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In re Kirk

Ruling
Plan proposing to pay attorneys' and filing fees before paying creditors could not be confirmed.
Procedural posture

Chapter 13 debtors' plan did not comply with 11 U.S.C.S. §§ 1325(a)(3), (5)(B)(iii)(I), 1326(a)(1)(C), because it would pay attorney's fees and filing fees in full before any payments to creditors. The Court announced it would confirm the plan only if it modified to provide for payments to a purchase-money auto lender in equal monthly installments without being delayed. Counsel for the debtors objected and for confirmation without amendment.

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Consumer opinion summary, case decided on December 21, 2011 , LexisNexis #0212-066

In re Kerley

Ruling
Administrative closing of case to prevent accrual of quarterly fees denied.
Procedural posture

Chapter 11 individual debtors sought to have their cases, which contemplated payments to creditors over time from post-confirmation earnings, administratively closed for the purpose of avoiding the payment of quarterly fees to the Bankruptcy Administrator under 28 U.S.C.S. § 1930(a) as well as voiding further monthly operating reports.

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Consumer opinion summary, case decided on November 04, 2011 , LexisNexis #1211-004

In re Beasley

Ruling
Confirmation denied and case dismissed due to lack of good faith by debtors two prior chapter 7 discharges.
Procedural posture

The court held a hearing on whether to confirm the debtors' Chapter 13 plan. Both the debtors and the Chapter 13 trustee submitted briefs in support of confirmation.

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Consumer opinion summary, case decided on September 27, 2011 , LexisNexis #1111-132

Smith v. Smith (In re Smith)

Ruling
Postpetition interest on child support debt was nondischargeable.
Procedural posture

A discharged chapter 7 debtor sought a declaration that unpaid interest on his child-support obligation was discharged in his chapter 7 bankruptcy case, and in particular that such interest was not excepted from discharge pursuant to 11 U.S.C.S. § 523(a)(5). Co-defendant, State of Alabama, Department of Human Resources (DHR), a state agency that collected delinquent child-support obligations, filed a motion for summary judgment.

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Consumer opinion summary, case decided on August 23, 2011 , LexisNexis #0911-104

In re Hicks

Ruling
Case dismissed where nonconfirmable plan was not proposed in good faith.
Procedural posture

Chapter 13 trustee objected to confirmation of debtors' plan and filed a motion to dismiss the debtors' bankruptcy case. At the end of the confirmation hearing, the debtors' counsel informed the court that, if the trustee's motion was granted, the debtors intended to appeal. Counsel made an oral motion on the record for the court to stay its order pending appeal.

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Consumer opinion summary, case decided on June 15, 2011 , LexisNexis #0711-136

Carleton v. Carleton (In re Carleton)

Ruling
Former spouse's claim for division of property was discharged due to failure to file adversary proceeding to except claim from discharge.
Procedural posture

Plaintiff sought a judgment declaring that defendant's claim for a divorce- related property settlement against plaintiff's deceased husband (debtor) was discharged in the debtor's chapter 7 bankruptcy case. Although not formally designated as such, the court treated the parties' briefs and submissions as motions for summary judgment made pursuant to Fed. R. Bankr. P. 7056.

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Consumer opinion summary, case decided on April 25, 2011 , LexisNexis #0511-105

Community Credit Union v. Hammontree (In re Hammontree)

Ruling
Discharge denied due to failure to keep adequate records and transfer of S-corp's business and assets for debtor's personal gain.
Procedural posture

Plaintiff creditors each filed adversary proceedings against defendant Chapter 7 debtor alleging that the debtor should be denied a discharge under 11 U.S.C.S. § 727(a). The complaints were consolidated for trial.

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Consumer opinion summary, case decided on March 11, 2011 , LexisNexis #0411-063

Kostyshyn v. Joseph (In re Kostyshyn)

Ruling
Case of serial filer who was in violation of two-year filing ban and showed no desire to satisfy debts was properly ordered dismissed.
Procedural posture

Debtor, a serial filer, sought review of the dismissal of his most recent petition. The petition was filed despite a two-year filing ban.

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Consumer opinion summary, case decided on March 01, 2011 , LexisNexis #0411-092

In re Christensen

Ruling
Debtor could not reopen no asset case to add unscheduled creditors whose claims were already effectively discharged.
Procedural posture

Debtor filed a petition under chapter 7 of the Bankruptcy Code, and the court entered an order discharging debts the debtor owed. Two years after he received a discharge, the debtor filed a motion for an order under 11 U.S.C.S. § 350(b) which allowed him to reopen his case so he could amend his schedules by adding as creditors, two people who obtained a default judgment against him. The creditors opposed the motion.

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Consumer opinion summary, case decided on February 18, 2011 , LexisNexis #0711-073

In re Western Healthcare LLC

Ruling
Lessor granted relief from stay to take possession of property for which debtor's lease had expired.
Procedural posture

A Chapter 11 debtor leased assisted living facilities. After the debtor filed its petition for relief, the lessor filed a motion for relief from the automatic stay to allow it to take possession of the facilities.

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Commercial opinion summary, case decided on December 09, 2010 , LexisNexis #0111-117