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Stalford v. Lion Fin. LLC (In re Lancaster Mortg. Bankers LLC)

Stalford v. Lion Fin. LLC (In re Lancaster Mortg. Bankers LLC)

Ruling
Mortgages purchsed by broker within 90 days of petition date for resale to investors were not recoverable by trustee.
Procedural posture

Chapter 7 trustee filed an adversary proceeding against defendants, a mortgage broker and an LLC that serviced mortgages, asserting an ownership interest under 11 U.S.C.S. § 544 in certain mortgage loans transferred by a chapter 7 debtor. The mortgage broker filed a motion for summary judgment, and the trustee filed a cross-motion for summary judgment.

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Commercial opinion summary, case decided on June 04, 2008 , LexisNexis #0708-080