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middle district of tennessee

N1 Creditors Trust v. Crown Packaging Corp. (In re Nukote Intl Inc.)

Ruling
Small-dollar home court venue exception applied to non-consumer, non-insider preference proceeding between creditors' trust and corporation.
Procedural posture

Plaintiff creditors' trust brought a non-consumer, non-insider preference action under 11 U.S.C.S. § 547(a) against defendant, a corporation that resided in Missouri, for an amount less than $11,725. The Missouri corporation moved to dismiss the preference proceeding for lack of proper venue, arguing that the action could only properly be brought in Missouri, pursuant to 28 U.S.C.S. § 1409(b).

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Commercial opinion summary, case decided on September 02, 2011 , LexisNexis #1011-030

Pigg v. BAC Home Loans Servicing LP (In re Pigg)

Ruling
Case ordered reopened and discharge set aside to allow sale of flood-damaged condominium unit to satisfy nondischargeable assessments.
Procedural posture

Chapter 7 debtor brought an adversary proceeding against defendants, a bank, a homeowners' association, and a loan servicer, seeking some form of equitable relief to stop her homeowner association dues and assessments (HOA dues) from continuing to accrue even though she permanently evacuated her condominium after a flood.

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Consumer opinion summary, case decided on June 24, 2011 , LexisNexis #1011-118

In re Beaudet

Ruling
Escrow shortage was a prepetition claim that could not be included in future mortgage payments.
Procedural posture

A debtor filed an objection to a creditor's amended proof of claim. A Chapter 13 trustee filed a motion to modify the debtor's ongoing mortgage payments to the creditor. The debtor objected to the trustee's motion because the revised ongoing payments included pre-petition escrow arrearages. At the hearing, the trustee stated his support for the debtor's position that pre-petition escrow shortages should not be included in ongoing future mortgage.

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Consumer opinion summary, case decided on April 13, 2011 , LexisNexis #0511-036

In re Hudson

Ruling
Chapter 12 plan confirmed as feasible given property and commitment from supplier to provide poultry.
Procedural posture

Debtors declared chapter 12 bankruptcy in October 2008, and they filed an amended plan for repaying their creditors and asked the court for permission to utilize funds held by the bankruptcy trustee and to incur credit. A secured creditor filed an objection to confirmation of the debtors' amended plan.

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Consumer opinion summary, case decided on March 15, 2011 , LexisNexis #0511-028

In re Mace

Ruling
Plan proposing 20-year loan repayment period did not discriminate against creditor.
Procedural posture

A creditor objected to confirmation of the second amended plan proposed by a Chapter 11 trustee on the ground that the plan unfairly discriminated against the creditor and that the plan was not fair and equitable as required by 11 U.S.C.S. § 1129(b)(2)(A).

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Consumer opinion summary, case decided on January 25, 2011 , LexisNexis #0211-129

Love v. Scott (In re Love)

Ruling
Costs assessed in debtor lawyer's disciplinary proceeding were compensation for actual pecuniary losses that were discharged so that nonpayment could not prevent reinstatement of license.
Procedural posture

Plaintiff bankruptcy debtor brought an adversary proceeding against defendant Chairman of the Tennessee Board of Professional Responsibility (TBPR) seeking a determination that the debtor's prior bankruptcy discharge precluded the TBPR from refusing to reinstate the debtor's license as an attorney until the debtor paid prior costs of disciplinary proceedings. The debtor and the Chairman cross-moved for summary judgment.

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Consumer opinion summary, case decided on January 12, 2011 , LexisNexis #0211-055

DeAngelis v. Gearhart (In re Gearhart)

Ruling
Chapter 7 case ordered dismissed or converted to chapter 13 for abuse due to excessive expenses and ability to fund plan.
Procedural posture

The United States Trustee (UST) moved to dismiss the debtors' bankruptcy petition, alleging that the totality of the debtors' financial situation demonstrated an abuse of Chapter 7 under 11 U.S.C.S. § 707(b)(3).

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Consumer opinion summary, case decided on November 22, 2010 , LexisNexis #0111-024

In re Fairview Club Props. LLC

Ruling
Confirmation of three identical plans filed in three separate cases denied on feasibility grounds.
Procedural posture

This matter came before the court on confirmation of debtors' chapter 11 Amended Plans of Reorganization dated October 4, 2010. Pending was a creditor's objection to confirmation in all three cases.

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Commercial opinion summary, case decided on November 02, 2010 , LexisNexis #1210-097

In re Spencer Creek Props.

Ruling
Creditor bank granted relief from stay in single asset real estate case.
Procedural posture

A creditor bank sought a determination whether the case was a "single asset real estate" (SARE) case as defined in the 11 U.S.C.S. § 101(51B), thus whether relief from the automatic stay was applicable under 11 U.S.C.S. § 362(d)(3).

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Commercial opinion summary, case decided on October 25, 2010 , LexisNexis #1210-005

In re Morris

Ruling
Debtor's fourth case in eight years dismissed with two-year filing bar for failure to pay fees or comply with credit counseling requirement.
Procedural posture

The U.S. Trustee filed a motion to dismiss a debtor's current case with prejudice based on the debtor's prior filings and his failure to comply with the requirements of 11 U.S.C.S. §§ 109 and 521. In support of its motion, the U.S. Trustee alleged that the debtor's case should be dismissed for cause pursuant to 11 U.S.C.S. § 1112(b)(4)(A) and (F).

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Consumer opinion summary, case decided on October 06, 2010 , LexisNexis #1110-061