Judge Hardin

In re St. Vincents Catholic Med. Ctrs.

The post-effective date debtors, medical centers, moved for an order to establish procedures for determining covered person status for certain defendants in medical malpractice actions, and moved to enforce the automatic stay under 11 U.S.C.S. § 362, and plan injunction under 11 U.S.C.S. § 524(e), with respect to those defendants, who were non-debtor doctors and others employed by the debtors.
Ruling: 
Motion to enforce stay in favor of non-debtor third party medical malpractice defendants denied.
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Commercial case opionion summary, case decided on December 04,2008, LexisNexis #0209-066

Varde Inv. Partners LP v. Comair Inc. (In re Delta Air Lines Inc.)

Pending was the reorganized defendant debtors' motion under Fed. R. Bankr. P. 7012 and Fed. R. Civ. P. 12(b) to dismiss the Amended Complaint. Plaintiff claimants alleged they held $ 125,000,000 in claims against one or more of the debtors. The Amended Complaint (AC) asserted a single claim under 11 U.S.C.S. § 1144 to revoke debtors' confirmed Plan of Reorganization based upon debtors' alleged fraud in procurement of the confirmation order.
Ruling: 
Belated attempt by five creditors to revoke plan that was nearly unanimously approved dismissed due to lack of standing or factual support.
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Commercial case opionion summary, case decided on April 30,2008, LexisNexis #0608-104

In re Delta Air Lines

Debtor airline, a chapter 11 debtor, objected to claims filed by "owner participants" (OPs) that were based on tax indemnification agreements (TIAs) and claims filed by indenture trustees under stipulated loss value (SLVs) contracts relating to leases associated with structured aircraft financing agreements. At issue, inter alia, was the status of such claims under 11 U.S.C. § 502.
Ruling: 
Debtor's objections to claims of owner participants overruled.
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Commercial case opionion summary, case decided on January 16,2008, LexisNexis #0208-133

Doubet LLC v. Palermo (In re Palermo)

Plaintiff judgment creditor brought an adversary proceeding against defendant bankruptcy debtor, seeking a determination that the debtor was not entitled to a discharge based on the debtor's fraud, inadequate records, and failure to explain the loss of assets under 11 U.S.C. § 727(a)(2), (3) and (5). The bankruptcy court conducted a trial.
Ruling: 
Debtor who engaged in complex transactions among shell entities in hindrance of creditors denied discharge on grounds of fraud.
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Sassower v. Alito (In re Sassower)

A chapter 13 trustee filed a motion to dismiss debtor's adversary proceeding against defendants, the government officials and other entities, and to dismiss the bankruptcy case.
Ruling: 
Adversary proceeding and bankruptcy case dismissed on grounds of debtor's bad faith.
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Corrales v. Sanchez (In re Sanchez)

Plaintiff, a private bail bondsman, filed an adversary proceeding against debtor for a determination that its contractual indemnity claim against debtor was non-dischargeable under 11 U.S.C. § 523(a)(7) on the theory that plaintiff, which had paid a forfeited bail bond to the State of New York, was properly subrogated to the forfeiture right of the State of New York.
Ruling: 
Bail bond obligation was contractual in nature and dischargeable.
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Comair Inc. v. Air Line Pilots Assoc. (In re Delta Air Lines Inc.)

Plaintiff airline, a bankruptcy debtor, obtained approval to reject a collective bargaining agreement between the airline and defendant airline pilots'union. After the union expressed an intent to strike if the airline implemented proposed new terms of employment, the airline brought an adversary proceeding against the union and moved for a preliminary injunction to prohibit the union and its members from striking.
Ruling: 
Debtor airline's rejection of collective bargaining agreement with pilot's union allowed court to issue strike injunction without violating the Norris-LaGuardia Act.
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In re Delta Air Lines Inc.

Debtor, a regional airline who was a wholly-owned subsidiary of a national airline in bankruptcy, filed a motion pursuant to 11 U.S.C. § 1113 to reject its collective bargaining agreement with a union that represented its pilots.
Ruling: 
Airline's regional subsidiary could reject colective bargaining agreement with pilot's union.
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Delta Air Lines Inc. v. Bibb (In re Delta Air Lines)

Plaintiff debtors filed an adversary proceeding against defendants, the acting administrator of the General Services Administration and the United States (Government), contending that the Government was precluded from deducting amounts that the Government allegedly "overpaid"to the debtor for purchased services. The parties filed cross-motions for summary judgment.
Ruling: 
Government's deduction of prepetition overpayments from postpetition transportation payments was barred by automatic stay.
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In re Delta Air Lines

Chapter 11 debtor, a regional airline, filed a motion to reject its collective bargaining agreement ("CBA") with its flight attendants under 11 U.S.C. § 1113.
Ruling: 
Airline's motion for rejection of collective bargaining agreement with flight attendants granted.
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