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eastern district of tennessee

ONeil v. Goode (In re Goode)

Ruling
Default judgment for return of child support payments was dischargeable where creditor could have reasonably concluded he was not the father of debtor's child.
Procedural posture

Debtor filed a motion for summary judgment in plaintiff judgment creditor's action, which sought a determination that a state court judgment was nondischargeable pursuant to 11 U.S.C.S. § 523(a)(2)(A).

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Consumer opinion summary, case decided on February 08, 2011 , LexisNexis #0311-082

Weir v. Chadwick (In re Chadwick)

Ruling
Debtor's transfer of assets to family limited partnership was constructively fraudulent.
Procedural posture

Creditors brought an adversary proceeding against defendant bankruptcy debtor alleging that the debtor's transfer of an interest in the debtor's residence as a tenant by the entirety to a family limited partnership was actually and constructively fraudulent under Tenn. Code Ann. § 66-3- 305(a), and thus the transfer was avoidable.

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Consumer opinion summary, case decided on February 07, 2011 , LexisNexis #0311-022

Bowling v. Jones (In re Jones)

Ruling
Judgment claim was nondischargeable by virtue of res judicata.
Procedural posture

Judgment creditors filed a motion for summary judgment in their action against defendant debtor, which sought a determination that a judgment awarded them against the debtor was res judicata and nondischargeable pursuant to 11 U.S.C.S. § 523(a)(2), (a)(3)(A), (a)(4), and/or (a)(6).

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Consumer opinion summary, case decided on January 21, 2011 , LexisNexis #0211-105

In re Senior Hous. Alternatives Inc.

Ruling
Income stream assigned to creditor's predecessor in interest was "cash collateral" and could be used by debtors.
Procedural posture

A secured creditor of Chapter 11 debtor filed a motion to prohibit the debtor's use of cash and for relief from the automatic stay. The debtor filed a motion to determine that the cash was free and clear of the creditor's lien or, alternatively, for use of cash collateral if it was subject to the creditor's lien.

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Commercial opinion summary, case decided on January 19, 2011 , LexisNexis #0211-042

Kennedy v. Access Group Loan Servicing (In re Kennedy)

Ruling
Undue hardship discharge of student loan debt denied as debtor had not maximized income potential.
Procedural posture

Debtor, an attorney, brought an adversary complaint seeking a determination that it would be an undue hardship for her to repay her student loans owed to the defendants/counter-plaintiff creditors pursuant to 11 U.S.C.S. § 523(a)(8). The creditors filed a joint motion for summary judgment, and the debtor failed to file a responsive statement of uncontroverted facts in accord with Bankr. E.D. Tenn. R. 7056-1(b).

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Consumer opinion summary, case decided on January 11, 2011 , LexisNexis #0211-085

In re Wolff

Ruling
Law firm not entitled to fees for postpetition services to trustee not sought after or authorized by trustee.
Procedural posture

This contested matter was before the court on the Objection to Claims (Objection) filed by the Chapter 7 Trustee, objecting to the unsecured claim filed by a law firm in the amount of $21,220 for "Services Rendered" to debtors. The firm sought compensation for services rendered debtors in connection with the negotiated settlement of a Florida Adversary Proceeding. The firm filed a Response asking the court to overrule the Objection.

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Consumer opinion summary, case decided on November 30, 2010 , LexisNexis #0111-007

In re Morgan

Ruling
Debtor whose spouse operated Ponzi scheme allowed homestead exemption and partial avoidance of judicial lien of spouse's trustee.
Procedural posture

Debtor, the wife of a Ponzi scheme operator, claimed a homestead exemption in her real property. Her trustee and the spouse's bankruptcy trustee filed objections to that exemption and to her claim of an exemption in certain garnished funds. Debtor also moved to avoid the spouse's trustee's judicial lien to the extent that it impaired her exemptions.

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Consumer opinion summary, case decided on November 29, 2010 , LexisNexis #0111-008

In re Dozier

Ruling
Proof of claim filed four years after bar date disallowed but would not be discharged.
Procedural posture

Almost four years following the bar date for filing claims in a chapter 13 case, a creditor filed a claim based on a revived state court judgment. The debtor argued that the claim was time-barred, that the revival state court proceeding was void as a violation of the automatic stay, and that the statute of limitations to enforce the judgment had passed.

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Consumer opinion summary, case decided on November 19, 2010 , LexisNexis #1210-137

In re Stokes

Ruling
Postpetition real property taxes allowed as administrative expense claim.
Procedural posture

This case was before the court on the Application and Request for Payment of Administrative Expenses filed by the City of Chattanooga, Tennessee, on July 16, 2010. Specifically, the City sought an order directing the payment of certain real property taxes as administrative expenses of the chapter 13 estate pursuant to 11 U.S.C.S. § 503(b)(1)(B)(i). The chapter 13 trustee opposed the Application.

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Consumer opinion summary, case decided on October 08, 2010 , LexisNexis #1110-041

King v. Spivey (In re Spivey)

Ruling
Debt resulting from debtor's misappropriation of funds from LLC was nondischargeable.
Procedural posture

Plaintiffs, a limited liability company (LLC) and two members, brought a complaint against defendant debtor, asking the court to award them a money judgment and requesting a determination that the judgment was nondischargeable under 11 U.S.C.S. § 523(a)(2), 523(a)(4), and/or 523(a)(6).

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Consumer opinion summary, case decided on October 07, 2010 , LexisNexis #1110-048