Judge Huennekens

In re Bradby

Chapter 13 trustee objected to an exemption claimed by the debtor.
Ruling: 
Subsequent death of debtor's co-owner of property by the entireties did not change ownership status as of petition date or affect exemption.
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Consumer case opionion summary, case decided on April 11,2011, LexisNexis #0511-052

Hubbard v. Stony Point Land Inc. (In re Stoney Point Land Inc.)

Plaintiff purchasers sought to terminate a real estate contract with defendant, a Chapter 11 debtor, and to obtain a refund of their deposit. The debtor sought an order compelling the purchasers to specifically perform their obligations under the contract.
Ruling: 
Bankruptcy appellate panel ordered specific performance of real estate contract by purchasers of debtor's property.
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Commercial case opionion summary, case decided on February 24,2011, LexisNexis #0311-106

Hagan v. Lawyers Title Ins. Corp. (In re LandAmerica Fin. Group Inc.)

Plaintiff employees filed an action in the Superior Court of California, Orange County, claiming that defendant employers owed them severance benefits. The employers removed the action to the U.S. Bankruptcy Court for the Central District of California, Southern Division, and that court transferred the action to the Eastern District of Virginia. The employees filed a motion to remand.
Ruling: 
Permissive abstention appropriate for dispute involving debtor's officers and employees to which debtor was not a party.
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Commercial case opionion summary, case decided on January 21,2011, LexisNexis #0211-101

Circuit City Stores Inc. v. Mitsubishi Digital Elecs. Am. Inc. (In re Circuit City Stores Inc.)

Plaintiff, chapter 11 debtors and the former operators of retail electronics stores, moved for partial summary judgment as to their objection to claims of defendant creditor, one of its regular suppliers of electronic items. At issue was whether the creditor could both claim an administrative expense under 11 U.S.C.S. § 503(b)(9) and utilize the value of the same goods in a 11 U.S.C.S. § 547(c)(4) new value defense to a preference claim.
Ruling: 
Creditor could not both claim an administrative expense for value of goods and utilize the value of the goods in a new value defense to a preference claim.
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Commercial case opionion summary, case decided on December 01,2010, LexisNexis #0111-019

Capital Funding & Consulting LLC v. Becker (In re Capital Funding & Consulting LLC)

Debtor-in-possession brought an adversary proceeding against defendant judgment creditors seeking to avoid the attachment of the creditors' judgment lien against real properties of the debtor under 11 U.S.C.S. § 547(b) as preferential transfers. The debtor and the creditor cross-moved for summary judgment.
Ruling: 
Lien attaching to property acquired by debtor within preference period could be avoided.
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Commercial case opionion summary, case decided on October 19,2010, LexisNexis #1110-095

In re Circuit City Stores Inc.

Named claimants filed claims on behalf of themselves and unnamed claimants, seeking recovery of money they alleged that debtors, affiliated corporations that declared Chapter 11 bankruptcy, owed former employees. The named claimants filed a motion which asked the court to apply Fed. R. Bankr. P. 7023 to their class proofs of claim pursuant to Fed. R. Bankr. P. 9014(c), and the debtors filed an objection to the motion.
Ruling: 
Class proofs of claim denied absent proper authorization from court.
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Commercial case opionion summary, case decided on May 28,2010, LexisNexis #0910-032

In re Circuit City Stores Inc.

Debtors in possession (DIPs), electronics retailers, moved for summary judgment on objections to reclamation claims asserted by respondents, creditors who claimed to have supplied products to DIPs within the 45-day period prior to the filing of the chapter 11 case. At issue was whether the creditors, by filing reclamation claims under 11 U.S.C.S. § 546(c), possessed claims that were either secured or entitled to priority under § 546(c).
Ruling: 
Right of reclamation extended only to goods provided to debtor, not to proceeds.
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Commercial case opionion summary, case decided on March 05,2010, LexisNexis #0510-095

Carter v. Brooms (In re Brooms)

Plaintiff, a purported assignee of a pre-bankruptcy judgment against defendant chapter 7 debtor, filed a complaint alleging that the debt was nondischargeable pursuant to 11 U.S.C.S. § 523(a)(19). At a status conference, the court raised the issues of whether the assignee was the real party in interest and whether the original judgment creditor retained any interest in the assigned judgment so as to preclude the assignee from representing her.
Ruling: 
Nondischargeability proceeding ordered dismissed unless creditor assignee provided evidence of assignment.
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Consumer case opionion summary, case decided on March 05,2010, LexisNexis #0510-090

Mondragon v. Circuit City Stores Inc. (In re Circuit City Stores Inc.)

Plaintiff, on behalf of himself and other non-union employees, filed a second amended complaint against defendant Chapter 11 debtor seeking relief for alleged violations of the Worker Adjustment and Notification Act, 29 U.S.C.S. § 2101 et seq. (WARN Act). The debtor filed a motion to dismiss pursuant to Fed. R. Civ. P. 12(b)(6), as made applicable by Fed. R. Bankr. P. 7012(b)(6).
Ruling: 
WARN Act claim against debtor employer arose prepetition and would be properly addressed by claim administration process not by adversary proceeding.
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Commercial case opionion summary, case decided on January 07,2010, LexisNexis #0310-009

In re Circuit City Stores Inc.

Claimants submitted requests for administrative expenses under 11 U.S.C.S. § 503(b)(9) for providing goods to bankruptcy debtors within 20 days prior to the bankruptcy petition date. The debtors moved for temporary disallowance of the claims under 11 U.S.C.S. § 502(d) pending a determination of whether the claimed expenses constituted avoidable preferential transfers.
Ruling: 
Administrative expense claim for goods provided to debtor 20 days prior to petition date temporarily disallowed pending determination of avoidability.
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Commercial case opionion summary, case decided on January 06,2010, LexisNexis #0210-078

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