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Wilborn v. Wells Fargo Bank (In re Wilborn)

Ruling
Class certification granted in debtors' proceeding alleging that mortgage creditor improperly collected fees during pendency of cases.
Procedural posture

Debtors filed an action against mortgage company alleging that it collected attorneys' fees, costs, and other charges from chapter 13 debtors without the appropriate disclosures or court approval as required by 11 U.S.C.S. § 506(b) and Fed. R. Bankr. P. 2016. The debtors filed a motion for class certification.

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Consumer opinion summary, case decided on March 24, 2009 , LexisNexis #0709-136

North Bay Gen. Hosp. Inc. v. McNaull (In re North Gen. Hosp. Inc.)

Ruling
Pleadings in unrelated case that might show pattern of wrongdoing by debtor's former lawyers regarding retention ordered unsealed.
Procedural posture

Plaintiff filed a motion to unseal pleadings that were sealed pursuant to an agreed order in a prior, unrelated bankruptcy case. Defendant law firm objected to the motion.

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Commercial opinion summary, case decided on March 18, 2009 , LexisNexis #0809-108

In re Cypresswood Land Partners I

Ruling
Chapter 11 plan confirmed with sua sponte modifications by bankruptcy court.
Procedural posture

Debtor moved for confirmation of its chapter 11 plan. The issues were the proper meaning of a "party-in-interest" under 11 U.S.C.S. § 1109(b), whether a non-voting class could be deemed to have accepted a chapter 11 plan, and whether and to what extent the "new value exception" relating to 11 U.S.C.S. § 1129(b)(2)(B)(ii) should be recognized.

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Commercial opinion summary, case decided on January 20, 2009 , LexisNexis #0309-018

In re Texas Std. Oil Corp.

Ruling
Debtor could not assign interest in oil and gas lease for no consideration.
Procedural posture

Debtor, an oil company, filed a petition under chapter 11 of the Bankruptcy Code, and asked the court for permission to assign its interests in an oil and gas lease to a partnership (LP). The debtor's creditors filed an objection to the debtor's motion.

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Commercial opinion summary, case decided on November 12, 2008 , LexisNexis #0209-109

In re Gilbreath

Ruling
Debtor's objection to proofs of claim sustained due to creditor's failure to provide adequate documentation.
Procedural posture

Debtors filed a petition under chapter 13 of the Bankruptcy Code, and a creditor filed seven proofs of claim. The debtors filed an objection to the creditor's proofs.

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Consumer opinion summary, case decided on October 14, 2008 , LexisNexis #1208-112

In re Perry

Ruling
Debtor could not abandon interest in property directly to mortgagee.
Procedural posture

A bankruptcy debtor was a co-obligor under a mortgage and the debtor moved to abandon his interest in the mortgaged real property directly to the mortgagee in full satisfaction of the mortgagee's secured claim.

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Consumer opinion summary, case decided on October 14, 2008 , LexisNexis #0209-121

In re Hight

Ruling
Objection to mortgagee's proof of claim sustained with regard to alleged escrow shortage and a portion of pre- and postpetition fees.
Procedural posture

A mortgagee secured by a bankruptcy debtor's real property submitted a proof of claim in the debtor's bankruptcy for the principal of the mortgage loan, arrearages, late charges, property preservation/inspection fees, pre-petition attorney fees and costs, escrow shortage, and post- pertition attorney fees. The debtor objected to the mortgagee's proof of claim.

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Consumer opinion summary, case decided on August 13, 2008 , LexisNexis #1008-018

In re Prevo

Ruling
Morgagee's claim for additional fees and costs disallowed.
Procedural posture

A chapter 13 debtor objected to a mortgage lender's claim for previously accrued late charges, foreclosure fees and costs, "BPO"fees, and escrow advances.

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Consumer opinion summary, case decided on August 07, 2008 , LexisNexis #1208-078

In re Prevo

Ruling
Transfer of tax liens was not a security interest and was subject to modification.
Procedural posture

A creditor of a chapter 13 debtor objected to confirmation of the debtor's chapter 13 plan on the grounds that the debtor was not permitted to modify the interest rate on the debt owed to the creditor pursuant to 11 U.S.C.S. § 1322(b)(2) and § 511.

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Consumer opinion summary, case decided on August 06, 2008 , LexisNexis #1208-051

In re Brodowski

Ruling
Negative equity in 910 vehicle loan was not secured by purchase money security interest and not protected from bifurcation under hanging paragraph.
Procedural posture

A creditor of a chapter 13 debtor objected to confirmation of the debtor's chapter 13 plan, which proposed to bifurcate the creditor's claim under 11 U.S.C.S. § 506, on the grounds that the hanging paragraph at the end of 11 U.S.C.S. § 1325 did not permit the debtor to cram down its claim.

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Consumer opinion summary, case decided on July 22, 2008 , LexisNexis #1008-003