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§ 363(f)

In re Ng

Ruling
Sale free and clear of debtor's interests extinguished all remaining rights in property.
Procedural posture

Before the court was a motion for a stay pending appeal of the court's September 28, 2007 order requiring that a person who had interests in a certain real property (movant) turn over possession of the real property.

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Consumer opinion summary, case decided on December 13, 2007 , LexisNexis #0108-115

In re Large Scale Biology Corp.

Ruling
Free and clear auction of patents and patent applications approved.
Procedural posture

Chapter 11 debtor filed a motion to approve an auction process and the sale and assignment of certain patents and patent applications pursuant to 11 U.S.C. § 363(f) free and clear of all liens, claims, interests, and other encumbrances.

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Commercial opinion summary, case decided on November 14, 2007 , LexisNexis #0108-116

In re Downour

Ruling
Order permitting trustee's sale of debtor's land was proper despite bona fide dispute over creditor's lien in property.
Procedural posture

A creditor, a mortgagee, objected to a motion filed by movant, a chapter 7 trustee, seeking court approval of its proposed sale of land belonging to debtors. At issue was whether, pursuant to 11 U.S.C. § 363(f)(4), the trustee was properly authorized to sell the land despite the creditor's objection and whether a "bona fide"dispute as to the scope of the creditor's interests existed.

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opinion summary, case decided on March 28, 2007 , LexisNexis #0507-006

In re Renteria

Ruling
Bankrutpcy court lacked jurisdiction to reconsider sale order where debtors had no protectable interest in property and sale had taken place.
Procedural posture

The bankruptcy court previously entered an order approving the sale of debtors' property (sale order). The debtors appealed and sought a stay of the sale order, but the Bankruptcy Appellate Panel for the Ninth Circuit denied the debtors'request for a stay of the sale order and the property was sold. The issue was whether the court had jurisdiction to issue any further orders regarding claims to the sale proceeds from the property.

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opinion summary, case decided on January 24, 2007 , LexisNexis #0307-093

In re DeCelis

Ruling
Trusteecould not sell property free and clear of co-owner's interest absent co-owner's affirmative consent.
Procedural posture

In an adversary proceeding, a trustee obtained a default order declaring that the transfer by defendant debtor to defendant co-owner of an interest in a house was void. After learning that the debtor and the co-owner acquired title to the subject property as tenants in common from the same grantors in a single deed, the trustee filed a motion to sell the property free and clear of the co- owner's interest pursuant to 11 U.S.C. § 363(f).

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opinion summary, case decided on September 22, 2006 , LexisNexis #1006-122

In re Signature Developers Inc.

Ruling
Trustee could sell subdivision lots free and clear of restriction providing that debtor was the exclusive builder for the development.
Procedural posture

A bankruptcy debtor developed a residential subdivision with a restriction providing that the debtor was the exclusive builder for improvements in the subdivision. The trustee moved pursuant to 11 U.S.C. § 363(f)(5) to sell certain lots in the subdivision to the mortgagee secured by the lots, free and clear of the builder restriction, and a creditor which purchased other lots subject to the restriction objected to the sale.

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opinion summary, case decided on August 24, 2006 , LexisNexis #1006-088

Doolittle v. County of Santa Cruz (In re Metzger)

Ruling
Sale order issued without proper notice to county did not strip county of its interest.
Procedural posture

Plaintiff property owner sued defendants, a county, debtor, a development company, et al. The county and the State of California cross-complained. The owner sought a declaration that a 1992 Sale Order divested the property of the county's interest. The county sought a declaration that the Sale Order did not divest the property of its interest and an order remanding the matter to state court. Pending were cross-motions for summary judgment.

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opinion summary, case decided on August 02, 2006 , LexisNexis #0906-051

In re Southwest Fla. Heart Group P.A.

Ruling
Motion to assume lease was denied since creditor had ownership interest and trustee could not sell property free and clear of that interest.
Procedural posture

In a chapter 11 case, before the court was trustee's motion to assume lease agreement and lease agreement addendum involving an unexpired non-residential lease entered into by debtor and creditor.

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opinion summary, case decided on February 07, 2006 , LexisNexis #0806-050