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southern district of alabama

Gulfmark Offshore Inc. v. Bender Shipbuilding & Repair Co.

Ruling
Claims against debtor shipbuilder's officers and directors were subject to automatic stay.
Procedural posture

Plaintiff sued defendants, a shipbuilding company and the shipbuilding company's officers and directors, alleging breach of contract and breach of fiduciary duty. The court stayed the action against the shipbuilding company, pursuant to 11 U.S.C.S. § 362, after it learned that the company was in bankruptcy, and plaintiff sought a ruling on whether the stay applied to its claims against the company's officers and directors.

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Commercial opinion summary, case decided on August 03, 2009 , LexisNexis #0909-040

Alabama v. Lett (In re Lett)

Ruling
Dischargeability proceeding properly dismissed as filed more than 60 days after creditors' meeting.
Procedural posture

Creditor appealed an order of the bankruptcy court, which denied its motion to alter or amend the judgment dismissing, as untimely under Fed. R. Bankr. P. 4007(c), its adversary complaint against debtor.

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Consumer opinion summary, case decided on March 23, 2009 , LexisNexis #0509-069

Littleton v. Hinton (In re Triple H Auto & Truck Sales Inc.)

Ruling
Transfer from debtor auto dealer repaying advances with interest were contemporaneous exchanges for new value and not avoidable.
Procedural posture

Chapter 7 trustee, brought a claim seeking the avoidance, under 11 U.S.C.S. § 547, of transfers of funds by the debtor to the aunt of the debtor's principals, and a credit provider and transferee of funds from the debtor. The transferee moved for summary judgment, asserting that the transfers were made in exchange for contemporaneous new value, or were made in the ordinary course of business.

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Commercial opinion summary, case decided on February 02, 2009 , LexisNexis #0409-121

In re Broadus

Ruling
Interest rate and amount did not have to be included in proof of claim for debtor to be liable.
Procedural posture

The IRS filed a motion to reconsider a chapter 13 debtor's discharge, requesting that its secured claim and lien survive the discharge order and that it be granted relief from the discharge order due to the debtor's failure to pay the interest due on the tax claim.

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Consumer opinion summary, case decided on January 07, 2009 , LexisNexis #0209-097

In re Borders

Ruling
Below median debtor properly calculated income and could propose plan with three-year commitment period.
Procedural posture

A debtor filed for relief under chapter 7 of the Bankruptcy Code, and the matter was converted to a chapter 13 proceeding. The debtor submitted a proposed plan for confirmation. The trustee objected to the plan, pursuant to 11 U.S.C.S. § 1325(b)(4)(A), based on the proposed commitment period.

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Consumer opinion summary, case decided on April 30, 2008 , LexisNexis #0808-085

In re Crews

Ruling
Postpetition wages paid to chapter 13 trustee in case where plan was never confirmed became property of the debtors.
Procedural posture

The debtors, a husband and wife, moved for the turnover to them of postpetition chapter 13 funds they earned, following the conversion of the husband's case to a chapter 7, and the dismissal of the wife's case. The issue was whether postpetition wages paid into a chapter 13 case, in which a plan was never confirmed, remained property of the debtor's estate under 11 U.S.C. § 1306, became property of the debtors under 11 U.S.C. § 348(f).

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opinion summary, case decided on June 26, 2007 , LexisNexis #0807-074

In re Milligan

Ruling
Trustee was entitled to surcharge against creditor's interest in debtor's insurance proceeds as creditor had not requested timely relief from bankruptcy court.
Procedural posture

Bankruptcy debtors'vehicle was involved in an accident and deemed a total loss by the debtors'insurer, and the bankruptcy trustee received the insurance proceeds. A creditor allegedly secured by the vehicle requested the proceeds from the trustee, but the creditor did not request relief from the court, and the trustee moved for a determination of secured status and for a surcharge for administration under 11 U.S.C. § 506(c).

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opinion summary, case decided on February 09, 2007 , LexisNexis #0307-134

Thomas v. Bayou Concrete LLC

Ruling
Amercians With Disabilities Act action dismissed due to discharged debtor's failure to schedule claim.
Procedural posture

Defendants, a company and three persons, asserted that pro se individual's American with Disabilities Act claims against them had to be dismissed because the individual failed to list the present case as a potential asset in his chapter 7 bankruptcy case, which had been discharged.

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opinion summary, case decided on August 22, 2006 , LexisNexis #0906-091

Bentley v. Nissan Motor Acceptance Corp. (In re Bentley)

Ruling
Creditor's knowing repossession of debtor's vehicle was a willfull violation of stay.
Procedural posture

Plaintiff bankruptcy debtor brought an adversary proceeding against defendant creditor for violating the automatic stay by postpetition repossession of the debtor's vehicle. In the debtor's main case, the debtor also objected to the creditor's amended proof of claim, and the creditor moved for relief from the stay. The bankruptcy court conducted a trial addressing all of these matters.

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opinion summary, case decided on August 10, 2006 , LexisNexis #0906-017

Evans v. Echevarria & Assocs. P.A. (In re Evans)

Ruling
Disqualification of the bankruptcy judge was not warranted since the judge had properly complied with applicable disqualification procedures.
Procedural posture

A pro se bankruptcy debtor sought disqualification of the bankruptcy judge under 28 U.S.C. § 144 based on an ex parte communication. The debtor moved for reconsideration of the order denying the debtor's motion for disqualification.

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opinion summary, case decided on January 27, 2006 , LexisNexis #0406-029