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§ 1334

Irwin v. Advanced Polymer Coatings Ltd. (In re Shade Inc.)

Ruling
Bankruptcy court lacked jurisdiction over dispute between debtor's former landlord and purchaser of debtor's assets.
Procedural posture

Defendant, the purchaser of assets of a chapter 7 debtor, sought summary judgment that the court lacked subject matter jurisdiction per 28 U.S.C.S. § 1334 over an adversary complaint filed by plaintiff, who had been debtor's landlord and who owned the land on which debtor's operations had been located. At issue was whether the court had jurisdiction over claims that defendant had improperly removed fixtures from and had damaged the real estate.

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Commercial opinion summary, case decided on April 16, 2009 , LexisNexis #0609-140

Estate of Fisher v. JPMorgan Chase Bank (In re Fort Worth Osteopathic Hosp. Inc.)

Ruling
Bankruptcy court abstained from hearing action to recover malpractice judgment where estate had settled and was no longer a party.
Procedural posture

Plaintiff decedent's estate sued defendant trustee of a hospital trust fund and others in state court, seeking to recover on a malpractice liability judgment. After the hospital filed for chapter 7 bankruptcy protection, the trustee removed the action to bankruptcy court. The estate filed a motion to remand, urging the bankruptcy court to abstain from considering the action. The bankruptcy court held a hearing on the motion.

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Commercial opinion summary, case decided on April 15, 2009 , LexisNexis #0609-034

In re Taylor

Ruling
Mortgagee and its lawyer sanctioned for pursuing claim where lawyer's sole contact with mortgagee was through electronic information system.
Procedural posture

Debtors objected to a mortgagee's claim and, upon the mortgagee's failure to produce a mortgage loan history, the mortgagee's attorney explained that he had no personal access to the mortgagee and communicated with the mortgagee only through an electronic information system. The mortgagee, its attorneys, and its agents were directed to show cause why sanctions should not be imposed for unprofessional conduct.

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Consumer opinion summary, case decided on April 15, 2009 , LexisNexis #0809-059

In re Kahn

Ruling
Bankruptcy court lacked jurisdiction to hear motion for breach of postdischarge reaffirmation agreement where case was closed.
Procedural posture

A chapter 7 debtor filed a second emergency motion for equitable relief to recover a repossessed vehicle, lost wages, attorneys' fees, and other damages.

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Consumer opinion summary, case decided on April 14, 2009 , LexisNexis #0609-027

Tidewater Lodging Group LLC v. Kolter Cmtys. Mgmt. LLC (In re Tidewater Lodging Group LLC)

Ruling
State law usury action was not a core proceeding and could be remanded.
Procedural posture

In July 2007, debtors filed an action in state court on four state law causes of action. Thereafter the debtors petitioned for relief under chapter 11 and removed the state court action to the court. Four defendants filed a motion for remand. The debtors filed a motion to amend their complaint.

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Commercial opinion summary, case decided on April 03, 2009 , LexisNexis #0609-096

Shiboleth v. Yerushalmi

Ruling
Removed state action for accounting was non-core and properly remanded to state court.
Procedural posture

Plaintiff partner and law firm sued defendant debtors in state court, seeking a partnership accounting. After a special referee found in plaintiffs' favor and the debtors filed for bankruptcy, plaintiffs sought a determination that the state court judgment was nondischargeable. The debtors removed the state case to district court under 28 U.S.C.S. § 1452. Plaintiffs moved to remand. The debtors moved to transfer venue to the bankruptcy court.

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Consumer opinion summary, case decided on March 25, 2009 , LexisNexis #0509-094

Podkolzin v. Amboy Bus. Co.

Ruling
Personal injury action that was removed to district court for district where injury occurred transferred back to bankruptcy court for abstention determination.
Procedural posture

Plaintiffs, a driver and an individual, filed an action against defendants, a bus owner and an operator, to recover damages for personal injuries and loss of services in a state court. The owner filed for chapter 11 protection. The bankruptcy court for the Southern District of New York permitted the driver to remove the case to the instant court. Plaintiffs filed a notice to remove. Plaintiffs moved to remand the case to the state court.

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Commercial opinion summary, case decided on March 13, 2009 , LexisNexis #0409-105

N.J. Lawyers Fund for Client Prot. V. Fornaro (In re Fornaro)

Ruling
Bankruptcy court abstained from adversary proceeding counterclaim not related to debtor's case.
Procedural posture

Debtor filed for relief under chapter 7 of the Bankruptcy Code, exempted her home and tax refund from her estate, and was granted a discharge. Plaintiff lawyer's fund filed a complaint to lift the automatic stay and for a turnover, and the fund successfully obtained a turnover. The debtor counterclaimed for fraud.

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Consumer opinion summary, case decided on March 12, 2009 , LexisNexis #0509-024

First Natl Bank v. Texas (In re Renaissance Hosp.-Grand Prairie Inc.)

Ruling
Court abstained from hearing adversary proceeding based on state labor laws.
Procedural posture

Plaintiff bank filed an adversary proceeding against defendant Texas Workforce Commission (TWC) and debtors, seeking a determination that a transfer the bank made to the debtors from various accounts did not violate the Texas Labor Code. The TWC moved to dismiss the bank's complaint for lack of jurisdiction.

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Commercial opinion summary, case decided on February 17, 2009 , LexisNexis #0409-019

Savoy Senior Housing Corp. v. TRBC Ministries LLC

Ruling
Dispute over senior housing development referred to bankruptcy court.
Procedural posture

Plaintiff housing developers sued defendant church company in state court, alleging several causes of action arising from their partnership to develop senior housing. After removing the action to federal district court, the company moved to dismiss the complaint for lack of jurisdiction or improper venue pursuant to Fed. R. Civ. p. 12(b)(1) and (3), or to refer the case to the bankruptcy court that had confirmed the partnership's chapter 11 plan.

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Commercial opinion summary, case decided on February 11, 2009 , LexisNexis #0409-104