Middle District

Tennessee Commerce Bank v. Cox (In re Cox)

Plaintiff creditor filed a complaint seeking a determination that its debt was non-dischargeable under 11 U.S.C.S. § 523(a)(3) because defendant debtor failed to list or schedule the creditor. The chapter 13 debtor filed a motion to enlarge the time to file a claim on the creditor's behalf pursuant to Fed. R. Bankr. P. 9006(b)(1).
Ruling: 
Debt that debtor failed to schedule was nondischargeable and delayed motion to file proof of claim on behalf of creditor was denied.
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Consumer case opionion summary, case decided on May 21,2010, LexisNexis #0810-119

In re Burgess

A creditor filed a motion for relief from the automatic stay to continue state court litigation against a limited liability corporation (LLC) for breach of a lease agreement. A Chapter 7 trustee opposed the motion, asserting that the stay applicable to the debtor should be extended to prohibit actions against the LLC because its membership interests were owned entirely by the debtor.
Ruling: 
State court action against LLC of which debtor held 100 percent member interest was not subject to automatic stay.
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Consumer case opionion summary, case decided on April 26,2010, LexisNexis #0710-036

In re Allen

After a confirmation hearing on the debtors' proposed Chapter 13 plan, the court took under advisement the issue of whether the debtors' loan from a creditor that renewed and combined prior loans destroyed the loan's purchase money security interest (PMSI) character, therefore removing it from the protections of 11 U.S.C.S. § 1325's hanging paragraph.
Ruling: 
Consolidation and renewal of 910 vehicle loans destroyed purchase money security interest character of debt and removed loans from protection of hanging paragraph.
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Consumer case opionion summary, case decided on April 09,2010, LexisNexis #0710-062

In re Barnhills Buffet Inc.

A county tax collector filed a motion for allowance of an administrative expense claim for unpaid ad valorem personal property taxes for 2008 and 2009 pursuant to 11 U.S.C.S. § 503(b)(1)(B). The chapter 7 trustee objected to the claim.
Ruling: 
Claim filed by county for personal property taxes after conversion to chapter 7 was not entitled to administrative expense status.
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Commercial case opionion summary, case decided on February 24,2010, LexisNexis #0510-046

In re Fairvue Club Props. LLC

A chapter 11 debtor filed an application to employ a law firm as counsel. The United States Trustee (UST) objected to the proposed employment pursuant to 11 U.S.C.S. § 327(a), alleging that the law firm had substantial connections to individuals and entities in the case that created either an actual or apparent conflict of interest.
Ruling: 
Debtor could retain law firm with connection to secured creditor subject to curative measures.
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Commercial case opionion summary, case decided on February 12,2010, LexisNexis #0410-106

In re Daily

A chapter 11 debtor filed a motion to disallow the claim of a creditor, which was based on a state court judgment that was pending on appeal.
Ruling: 
Judgment that debtor appealed without posting bond was enforceable under state law and a valid basis for creditor's claim.
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Consumer case opionion summary, case decided on January 11,2010, LexisNexis #0310-010

In re Enders

After the court confirmed a debtor's chapter 13 plan, the debtor filed an expedited motion to modify the plan to surrender the real estate and disallow a creditor's claim.
Ruling: 
Debtor could modify plan to surrender real estate and disallow creditor's claim absent creditor's objection.
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Consumer case opionion summary, case decided on January 11,2010, LexisNexis #0310-027

In re Commissary Operations Inc.

Plaintiff chapter 11 debtor filed motions for declaratory judgment regarding the use of 11 U.S.C.S. § 503(b)(9) administrative invoices in an 11 U.S.C.S. § 547(c)(4) subsequent new value defense to a preference claim. Defendant creditors objected and filed motions for partial summary judgment on the same issue.
Ruling: 
Prepetition administrative expense invoices could be used in subsequent new value defense to avoidance.
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Commercial case opionion summary, case decided on January 06,2010, LexisNexis #0210-090

Sumner Anesthesia Assocs. v. Hubbell

Plaintiffs, present shareholders in a professional association, brought a declaratory judgment action against defendants, a former shareholder and his attorneys. Plaintiffs sought summary judgment on the grounds that defendants failed to disclose an underlying state court case when the former shareholder filed for bankruptcy, and defendants had no standing to pursue the state court case. Defendants moved for summary judgment and for sanctions.
Ruling: 
District court case dismissed and bankruptcy case reopened to allow estate to pursue claim not previously disclosed.
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Commercial case opionion summary, case decided on December 17,2009, LexisNexis #0110-057

Ampharm Inc. v. Samples (In re Samples)

Plaintiff creditor brought an adversary proceeding against defendant bankruptcy debtor seeking a determination that a debt to the creditor from the debtor's limited liability company (LLC) which provided pharmacy services was a nondischargeable debt of the debtor under 11 U.S.C.S. § 523(a)(2) based on the debtor's fraud.
Ruling: 
Debt owed by LLC of which debtor was sole member was dischargeable with respect to debtor.
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Consumer case opionion summary, case decided on December 11,2009, LexisNexis #0110-116

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