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In re Farinacci

In re Farinacci

Ruling
Preference period setoff that did not improve creditor's position could not be avoided.
Procedural posture

Plaintiff chapter 7 trustee claimed that defendants improperly setoff a debt owed to them by the debtor within the 90-day preference period and also asserted that the setoff was avoidable pursuant to 11 U.S.C.S. § 553. The trustee and defendants filed cross-motions for summary judgment.

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Consumer opinion summary, case decided on December 06, 2012 , LexisNexis #0113-056