Judge Cox

Herzog v. Petty (In re Petty)

Trustee filed an adversary proceeding against chapter 7 debtor, seeking a determination that the debtor was not eligible under 11 U.S.C.S. § 727(a)(2), (a)(4), and (a)(5) to have his debts discharged. Although the debtor testified at three meetings of creditors that were held pursuant to 11 U.S.C.S. § 341, he failed to answer the trustee's complaint.
Ruling: 
Discharge denied due to failure to list interest in or income from LLC.
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Consumer case opionion summary, case decided on October 06,2011, LexisNexis #1111-057

Estate of Gray v. McDermott (In re Estate of Gray)

Chapter 11 debtor, the estate of a decedent, challenged a decision of the U.S. Bankruptcy Court for the Eastern District of Michigan, which dismissed the debtor's chapter 11 case nunc pro tunc.
Ruling: 
Case properly dismissed because probate estate was not an eligible debtor.
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Consumer case opionion summary, case decided on September 06,2011, LexisNexis #0911-106

Jan S. Weinstein & Assocs. v. Lymberopoulos (In re Lymberopoulos)

Plaintiff creditor, a law firm, filed a complaint against defendant Chapter 7 debtor to determine the dischargeability of a debt owed to the law firm pursuant to 11 U.S.C.S. § 523(a)(6).
Ruling: 
Attorneys' fees assessed against debtor in protective order proceeding were nondischargeable.
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Consumer case opionion summary, case decided on July 13,2011, LexisNexis #0811-051

In re Dental Profile Inc.

After the bankruptcy petitions of corporate debtors were dismissed, a creditor moved for sanctions pursuant to Fed. R. Bankr. P. 9011 against the debtors, the sole principal of the debtors, and the debtors' counsel asserting that the bankruptcy petitions were filed for the improper purpose of frustrating, hindering, and delaying the creditor's collection of a judgment against the debtors.
Ruling: 
Debtor and principal sanctioned for filing case to frustrate lender and delaying collection of judgment.
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Commercial case opionion summary, case decided on March 31,2011, LexisNexis #0711-030

In re Hall-Walker

Debtor filed a motion seeking damages for violation of the automatic stay pursuant to 11 U.S.C.S. § 362(k), alleging that the automatic stay was violated when collection efforts were pursued while the stay was in effect. Damages were sought against respondent, her ex-husband's attorney in the domestic relations case (hereafter "respondent").
Ruling: 
Efforts to enforce prepetition debt in domestic relations case was a willful violation of stay.
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Consumer case opionion summary, case decided on February 22,2011, LexisNexis #0311-075

ExpressDrop Inc. v. Mateyko (In re Mateyko)

Creditor filed this adversary complaint objecting to the discharge of a debt arising from an agreed judgment order in a state court action where the creditor accused defendant debtor of theft of trade secrets and intellectual property. After the settlement was entered, the debtor filed for relief under chapter 7 of the Bankruptcy Code. The creditor filed this nondischargeability action under 11 U.S.C.S. § 523(a)(a)(A) and § 523(a)(6).
Ruling: 
Settlement of action accusing debtor of theft of trade secrets and intellectual property was nondischargeable.
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Consumer case opionion summary, case decided on September 27,2010, LexisNexis #1010-088

In re FLA Owner VI Inc.

The chapter 11 debtor filed a motion to establish sales procedures, set a hearing date on the sale, and approve the form of notice concerning the sale of the debtor's interest in its real estate, free and clear of all liens and other interests pursuant to 11 U.S.C.S. § 363(f).
Ruling: 
Sale of property to non-insider for fair and reasonable compensation approved.
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Commercial case opionion summary, case decided on August 18,2010, LexisNexis #0111-047

Gander Partners LLC v. Harris Bank (In re Gander Partners LLC)

Debtors brought an adversary proceeding against defendant creditor seeking to enjoin the creditor from pursuing state-court actions against principals of the debtors who guaranteed repayment of loans to the debtors by the creditor. The debtors moved for a preliminary injunction.
Ruling: 
Creditor enjoined from pursuing action against debtor's principals who had guaranteed loans.
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Commercial case opionion summary, case decided on July 16,2010, LexisNexis #1010-003

In re Fenn

Debtors proposed a plan which provided for avoidance of a creditor's junior mortgage lien which was wholly unsecured, and the creditor objected to confirmation of the debtors' plan.
Ruling: 
Valuation of secured claim at zero for confirmation purposes did not result in disallowance or voiding of lien.
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Consumer case opionion summary, case decided on May 17,2010, LexisNexis #0710-083

In re J.S. II LLC

Creditors, the purchasers of two residences in a debtor's development, were alleged to have violated the automatic stay by filing a postpetition civil action against that debtor and several other defendants, after the creditors filed a creditors' claim in the debtors' jointly administered estate case.
Ruling: 
Purchasers of two residences in debtor's development violated stay by filing civil suit based on prepetition claims.
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Commercial case opionion summary, case decided on April 09,2010, LexisNexis #0610-107

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