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In re WL Homes LLC

Ruling
Relief from stay denied where creditor insurance company did not establish right to setoff.
Procedural posture

Before the court was a Motion for Relief from the Automatic Stay filed by an insurance company. The company held roughly $2.2 million in insurance premium overpayments--called a "return premium"--that belonged to debtor under a pre-bankruptcy insurance policy. The chapter 7 trustee and some homeowners objected to the lift stay motion.

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Commercial opinion summary, case decided on May 16, 2012 , LexisNexis #0612-025

Industrial Enters. Of Am. v. Tabor Acad. (In re Pitt Penn Holding Co.)

Ruling
Transfers of stock to school by debtor's executives without consideration while debtor was insolvent could be recovered as fraudulent.
Procedural posture

Defendant school filed a motion to dismiss plaintiff debtor's complaint against it, alleging (1) fraudulent transfers under 11 U.S.C.S. § 548, (2) unjust enrichment, (3) fraudulent conveyances under 11 U.S.C.S. § 544, (4) recovery of fraudulent transfers under 11 U.S.C.S. § 550.

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Commercial opinion summary, case decided on September 16, 2011 , LexisNexis #1011-122

Official Committee of Unsecured Creditors v. CIT GroupBusiness Credit Inc. (In re Jevic Holding Corp.)

Ruling
Series of transactions with creditor lender constituting a leveraged buyout were attempts to defraud other creditors and avoidable.
Procedural posture

Creditor filed a motion to dismiss all claims brought by plaintiff, the Official Committee of Unsecured Creditors (Committee), including claims for constructively fraudulent transfers under 11 U.S.C.S. § 544 and § 548, preferential transfers under 11 U.S.C.S. § 547, recovery under § 547, aiding and abetting breach of fiduciary duty, and equitable subordination under 11 U.S.C.S. § 510.

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Commercial opinion summary, case decided on September 15, 2011 , LexisNexis #1011-121

In re Juvennelliano

Ruling
Creditor lessor entitled to administrative expense claim for payments accrued during debtor's postpetition use of motor vehicle plus excess mileage.
Procedural posture

Debtors filed a petition under Chapter 13 of the Bankruptcy Code, and a motor vehicle credit corporation filed a motion seeking allowance of its claim for damages resulting from the breach of an assumed automobile lease as an administrative claim. The debtors opposed the corporation's motion.

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Consumer opinion summary, case decided on September 07, 2011 , LexisNexis #1011-010

In re Trico Marine Servs. Inc.

Ruling
Make-whole premium asserted by indenture trustee was an allowable secured claim.
Procedural posture

Before the court was debtors' Motion to determine the validity and priority of a certain make-whole premium (the "Make-Whole Premium") asserted by an Indenture Trustee. Pursuant to an order of the court approving the sale of certain assets, the Indenture Trustee sought full and immediate payment of the Make-Whole Premium out of sale proceeds currently held in escrow. Debtors contested the Indenture Trustee's entitlement to such payment.

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Commercial opinion summary, case decided on April 15, 2011 , LexisNexis #0511-049

Gretz v. Inner Spirits Inc.

Ruling
Wholly unsecured lien created by default judgment could be stripped off.
Procedural posture

The holder of a default judgment against debtor moved to dismiss for bad faith while debtor, citing 11 U.S.C.S. § 1322(b)(2), moved to strip off the lien created by that default judgment. Debtor also asked the court to confirm her second amended chapter 13 plan.

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Commercial opinion summary, case decided on March 18, 2011 , LexisNexis #0511-030

In re Aleris Intl Inc.

Ruling
Relief from stay to allow creditor to take possession of four-wheel drive loader for which debtor had not paid denied as security interest had never been perfected.
Procedural posture

Movant, the seller of a 4 wheel drive loader to the debtor, filed a motion for relief from the automatic stay for cause under 11 U.S.C.S. § 362(d)(1), asserting it had rights to the loader pursuant to a sales contract against the debtor, which retained possession of the loader but had not paid any consideration.

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Commercial opinion summary, case decided on January 31, 2011 , LexisNexis #0211-111

In re Smurfit-Stone Container Corp.

Ruling
Indenture's "no recourse" provision barred claim of insolvency trustee of debtor's Canadian subsidiary.
Procedural posture

Debtors, a corporation and affiliated businesses, filed petitions under chapter 11 of the U.S. Bankruptcy Code, and the court ordered joint administration of the debtors' bankruptcy estates. The trustee of a Canadian company that declared bankruptcy filed a claim against the debtors' bankruptcy estates, and the debtors filed an objection to the trustee's claim pursuant to 11 U.S.C.S. § 502.

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Commercial opinion summary, case decided on January 10, 2011 , LexisNexis #0211-014

Samson Res. Co. v. J. Aron & Co. (In re Semicrude LP)

Ruling
Bankruptcy court refused to abstain from hearing actions seeking to hold purchasers of oil and gas from debtors liable for amounts owed by debtors.
Procedural posture

Plaintiff producers of oil and gas brought actions against defendant purchasers of the oil and gas from bankruptcy debtors, alleging that the purchasers were liable for amounts the debtors failed to pay the producers for the oil and gas. The actions were transferred to the court, and the producers moved to re-transfer the actions to state court or to abstain from hearing the state-law claims.

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Commercial opinion summary, case decided on December 13, 2010 , LexisNexis #0111-100

In re Givens

Ruling
Servicer could not be precluded from credit bid at auction of debtor's residence.
Procedural posture

In a Chapter 11 case, the servicer for the mortgage note argued that it was entitled to credit bid at the auction of the debtor's residence. The court considered the briefs filed by the parties.

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Consumer opinion summary, case decided on December 07, 2010 , LexisNexis #0111-030