19th day of August, 2020.

/s/ Scott N. Brown

Scott N. Brown (FBN 663077)

VIA CM/ECF

• Taji S Foreman tforeman@kahaneandassociates.com, 

bkecf@kahaneandassociates.com;mgranger@kahaneandassociates.com;5456272420@fil

ings.docketbird.com

• Conwade D. Lewis vwlewis@aol.com

• Office of the US Trustee USTPRegion21.MM.ECF@usdoj.gov

VIA U.S. MAIL

[See attached mailing matrix]

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Exhibit “A” 

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Exhibit “B” 

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00621009.DOCX 

UNITED STATES BANKRUPTCY COURT

SOUTHERN DISTRICT OF FLORIDA

FORT LAUDERDALE DIVISION

In re: Case No. 20-13949-BKC-PDR

IRIS ISABEL MORRELL

SS# XXX-XX-8679

Debtor

/

ORDER GRANTING TRUSTEE, SCOTT N. BROWN’S MOTION TO 

APPROVE STIPULATION FOR COMPROMISE AND SETTLEMENT BETWEEN 

TRUSTEE AND DEBTOR REGARDING HOMESTEAD OBJECTION

THIS CAUSE having come before the Court upon Trustee, Scott N. Brown’s Motion to 

Approve Stipulation for Compromise and Settlement Between Trustee and Debtor Regarding 

Homestead Objection (ECF No. __)(the “Motion”),1 and the Court, having been advised by 

movant through the submission of the instant order that: (i) the Motion was served on all parties 

required by Local Rule 9013-1(D); (ii) the 21-day response time provided by that rule has 

expired; (iii) no one has filed, or served on the movant, a response to the Motion; and (iv) the 

form of order was attached as an exhibit to the Motion; having reviewed the Motion, the 

 1 All capitalized terms not otherwise defined in this Order shall have the meanings ascribed to them in the Motion.

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Stipulation attached as Exhibit “A” to the Motion (the “Stipulation”), and the Court file, having 

noted that no objections were filed, finding that the settlement subject of the Motion meets the 

criteria set forth in In re Justice Oaks II. Ltd., 898 F.2d 1544 (11th Cir. 1990) and thus, is in the 

best interests of this Estate, and finding that the notice of the proposed compromise and 

settlement is sufficient to comply with Bankruptcy Rules 9019 and 2002(a)(3), Local Rule 9013-

1(D) and any other applicable notice requirement, it is

ORDERED as follows:

1. The Motion is granted.

2. The compromise and settlement is approved on the terms and conditions set forth 

in the Stipulation attached as Exhibit “A” to the Motion, which terms and conditions are 

incorporated herein by reference.

3. Without limiting the generality of the foregoing, the Trustee is authorized to: (a) 

take such actions; and (b) execute such documents, as he deems reasonable, necessary and/or 

desirable to effectuate the Settlement. 

4. This Court shall retain sole and exclusive personal and subject matter jurisdiction 

to implement, interpret and enforce the terms and conditions of the settlement and adjudicate any 

and all disputes arising from, or related to, the settlement.

###

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Submitted by: 

Scott N. Brown, Esquire

BAST AMRON LLP

Counsel for Trustee, Scott N. Brown

One Southeast Third Avenue, Suite 1400

Miami, Florida 33131

Telephone: 305.379.7904

Email: sbrown@bastamron.com

Copy furnished to:

Scott N. Brown, Esquire

Attorney Brown is hereby directed to serve a copy of this Order immediately upon receipt on all interested parties 

and file a Certificate of Service.

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 Label Matrix for local noticing JPMorgan Chase Bank, National Association Bank of America 

 113C-0 Kahane & Associates, P.A. 4909 Savarese Circle 

 Case 20-13949-PDR c/o Taji Foreman, Esq. Fl1-908-01-50 

 Southern District of Florida 8201 Peters Rd # 3000 Tampa, FL 33634-2413 

 Fort Lauderdale Plantation, FL 33324-3292 

 Wed Aug 19 15:53:27 EDT 2020 

 Capital One Chase Mortgage Comenity Bank/Dots 

 Attn: Bankruptcy Chase Records Center/Attn: Correspondenc Attn: Bankruptcy 

 Po Box 30285 Mail Code LA4 5555 700 Kansas Ln Po Box 182125 

 Salt Lake City, UT 84130-0285 Monroe, LA 71203 Columbus, OH 43218-2125 

 

 Midland Funding Midland Funding LLC Navient 

 Attn: Bankruptcy PO Box 290335 Attn: Bankruptcy 

 350 Camino De La Reine Ste 100 Tampa, FL 33687-0335 Po Box 9640 

 San Diego, CA 92108-3007 Wilkes-Barre, PA 18773-9640 

 Navy FCU Navy Federal Credit Union Navy Federal Credit Union 

 Attn: Bankruptcy Dept Attn: Bankruptcy Attn: Bankruptcy Dept 

 Po Box 3000 Po Box 3000 Po Box 3000 

 Merrifield, VA 22119-3000 Merrifield, VA 22119-3000 Merrifield, VA 22119-3000 

 Navy Federal Cu Office of the US Trustee One Advantage LLC 

 Attn: Bankruptcy 51 S.W. 1st Ave. PO Box 025437 

 Po Box 3000 Suite 1204 Miami, FL 33102-5437 

 Merrifield, VA 22119-3000 Miami, FL 33130-1614 

 (p)PORTFOLIO RECOVERY ASSOCIATES LLC Portfolio Recovery Associates LLC Synchrony Bank/ JC Penneys 

 PO BOX 41067 c/o Pollack & Rosen PA Attn: Bankruptcy 

 NORFOLK VA 23541-1067 806 Douglas Rd #200 Po B 965064 

 Coral Gables, FL 33134-2082 Orkando, FL 32896-5064 

 TD Bank USA NA Target Conwade D. Lewis Esq. 

 c/o RAS LaVrar LLC c/o Financial & Retail Srvs 3500 N State Rd 7 Ste#440 

 1133 S University Dr 2nd FL Mailstop BT POB 9475 Lauderdale Lakes, FL 33319-5627 

 Plantation, FL 33324-3303 Minneapolis, MN 55440-9475 

 Iris Isabel Morrell Scott N Brown 

 6041 NE 5 Ave 1 SE 3 Ave #1400 

 Ft Lauderdale, FL 33334-1942 Miami, FL 33131-1708 

 The preferred mailing address (p) above has been substituted for the following entity/entities as so specified 

 by said entity/entities in a Notice of Address filed pursuant to 11 U.S.C. 342(f) and Fed.R.Bank.P. 2002 (g)(4). 

 Portfolio Recovery End of Label Matrix 

 Attn: Bankruptcy Mailable recipients 22 

 120 Corporate Blvd Bypassed recipients 0 

 Norfold, VA 23502 Total 22 

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