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10th circuit

In re Feldmeier

Ruling
Bank's law firm was found to be in contempt for violating a discharge injuction.
Procedural posture

Movant debtors filed a motion to show cause why respondent bank and its law firm should not be held in contempt of court based on their alleged violation of the discharge injunction provided by 11 U.S.C. § 524.

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opinion summary, case decided on November 17, 2005 , LexisNexis #0306-055

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

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.
Procedural posture

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.

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opinion summary, case decided on November 15, 2005 , LexisNexis #0106-023

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

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.
Procedural posture

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.

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opinion summary, case decided on November 15, 2005 , LexisNexis #0106-019

Gillman v. Green (In re Green)

Ruling
Court denied revocation of discharge since the trustee did not show that the debtor willfully disobeyed an order to turn over tax refunds but rather had spent the proceeds before receiving notice of obligation.
Procedural posture

Plaintiff chapter 7 trustee sued defendant debtor, seeking an order revoking the debtor's discharge under 11 U.S.C. § 727(d)(3) on the ground that the debtor failed to obey a lawful order of the bankruptcy court to turn over tax refunds for a particular tax year. The bankruptcy court held a trial.

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opinion summary, case decided on November 14, 2005 , LexisNexis #0106-030

In re Rocor Intl Inc.

Ruling
Setoff was inappropriate where IRS applied postpetition tax refunds to prepetition tax liability.
Procedural posture

A bankruptcy debtor was entitled to refunds for overpaid excise taxes on fuel, but the IRS retained the refunds as a setoff against excise taxes due for heavy vehicle highway use. The liquidation estate of the debtor moved for turnover of the refunds, and the IRS moved for summary judgment.

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opinion summary, case decided on September 30, 2005 , LexisNexis #0106-097

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

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.
Procedural posture

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).

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opinion summary, case decided on September 29, 2005 , LexisNexis #0106-093

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

Ruling
Trustee was granted motion to avoid creditor's lien since the certificate of title did not reflect the lien.
Procedural posture

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.

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opinion summary, case decided on September 14, 2005 , LexisNexis #0106-091

Powers v. United States (In re Powers)

Ruling
An additional state tax income assessment was deemed nondischargeable since the debtor had failed to file an amended state tax return required after the IRS had audited the debtor and reported changes in the debtor's income tax.
Procedural posture

Plaintiff debtor filed an adversary proceeding against defendant, the Colorado Department of Revenue ("DOR") challenging an assessment by the DOR for additional state income tax that the DOR claimed that the debtor owed for two tax years after the Internal Revenue Service ("IRS") reported changes in the debtor's federal income discovered through an audit. The parties filed cross-motions for summary judgment.

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opinion summary, case decided on August 17, 2005 , LexisNexis #0206-073

Hammons Fall 2006, LLC, In re--Revocable Trust of John Q. Hammons Dated December 28, 1989 v. JWJ Hotel Holdings Inc.

Ruling
Debtor could not avoid purchase right of co-member of LLC, contained in a non-executory agreement, that was triggered upon effective date of plans calling for sale of debtor’s interest in the LLC. (Bankr. D. Kan.)
Issue(s)
Executory Contracts and Unexpired Leases; Assignment.

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Commercial opinion summary, case decided on December 28, 1989 , LexisNexis #0723-081