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Foster v. Onyx Inv. L.L.C. (In re Foster)

Foster v. Onyx Inv. L.L.C. (In re Foster)

Ruling
Court ruled that the debtors could avoid the creditor's lien, assigned to the creditor by a predecessor in interest, since the debtors confirmed plan stripped away the lien and discharged the underlying debt.
Procedural posture

Plaintiff discharged bankruptcy debtors reopened their bankruptcy case and brought an adversary proceeding against defendant creditor, an assignee of a predecessor in interest, seeking to enjoin the creditor from attempting to enforce its lien against their real property on the ground that the lien was stripped and the underlying debt was discharged. The debtors and the creditor cross- moved for summary judgment.

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opinion summary, case decided on March 15, 2006 , LexisNexis #0406-068