- 11 U.S.C.
In re Schauer
Nov
21
2012
Ruling
Creditor with actual notice and knowledge of bankruptcy filing could not file a late proof of claim.
Procedural posture
A claimant filed a proof of claim on behalf of the custodian of his Individual Retirement Account (creditor). He moved the court for allowance of his claim under 11 U.S.C.S. § 726(a)(2)(C), arguing that he did not have notice or actual knowledge in time to file a timely claim. The Trustee and a bank objected.
ABI Membership is required to access the full summary of In re Schauer Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
In re van Bible
Jun
05
2012
Ruling
Tardily filed claim allowed over debtor's objection but subordinated to timely filed claims.
Procedural posture
A creditor filed its proof of claim in the amount of $2.5 million. The claim was based on a pending lawsuit filed by the creditor against debtor in the Circuit Court for Scott County, Tennessee. This proceeding was before the court on the objection to claim and motion for disallowance filed by debtor, the answer to the objection to claim and the motion for allowance filed by a creditor, and debtor's reply.
ABI Membership is required to access the full summary of In re van Bible Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
In re Millwork Specialties Inc.
May
04
2012
Ruling
General manager and president allowed administrative expense claim for postpetition wages to the extent work was necessary for operation of debtor's business.
Procedural posture
Creditor applied for the allowance and payment of an administrative expense, in the form of wages for his postpetition work on behalf of the debtor. The chapter 7 trustee argued the application should be denied because creditor's foregoing wages was akin to a capital contribution because creditor held a membership interest in the debtor, and so was not entitled to administrative priority.
ABI Membership is required to access the full summary of In re Millwork Specialties Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
Zedbley v. First Horizon Home Loans (In re Ong)
Apr
23
2012
Ruling
Proof of claim filed within 30 days after order avoiding lien was considered timely.
Procedural posture
Before the court in debtors' chapter 7 case was objector trustee's objection to proof of claim 6. Respondent was a mortgage creditor (claimant).
ABI Membership is required to access the full summary of Zedbley v. First Horizon Home Loans (In re Ong) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
- 11 U.S.C.
In re Hatten
Apr
10
2012
Ruling
Stay pending appeal of distribution order denied due to lack of likelihood of success on merits.
Procedural posture
In a chapter 7 bankruptcy case, the court appointed a trustee to administer the debtor's bankruptcy estate and authorized the trustee to disburse funds that were in the bankruptcy estate in accordance with the distribution scheme set out in 11 U.S.C.S. § 726. The debtor filed a notice of appeal and asked the bankruptcy court to enter an order which prohibited the trustee from disbursing funds until the appeal was resolved.
ABI Membership is required to access the full summary of In re Hatten Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
- 11 U.S.C.
In re Minnix Constr. Inc.
Dec
20
2011
Ruling
Debtor's accounting firm, which was not employed by trustee, held a general unsecured claim for fees.
Procedural posture
The chapter 7 trustee objected to a priority unsecured claim filed by claimant, an accounting firm that had provided services to debtor both before and after the filing of debtor's chapter 7 case. At issue was whether the claim was properly classified as a priority unsecured claim or if, as urged by the trustee, some part of it was properly allowed as an unsecured claim and some part was properly disallowed in its entirety.
ABI Membership is required to access the full summary of In re Minnix Constr. Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
- 11 U.S.C.
In re B&P Baird Holdings Inc.
Nov
22
2011
Ruling
Debtor and shareholder lacked standing to object to trustee's settlement of claim given lack of surplus assets.
Procedural posture
The chapter 7 debtor, a corporation, filed an objection to a claim, and the chapter 7 trustee filed a motion to approve a settlement. The court considered whether the debtor and its shareholder had standing to be heard with respect to these contested matters.
ABI Membership is required to access the full summary of In re B&P Baird Holdings Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
In re Mobile Team LLC
Jan
10
2011
Ruling
Debtor's counsel could withdraw balance of prepetition retainer in accordance with court- approved retention application despite insolvency of estate.
Procedural posture
In a converted case, a chapter 7 trustee filed motion to require the debtor's counsel to disgorge the retainer paid by debtor to his counsel prior to the filing of debtor's chapter 11 petition. Counsel opposed the motion and requested that the court to allow it to draw on the balance of its pre-petition retainer.
ABI Membership is required to access the full summary of In re Mobile Team LLC Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
In re Cryptek Inc.
Dec
21
2010
Ruling
Debtor's law firm ordered to disgorge prepetition fees paid by debtor in possession postpetition without bankruptcy court authorization.
Procedural posture
After a case was converted from Chapter 11 to Chapter 7, the Chapter 7 trustee and administrative expense claimants filed a motion to require the law firm that represented the debtor-in-possession to disgorge about $35,000 of the nearly $163,000 in approved fees and expenses that were paid to it. The trustee claimed that disgorgement was necessary to achieve equality of distribution among the Chapter 11 administrative claimants.
ABI Membership is required to access the full summary of In re Cryptek Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
:
- 11 U.S.C.
In re Tiger Aircraft LLC
Aug
06
2010
Ruling
Creditor's claim based on equity interest in debtor could not be classified as unsecured.
Procedural posture
A Chapter 7 trustee filed an objection to a creditor's classification of its proof of claim as unsecured on the grounds that the creditor's claim was on account of its equity interest in the debtor and thus, pursuant to 11 U.S.C.S. § 726, it could only be paid if all unsecured claims received full payment. The court treated the parties' briefs as cross-motions for summary judgment.
ABI Membership is required to access the full summary of In re Tiger Aircraft LLC Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Court
: