Judge Murphy

Pullen v. Cornelison (In re Pullen)

Plaintiff debtors filed a motion to amend their legal malpractice adversary proceeding against defendants, the individuals and a limited liability company ("LLC"), to add a fraud claim.
Ruling: 
Legal malpractice adversary proceeding against bankruptcy counsel from prior case was a core proceeding to liquidate prepetition asset.
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Consumer case opionion summary, case decided on November 14,2007, LexisNexis #0208-062

Anderson v. Midwest Holding 7 LLC (In re Tanner Family LLC)

Plaintiff bankruptcy trustee brought an adversary proceeding against defendant former lessor of a bankruptcy debtor, alleging that a lease termination fee paid by the debtor to the lessor was an avoidable preference under 11 U.S.C. § 547. The trustee and the lessor cross-moved for summary judgment with regard to the issue of whether the lease termination payment was on account of an antecedent debt.
Ruling: 
Lease termination fee arose from antecedent debt and was avoidable as a preference.
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Commercial case opionion summary, case decided on October 09,2007, LexisNexis #0108-027

In re Patterson

After a debtor's chapter 11 case was converted to a chapter 7 case, the debtor filed an application to employ a new attorney.
Ruling: 
Attorney for debtor-in-possession, replaced by trustee's attorney after conversion to chapter 7, ordered to turn over postpetition retainer paid without court approval.
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Commercial case opionion summary, case decided on August 08,2007, LexisNexis #1107-037

In re Dye

Debtor, whose bankruptcy proceeding was originally filed as a chapter 13 and had earlier consented to a conversion of the case to a chapter 7 proceeding, now asked the court to convert it to a chapter 11 proceeding.
Ruling: 
Debtor required to show more than mere eligibility to convert to chapter 11.
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Consumer case opionion summary, case decided on July 31,2007, LexisNexis #1107-049

BEP Creditors Trust v. Dye (In re Dye)

Movant, the creditor's trust, by and through the trustee, filed a motion to annul the stay and to validate a postpetition consent judgment. The consent judgment and final order was entered in a state court interpleader action. The chapter 7 debtor and one company objected to the motion to annul.
Ruling: 
Relief from stay granted to allow validation of postpetition consent judgment in interpleader action.
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Consumer case opionion summary, case decided on July 12,2007, LexisNexis #1007-042

In re Pullen

The debtors filed for relief under chapter 13. In an earlier proceeding the court granted the creditor's emergency relief from the automatic stay. The debtor sought to vacate the relief granted, sought to extend the automatic stay, and sought confirmation of their proposed plan. The creditor sought reconsideration.
Ruling: 
Order for relief from stay vacated due to debtors'initiation of plan in good faith.
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Consumer case opionion summary, case decided on July 06,2007, LexisNexis #1007-043

UniFund Fin. Corp. v. Hughes (In re Hughes)

Movant, a creditor, sought an order pursuant to 11 U.S.C. § 707(a) dismissing the chapter 7 case filed by debtor and barring debtor from refiling for a period of five years. Debtor neither appeared nor otherwise opposed the motion.
Ruling: 
Case dismissed with 180-day filing bar due to debtor's failure to appear at creditors'meeting or produce documents.
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Highway 54 Prop. LLC v. Manigault (In re Manigault)

Movant, a landlord, sought relief from the automatic stay or, in the alternative, an order dismissing debtor's chapter 13 petition pursuant to 11 U.S.C. §§ 105, 109(g) and 349(a). Though debtor was served with notice of the motion and a related hearing, she did not appear in opposition thereto.
Ruling: 
Debtor's ninth case dismissed with prejudice with five year filing bar due to abuse of system.
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Brown v. Pyatt (In re Pyatt)

In this chapter 7 action, the trustee appealed from a judgment of the Bankruptcy Appellate Panel for the Eighth Circuit, which reversed the bankruptcy court's decision compelling the debtor to turn over to the estate the value of several checks which amounted to $1938.76.
Ruling: 
Debtor could not be compelled to turn over funds transferred by checks written before petition date but honored after filing.
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Jaecksch v. GMAC (In re Jaecksch)

Plaintiff debtors filed an adversary proceeding seeking reconsideration of the allowance of defendant creditor's claim and seeking to recover funds paid the creditor by the chapter 13 trustee. The debtors sought the return of the funds the creditor had received in excess of the amount it would have received as an unsecured creditor. The parties filed cross-motions for summary judgment.
Ruling: 
Creditor who failed to file amended claim after denial of secured status ordered to return payment from chapter 13 trustee.
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