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In re Carolina Industries Ltd.

Ruling
Debtor's motion for postpetition distribution to shareholders denied.
Procedural posture

Debtor corporation filed a petition under chapter 11 of the Bankruptcy Code and sought permission to make a postpetition distribution in the amount of $44,578 to its shareholders to pay the personal tax liabilities the shareholders had to the North Carolina Department of Revenue ("NCDOR"). A committee of unsecured creditors and a judgment creditor filed objections to the debtor's motion.

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Commercial opinion summary, case decided on July 11, 2012 , LexisNexis #0812-030

In re Casseday

Ruling
Debtor's exemptions forfeited on grounds of bad faith.
Procedural posture

In a voluntary chapter 7 case, the Trustee filed an objection to the debtor's exemptions.

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Consumer opinion summary, case decided on July 10, 2012 , LexisNexis #0812-002

In re Bechtold

Ruling
Sanctions imposed against debtor for unauthorized postpetition sale of property.
Procedural posture

Bankruptcy debtors were ordered to show cause why sanctions should not be imposed against the debtors for selling real property after their bankruptcy petition was filed without authorization. The debtors moved for approval of the sale nunc pro tunc and to amend their schedules to claim an exemption in the property.

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Consumer opinion summary, case decided on April 19, 2012 , LexisNexis #0512-042

Belfor USA Group Inc. v. Helms (In re Helms)

Ruling
Prepetition assignment of insurance proceeds could not be avoided and proceeds were not property of the estate.
Procedural posture

Creditor brought an adversary proceeding against bankruptcy trustee seeking a declaration that insurance proceeds paid to bankruptcy debtors as a result of a fire that destroyed the debtors' residence belonged to the creditor by assignment as the contractor which rebuilt the residence. The creditor and the trustee cross-moved for summary judgment.

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Consumer opinion summary, case decided on February 14, 2012 , LexisNexis #0312-019

Malone v. Golden (In re Malone)

Ruling
Creditor's telephone calls and emails to debtor violated discharge injunction.
Procedural posture

Debtors brought an adversary proceeding against creditor alleging that the creditor violated the bankruptcy discharge injunction by making telephone calls and sending emails to the debtors in an attempt to collect a loan debt which was discharged in the debtors' bankruptcy.

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Consumer opinion summary, case decided on January 19, 2012 , LexisNexis #0312-016

In re Prosperity Park LLC

Ruling
Relief from stay to proceed against debtor's property granted where debtor's chapter 11 plan could not be confirmed.
Procedural posture

In a Chapter 11 bankruptcy case, a debtor filed a motion seeking to confirm its first amended disclosure statement and plan of reorganization. A bank filed a motion seeking relief from the automatic stay.

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Commercial opinion summary, case decided on May 17, 2011 , LexisNexis #0611-042

In re Frank

Ruling
IRS entitled to claim payment for erroneous credit pursuant to terms of confirmed plan.
Procedural posture

An examiner sought instructions from the court as to the disbursal of funds to the IRS pursuant to the provisions of a confirmed plan. The debtor claimed the funds, asserting that nothing was owed on the IRS claim.

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Consumer opinion summary, case decided on March 09, 2011 , LexisNexis #0411-100

Andresen & Arronte PLLC v. Hill (In re Hill)

Ruling
Dischargeability proceeding dismissed as to debtor's spouse against whom there was no evidence of fraud.
Procedural posture

Creditor, a law firm which represented defendant debtors in a prepetition state court lawsuit (debtors were also defendants there), brought an adversary proceeding against debtors pursuant to 11 U.S.C.S. § 523(a)(2). At trial, debtors moved for directed verdict after the firm presented its case-in-chief. The court deferred a ruling on that motion until after debtors presented their case.

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Consumer opinion summary, case decided on March 23, 2010 , LexisNexis #0610-087

In re Siler

Ruling
Debtor's retirement plan contributions and loan obligations did not constitute special circumstances that would rebut the presumption of abuse.
Procedural posture

Based on a bankruptcy debtor's projected disposable income, the debtor presumptively abused chapter 7 bankruptcy, but the debtor asserted that disallowed expenditures constituted special circumstances to rebut the presumption based on the debtor's retirement plan contributions, a plan loan obligation, and a student loan obligation. The bankruptcy administrator moved to dismiss the debtor's case.

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Consumer opinion summary, case decided on March 23, 2010 , LexisNexis #0610-100

Starcher v. Mills (In re Starcher)

Ruling
Judgment based on debtor's re-sale of creditor's daughter's bridal dress prior to closing of store was discharged as not based on willful or malicious conduct or fraud.
Procedural posture

This matter was before the court in a trial for the purpose of determining the dischargeability of a $ 4,209 (plus interest and costs) judgment debt owed by plaintiff debtors to defendant creditor. The creditor objected to dischargeability of her judgment debt on the assertion that her daughter's dress (as well as a number of other brides' dresses) was knowingly resold by debtors to other brides before debtors' store closed in May 2008.

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Consumer opinion summary, case decided on December 31, 2009 , LexisNexis #0210-083