Kansas

In re Schmidt

Debtors filed for bankruptcy relief under chapter 13. The creditors filed two motions to dismiss the petition and a motion to show cause why the bankruptcy proceeding should not be dismissed. The creditors contended that the debtors were not eligible for chapter 13 relief, pursuant to 11 U.S.C. § 109(e), and that the debtors did not file in good faith.
Ruling: 
Debtors'chapter 13 case was dismissed since they failed to show they had sufficient income to fund a plan and because their noncontingent, liquidated, unsecured debts exceeded the statutory limit.
ABI Membership is required to access the full summary of In re Schmidt. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Hamilton v. Wash. Mutual Bank FA. (In re Colon)

Plaintiff trustee in bankruptcy brought an adversary proceeding seeking to use the strong arm powers under 11 U.S.C. § 544 to avoid defendant mortgagee's lien against debtors'homestead for the benefit of the bankruptcy estate. Primarily the trustee argued that the mortgage, which described the property as "Lot 29" instead of "Lot 79," would not give a bona fide purchaser constructive notice. The mortgagee moved for summary judgment.
Ruling: 
Trustee could avoid the mortgage with erroneous description as a bona fide purchaser or as a hypothetical lien creditor since the mortgage did not impart constructive notice on the trustee.
ABI Membership is required to access the full summary of Hamilton v. Wash. Mutual Bank FA. (In re Colon). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Mills v. United States IRS (In re Mills)

Plaintiff debtor initiated an adversary proceeding seeking a determination that the debtor's federal income tax obligations were dischargeable in the debtor's chapter 7 bankruptcy. Defendant United States, acting through the Internal Revenue Service (IRS), asserted that debtor willfully attempted to evade the taxes for those years, making them nondischargeable pursuant to 11 U.S.C. § 523(a)(1)(C). The IRS moved for summary judgment on the discharge issue.
Ruling: 
Evidence was not sufficient to obtain summary judgment on the issue of debtor's willfulness to avoid tax liability.
ABI Membership is required to access the full summary of Mills v. United States IRS (In re Mills). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Brown v. Leslie Kitchenmaster & Kot Inc. (In re Hertzler Halstead Hosp.)

Plaintiff trustee sued defendant, an individual and a corporation, under 11 U.S.C. §§ 547 and 548 to avoid and recover alleged preferential and fraudulent transfers made to them by the debtor prior to the date of debtor's bankruptcy petition.
Ruling: 
Transfers to creditors were fraudulent and thus recoverable since they were made with actual intent to hinder and delay the debtor's other creditors.
ABI Membership is required to access the full summary of Brown v. Leslie Kitchenmaster & Kot Inc. (In re Hertzler Halstead Hosp.). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Brown v. Leslie Kitchenmaster & Kot Inc. (In re Hertzler Halstead Hosp.)

Plaintiff trustee sued defendant, an individual and a corporation, under 11 U.S.C. §§ 547 and 548 to avoid and recover alleged preferential and fraudulent transfers made to them by the debtor prior to the date of debtor's bankruptcy petition.
Ruling: 
Creditor could not avoid recovery of preferential transfers since the payments were not intended to be contemporaneous exchanges for new value but rather satisfied an antecedent debt.
ABI Membership is required to access the full summary of Brown v. Leslie Kitchenmaster & Kot Inc. (In re Hertzler Halstead Hosp.). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Davis v. Charlies Care Inc. (In re Cruth)

Plaintiff trustee filed an adversary proceeding against defendant creditor, which sought to avoid a lien on a car as a preferential transfer under 11 U.S.C. § 547(b).
Ruling: 
Trustee was able to avoid creditor's lien on debtor's car as a preferential transfer since the creditor delayed in perfecting the security interest until during the 90-day prefiling lookback period.
ABI Membership is required to access the full summary of Davis v. Charlies Care Inc. (In re Cruth). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Morris v. Boeing Wichita Credit Union (In re Hicks)

Plaintiff, a chapter 7 trustee, brought an adversary proceeding against defendants, the debtors and their creditor, to avoid a lien pursuant to 11 U.S.C. § 544(a)(2). The creditor filed a third party complaint against third-party defendant, the State of Kansas Department of Revenue ("KDOR"), in the event that the trustee prevailed on his claim. The matter was before the court on a stipulation of facts and briefs of the parties.
Ruling: 
Trustee was granted motion to avoid creditor's lien since the certificate of title did not reflect the lien.
ABI Membership is required to access the full summary of Morris v. Boeing Wichita Credit Union (In re Hicks). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Pages

Subscribe to Kansas