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Judge McCullough

Jones v. Dressler (In re Dressler)

Creditor filed a complaint against defendant chapter 11 debtor seeking to have its judgment claim declared nondischargeable pursuant to 11 U.S.C.S. § 523(a)(2)(A).
Ruling: 
State court judgment was dischargeable where debtor's alleged misrepresentations did not relate to services performed by creditor.
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Consumer case opionion summary, case decided on June 30,2010, LexisNexis #0910-082

Cellco Pship v. Bane (In re Bane)

Plaintiff creditor objected to the grant of a chapter 7 discharge to the individual debtor, who was the president, director, and sole shareholder of a corporation that did business with the creditor, pursuant to 11 U.S.C.S. § 727(a)(7). The creditor moved for summary judgment on its discharge objection, and the debtor, moved at this time for summary judgment, asserting the creditor lacked standing to pursue the discharge objection.
Ruling: 
Creditor of corporate debtor lacked standing to seek denial of discharge in individual case of corporation's president, director and sole shareholder.
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Consumer case opionion summary, case decided on March 31,2010, LexisNexis #0610-058

FIA Card Servs. v. Schempp (In re Schempp)

Plaintiff creditor brought an adversary proceeding against defendant bankruptcy debtor seeking a determination that a debt to the creditor for cash advances to the debtor using a credit card issued by the creditor was nondischargeable under 11 U.S.C.S. § 523(a)(2)(A) based on the debtor's fraud.
Ruling: 
Debt owed for credit card cash advances used for gambling was not fraudulently incurred and was dischargeable.
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Consumer case opionion summary, case decided on December 17,2009, LexisNexis #0110-084

Bohm v. Radinick (In re Radinick)

A bankruptcy debtor claimed an exemption for a marital interest in an individual retirement account (IRA) of the debtor's estranged spouse, and the divorce proceedings of the debtor and the spouse, including any equitable distribution of property, were pending. The bankruptcy trustee objected to the exemption.
Ruling: 
Debtor's interest in estranged spouse's IRA was property of the estate.
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Consumer case opionion summary, case decided on December 03,2009, LexisNexis #1209-124

Smithfield Trust Co. v. Pitchford (In re Pitchford)

Defendant creditor moved for relief from the automatic stay so that it could pursue to completion a request for a constructive trust that it filed in a state court proceeding it had commenced prepetition against plaintiff debtor. The debtor commenced the adversary proceeding asserting that the imposition of such a constructive trust would constitute an avoidable preferential transfer.
Ruling: 
Relief from stay granted to allow creditor to pursue constructive trust claim in state court.
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Consumer case opionion summary, case decided on August 27,2009, LexisNexis #0909-127

Bononi v. Bayer Employees Fed. Credit Union (In re Zilka)

Movant bankruptcy trustee filed a motion to confirm the loan balances that were due from a bankruptcy debtor on respondent creditor's proofs of claim. The debtor opposed the motion on the ground that the creditor fully discharged the debts underlying the proofs of claim.
Ruling: 
Claim allowed absent legal discharge of debtor's liability by creditor.
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Consumer case opionion summary, case decided on July 16,2009, LexisNexis #0809-102

Kedzuf v. Turetsky (In re Turetsky)

Creditor, a purported mortgagee, asserted a right to an equitable mortgage on the one-half share interest of debtor, an individual, which claim was opposed by debtor and the chapter 7 trustee. Creditor also asked for rulings that the mortgage could not be avoided by debtor under 11 U.S.C.S. § 522(f)(1)(A) or avoided by the trustee by an exercise of the trustee's powers in 11 U.S.C.S. § 544 or 11 U.S.C.S. § 547.
Ruling: 
Prepetition notation on check was basis for equitable mortgage which could not be avoided by trustee.
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Consumer case opionion summary, case decided on April 02,2009, LexisNexis #0609-047

Delrey Windows Inc. v. Mars Builders Inc. (In re Mars Builders Inc.)

Plaintiff creditor asked the court to declare that it had standing, in connection with an adversary complaint against defendant partnership, to prosecute a fraudulent conveyance claim allegedly abandoned by the trustee per 11 U.S.C.S. § 554. Rulings as to discovery matters relating to underlying issues were also sought as were rulings on the effect of such ruling on the court's subject matter jurisdiction given Fed. R. Civ. P. 12(h)(3).
Ruling: 
Mere failure of trustee to prosecute action on behalf of estate did not constitute abandonment.
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Commercial case opionion summary, case decided on November 18,2008, LexisNexis #0109-017

Wisler v. White (In re Wisler)

The debtor's former spouse filed a motion for relief from stay so that a state court could adjudicate equitable distribution rights regarding, inter alia, certain real property. The former spouse also moved to have the debtor's chapter 7 discharge either denied (and then have his bankruptcy case dismissed) or revoked.
Ruling: 
Alleged prepetition fraud unrelated to bankruptcy process was not grounds for revocation of discharge.
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Consumer case opionion summary, case decided on March 10,2008, LexisNexis #0408-016

Shearer v. Tepsic (In re Emergency Monitoring Techs. Inc.)

Plaintiff chapter 7 trustee filed a motion for summary judgment on its claims against defendant, seeking to avoid as preferential, pursuant to 11 U.S.C. § 547(b), several transfers that allegedly occurred between the debtor and defendant. Defendant also filed a motion for summary judgment.
Ruling: 
Transfers of contracts to insider upon default were preferential.
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