Converting bankruptcy case from chapter 13 to chapter 7

Debtor’s filed a Ch. 13 bankruptcy case back in December. For a variety of reasons the plan has not yet been confirmed. At the time of filing debtors income precluded a Ch.7. Based on the original Means Test the Trustee is pushing for 100% plan and an Objection to confirmation will be filed in the next week or so. There is a large real estate def. on a former investment property, and a priority claim which is being challenged through administrative processes. Since January one spouse lost her job and is getting UC at about 50% of her former income. Other Spouse has had a number of short layoffs and no OT since January, resulting in his gross being about 2/3 of what it was on the original Means Test. If we dismiss and wait until July to refile, there is no question that we can do a 7. A 7 will wipe out the RE def. and we can then deal with the priority debt if and when the appeal is resolved, one way or another. There are no motions for relief pending at this time. The means test is forward looking. While it may raise a presumption of abuse in a Chapter 7 you can rebut that presumption. If your people’s current situation won’t support a 13, then convert them. You may have to battle with the UST over it but if their current situation is appropriate for a chapter 7 then just convert them. We shouldn’t have to jump through all sorts of hoops, dismiss, refile, pay a new filing fee, etc. If they cannot support a 13, then just convert to a Dallas bankruptcy chapter 7 filing.