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In re Clifton

Ruling
Secretary of Labor's complaint regarding debtor's ERISA violations was within police and regulatory powers exception to stay.
Procedural posture

Debtor filed a motion to show cause why the automatic stay provision of 11 U.S.C.S. § 362(a) had not been violated by the Secretary of Labor due to a complaint filed by the Secretary against the debtor in federal court. Debtor also filed a motion seeking an injunction and sanctions against the Secretary.

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Consumer opinion summary, case decided on August 03, 2010 , LexisNexis #0910-107

In re LOR Decks at Calico Jacks LLC

Ruling
Case dismissed for cause due to debtor's failure to comply with court orders.
Procedural posture

In this chapter 11 case, creditor bank filed a motion to dismiss the bankruptcy pursuant to 11 U.S.C.S. § 1112(b). The debtor, an operator of a marina and related facilities, was operating as a debtor in possession.

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Commercial opinion summary, case decided on May 14, 2010 , LexisNexis #0810-099

In re Bowen

Ruling
Enforcement of domestic support obligation was not subject to stay.
Procedural posture

The former spouse of a bankruptcy debtor asserted that a state-court award to the spouse of a percentage of the debtor's retirement benefits was a domestic support obligation which was not dischargeable. The spouse moved for relief from the automatic bankruptcy stay to allow the spouse to obtain a qualified domestic relations order from the state court.

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Consumer opinion summary, case decided on May 10, 2010 , LexisNexis #0810-037

In re Fountain Powerboat Indus.

Ruling
Fee application of investment banker whose employment by estate was approved allowed in full.
Procedural posture

Investment banker for debtors filed an application for compensation. The court previously had approved employment of the investment banker pursuant to 11 U.S.C.S. § 327 to handle the sale of the debtor's assets.

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Commercial opinion summary, case decided on May 07, 2010 , LexisNexis #0810-038

In re TAAF LLC

Ruling
Apprehension order for debtor's corporate officer granted due to willful failure to appear at examination.
Procedural posture

The court previously entered an Order for Apprehension of Personal Representative of Debtors to Compel Attendance for Examination Under Fed. R. Bankr. P. 2005. Pursuant to that order, the United States Marshal was directed to apprehend and take custody of the corporate officer and/or managing member of three corporate debtors.

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Commercial opinion summary, case decided on March 12, 2010 , LexisNexis #0610-065

Green v. Universal Auto Care (In re Green)

Ruling
Towing company's refusal to surrender vehicle towed prepetition did not violate stay.
Procedural posture

Plaintiff chapter 7 debtor filed a complaint against defendant, a towing company, seeking damages for violation of the automatic stay. After the towing company failed to answer the complaint, the debtor filed a motion for a default judgment pursuant to Fed. R. Civ. P. 55, as incorporated by Fed. R. Bankr. P. 7055.

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Consumer opinion summary, case decided on February 16, 2010 , LexisNexis #0410-126

In re Taaf LLC

Ruling
Chapter 11 trustee appointed due to manager's incompetence and gross mismanagement.
Procedural posture

A creditor filed an emergency motion for appointment of a chapter 11 trustee under 11 U.S.C.S. § 1104 based on the alleged incompetence and mismanagement of the debtor's affairs by its manager. The Bankruptcy Administrator filed a response in support of the motion. The debtor objected to the motion.

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Commercial opinion summary, case decided on February 12, 2010 , LexisNexis #0410-131

Waccamaw Bank v. Millwork Specialties Inc. (In re Millwork Specialties Inc.)

Ruling
Jury trial of adversary proceeding referred to district court unless parties stipulated to trial in bankruptcy court.
Procedural posture

Defendants, a chapter 11 debtor, another debtor, and two individuals, filed a motion to withdraw an adversary proceeding to the district court for the Eastern District of North Carolina for a trial by jury. Plaintiff creditor objected to the motion.

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Commercial opinion summary, case decided on January 26, 2010 , LexisNexis #0410-028

In re Jones

Ruling
Servicing agent's motion for relief from stay denied due to adequate protection and failure to establish authorization to act for assignee mortgagee.
Procedural posture

A servicing agent for a mortgage against bankruptcy debtors' property asserted that the debtors were delinquent in their mortgage payments, but the debtors contended that they made reduced payments under a modification agreement with the agent. The agent moved for relief from the automatic bankruptcy stay, or in the alternative for adequate protection.

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Consumer opinion summary, case decided on January 21, 2010 , LexisNexis #0310-107

In re Brixey

Ruling
Confirmation denied for failure to provide for distribution to unsecured creditors where proper valuation of real estate would allow for such a distribution.
Procedural posture

A creditor objected to confirmation of a chapter 12 debtor's plan on the grounds that by failing to provide for a distribution to unsecured creditors, the plan failed to satisfy the good faith requirement of 11 U.S.C.S. § 1225(a)(3) and the liquidation test of § 1225(a)(4).

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Consumer opinion summary, case decided on January 15, 2010 , LexisNexis #0310-132