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In re Domingue

Ruling
Plan confirmed over objection of creditors to bifurcation of claim.
Procedural posture

The court held a hearing to consider confirmation of the debtor's amended chapter 13 plan. The sole objection to the plan was filed by a creditor holding a reverse mortgage on the debtor's primary residence, asserting that the plan violated 11 U.S.C.S. § 1322(b)(2) and failed to satisfy 11 U.S.C.S. § 1325(a)(5).

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Consumer opinion summary, case decided on September 10, 2012 , LexisNexis #1012-065

In re Morrison

Ruling
Community property owned by debtor with estranged spouse was property of the estate.
Procedural posture

Before the court was debtor's estranged spouse's (wife's) Motion to Object to Characterization of Assets, as amended and supplemented, seeking a determination that debtor's inclusion of certain community property in his bankruptcy schedules was improper under the theory that the subject property was her "sole management community property" and therefore not property of the estate under 11 U.S.C.S. § 541. A hearing was held.

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Consumer opinion summary, case decided on June 29, 2012 , LexisNexis #0912-126

In re Buchanan Land & Cattle Inc.

Ruling
Bank was entitled to funds from USDA in which it had an enforceable security interest.
Procedural posture

Under 11 U.S.C.S. § 506(b), a bank requested that a chapter 7 trustee remit to it the proceeds of checks issued by the United States Department of Agriculture (USDA). The trustee objected, contending that the bank had no enforceable interest in the funds.

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Commercial opinion summary, case decided on May 11, 2012 , LexisNexis #0612-044

In re Bastankhah

Ruling
Plan including balloon feature confirmed over creditor's objection.
Procedural posture

A hearing was held on confirmation of the chapter 11 debtors' third amended plan of reorganization. An objecting creditor disputed whether the plan met the requirements of § 1129(a)(11) and whether the plan satisfied the cramdown requirements of § 1129(b)(2)(A).

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Consumer opinion summary, case decided on January 18, 2012 , LexisNexis #0612-061

In re Moore

Ruling
Debtor could avoid judicial lien on funds frozen in account in favor of creditor.
Procedural posture

Chapter 13 debtors filed a motion to avoid a judicial lien against funds frozen in an account in favor of a creditor under 11 U.S.C.S. § 522(f)(1)(A). The creditor asserted that its interest did not constitute a judicial lien and therefore could not be avoided.

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Consumer opinion summary, case decided on December 29, 2011 , LexisNexis #0212-016

In re American Housing Found.

Ruling
Trustee's late application to employ tax expert granted as of filling date but not retroactively.
Procedural posture

A chapter 11 trustee filed an application to retroactively employ a tax expert and a first and final fee application for that expert.

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Commercial opinion summary, case decided on September 28, 2011 , LexisNexis #1111-038

In re AHF Dev. Ltd.

Ruling
Case filed by non-entity that failed to carry out its duties dismissed.
Procedural posture

Movants, including the U.S. Trustee (UST), moved per 11 U.S.C.S. § 1112 to dismiss the Chapter 11 case filed by debtor (Development) while cross-movants, various other parties in interest, asked the court to consolidate it with an affiliated case involving a different Chapter 11 debtor (Foundation) that was a non-profit entity that was Development's sole general partner and had caused Development to file its Chapter 11 in the first place.

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Commercial opinion summary, case decided on August 17, 2011 , LexisNexis #0911-060

Reed v. City of Arlington

Ruling
District court properly allowed trustee to collect undisclosed Family Medical Leave Act judgment on behalf of the estate.
Procedural posture

Debtor failed to disclose a Family Medical Leave Act judgment against appellant city in his bankruptcy case. The U.S. District Court for the Northern District of Texas estopped debtor from collecting the judgment, but allowed appellee bankruptcy trustee to collect on behalf of the estate. A panel of the court reversed, effectively vacating the judgment against the city. The panel opinion was vacated by the decision to rehear the case en banc.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on August 11, 2011 , LexisNexis #0911-034

Grossman v. Lothian Oil Inc. (In re Lothian Oil Inc.)

Ruling
Bankruptcy court may recharacterize claims as equity rather than debt pursuant to authority to allow or disallow claims.
Procedural posture

The U.S. District Court, for the Western District of Texas affirmed in part and reversed in part a bankruptcy court's ruling; it reversed the recharacterization of two claims as equity, declining to extend the concept of debt recharacterization to a non-insider creditor. The debtor appealed, challenging the district court's recharacterization decision. A creditor cross-appealed, contesting the remainder of the district court's holdings.

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on August 09, 2011 , LexisNexis #0911-006

Shah v. Morris (In re Morris)

Ruling
Damages for nonperformance of home inspection contract were dischargeable absent evidence of fraud.
Procedural posture

Creditors filed a complaint against chapter 7 debtors alleging that they were owed damages arising from the debtor husband's failure to adequately complete his obligations under a home construction contract and seeking a determination that the debt was nondischargeable under 11 U.S.C.S. § 523(a)(2)(A).

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Consumer opinion summary, case decided on July 11, 2011 , LexisNexis #0811-088