Bank of America, NA v. Phillips (In Re Phillips)

Case: 14-12585 Date Filed: 08/14/2015 Page: 1 of 2 [DO NOT PUBLISH] IN THE UNITED STATES COURT OF APPEALS FOR THE ELEVENTH CIRCUIT ________________________ No. 14-12585 Non-Argument Calendar ________________________ D.C. Docket No. 2:14-cv-00095-RWS; BK-13-23492-REB In Re: JAMES JEROME PHILLIPS, TAMARA JOHNSTON PHILLIPS, Debtors. __________________________________________________ BANK OF AMERICA, NA, Appellant, versus JAMES JEROME PHILLIPS, TAMARA JOHNSTON PHILLIPS, Debtors - Appellees. ________________________ Appeal from the United States District Court for the Northern District of Georgia ________________________ (August 14, 2015) ON REMAND FROM THE UNITED STATES SUPREME COURT Before WILSON, ROSENBAUM, and COX, Circuit Judges. Case: 14-12585 Date Filed: 08/14/2015 Page: 2 of 2 PER CURIAM: Appellees, James and Tamara Phillips, are Chapter 7 debtors. They have two mortgages on their house secured by corresponding liens. The second lien, Bank of America’s, is completely “underwater.” The Phillipses obtained from the bankruptcy court an order “stripping off” Bank of America’s second lien as void under 11 U.S.C. § 506(d). The district court affirmed. Bank of America appealed. Bound by our prior precedent rule, we affirmed. The Supreme Court granted Bank of America’s petition for writ of certiorari, vacated this court’s judgment, and remanded the case for further proceedings in light of Bank of America, N.A. v. Caulkett, 575 U.S. ___, 135 S. Ct. 1995 (2015). Under Caulkett, § 506(d) does not permit the bankruptcy court to strip off the underwater second lien. Following the issuance of Caulkett, Bank of America filed a motion for summary reversal in this court. We deny that motion by separate order. We vacate the judgment of the district court and remand this case to the district court for further proceedings consistent with this opinion and Caulkett. VACATED AND REMANDED. 2