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District of alabama

Tidewater Fin. Co. v. Williams

Ruling
Court rejected creditor's argument that six year limitations period between debtor's chapter 7 cases should have been equitably tolled while debtor's chapter 13 cases were pending.
Procedural posture

Appellant creditor sued appellee debtor claiming that the debtor was not entitled to discharge of a certain debt in her second chapter 7 case. The creditor claimed that the six year waiting period of 11 U.S.C. § 727(a)(8) should have been equitably tolled while the debtor's intervening chapter 13 cases were pending. The bankruptcy court granted summary judgment in favor of the debtor, and the creditor sought review.

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opinion summary, case decided on May 09, 2006 , LexisNexis #0606-027

In re Berry

Ruling
Motion for extension of automatic stay was denied since debtor did not file motion before stay had expired.
Procedural posture

After filing a chapter 13 bankruptcy petition, debtor moved for an extension or continuation of the automatic stay pursuant to 11 U.S.C. § 362(c)(3).

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opinion summary, case decided on April 14, 2006 , LexisNexis #0506-039

Forklift Liquidating Trust v. Custom Tool & MFG. Co. (In re Forklift LP Corp.)

Ruling
Payments to manufacturer were deemed preferential transfers since the manufacturer failed to show the transfers were made in the ordinary course of business.
Procedural posture

Plaintiff, a chapter 11 bankruptcy debtor's successor in interest, filed an action against defendant, a manufacturer that supplied parts to the debtor, pursuant to 11 U.S.C. § 547 seeking to avoid alleged preferential transfers made to the manufacturer. The court conducted a bench trial and thereafter issued a memorandum containing its findings of fact and conclusions of law as required under Fed. R. Civ. P. 52.

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opinion summary, case decided on March 31, 2006 , LexisNexis #0406-097

Lisenby v. J.A. Cambece Law Office P.C. (In re Lisenby)

Ruling
Debtor was entitled to punitive damages where law firm and collection agency willfully violated automatic stay.
Procedural posture

Plaintiff debtor filed a complaint against defendants, a law firm and a collection agency, for damages for violation of the automatic stay and violation of the Fair Debt Collection Practices Act. The debtor moved for default judgment. The bankruptcy court conducted an evidentiary hearing on the sole issue of damages.

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opinion summary, case decided on March 27, 2006 , LexisNexis #0406-116

Snowden v. Freds Stores of Tenn. Inc.

Ruling
Former employee was not judicially estopped from bringing an FLSA action for simply delaying by four months amending the debtor's chapter 13 bankruptcy schedule to include the potential claim.
Procedural posture

Plaintiff employee filed a notice of consent to become part of a class action to recover unpaid overtime wages brought against defendant employer pursuant to the Fair Labor Standards Act of 1938 ("FLSA"), 29 U.S.C. §§ 201, et seq. The employer filed motions for summary judgment as to the employee's claim on the basis of judicial estoppel.

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opinion summary, case decided on March 10, 2006 , LexisNexis #0306-121

In re U.S. Airways Inc.

Ruling
Proof of claim was disallowed in the debtor's second case since the claim was discharged in the debtor's first case.
Procedural posture

A chapter 11 matter was before the court on cross-motions for summary judgment by movant claimant and movant debtor with respect to a $17 million employment discrimination claim by the claimant, who was employed by debtor airline as a pilot from 1984 to 2001. The claimant also moved for sanctions.

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opinion summary, case decided on March 06, 2006 , LexisNexis #0406-049

In re Wright

Ruling
Interest rate on secured claims is calculated by the formula approach not by the contractual interest rate approach.
Procedural posture

Creditor had financed the debtors purchase of a vehicle and took a security interest in that vehicle. The creditor objected to confirmation of the chapter 13 plan proposed by the debtors. At issue was whether, under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 ("BAPCPA"), the plan could modify the contractual interest rate applicable to the creditor's secured claim.

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opinion summary, case decided on February 28, 2006 , LexisNexis #0506-004

In re Gordon

Ruling
Court reduced the fees charged by the debtor's attorney in the attorney's application for supplemental compensation and ordered further hearing as to whether the debtor authorized work on and the filing of a second amended plan.
Procedural posture

The debtor's attorney filed an application for allowance and payment of supplemental compensation.

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opinion summary, case decided on February 27, 2006 , LexisNexis #0406-044

In re Horn

Ruling
Chapter 13 plan was not denied confirmation since Code section 506, instead of a new Code section, applied when a creditor's claim was not a purchase money security interest.
Procedural posture

Movant creditor filed an objection to confirmation of non-movant debtor's chapter 13 plan.

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opinion summary, case decided on February 23, 2006 , LexisNexis #0306-039

In re Houston

Ruling
Court deemed that debtor had sufficiently complied with the requirement to provide a copy of the most recent income tax return since the computer-prepared summary of data electronically transmitted to the IRS constituted a copy.
Procedural posture

The bankruptcy court issued an amended notice to show cause in response to the chapter 7 trustee's certification under Interim Bankr. E.D. Va. R. 4002-1 that debtor failed to furnish him with a copy of her income tax return for the most recent tax year preceding the filing of the petition, as required by 11 U.S.C. § 521(e)(2)(A)(i). The trustee also requested copies of the debtor's statements for each of her depository and investment accounts.

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opinion summary, case decided on February 23, 2006 , LexisNexis #0406-040