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District of tennessee

Educ. Credit Mgmt. Corp. v. Barrett (In re Barrett)

Ruling
Discharge of the debtor's student loans due to undue hardship was affirmed even though the debtor did not present expert evidence concerning the debtor's medical problems.
Procedural posture

Appellant creditor sought review of an order of the Bankruptcy Court for the Northern District of Ohio that discharged appellee debtor's student loans as the result of undue hardship pursuant to 11 U.S.C. § 523(a)(8).

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Court :
Judge or Jurisdiction information not available
opinion summary, case decided on March 02, 2006 , LexisNexis #0306-087

Wellman v. Salt Creek Valley Bank (In re Wellman)

Ruling
Dismissal of debtors'chapter 13 case was affirmed since a substantial deficit in plan payments showed the debtors had materially defaulted in performing under their plan's terms.
Procedural posture

Debtors appealed from the bankruptcy court's orders: (1) dismissing their chapter 13 case with prejudice; and (2) denying their motion to reconsider the order of dismissal. Appellee was a first lienholder on a parcel of unimproved land adjacent to debtors'residence.

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Court :
Judge or Jurisdiction information not available
opinion summary, case decided on January 26, 2006 , LexisNexis #0206-020

In re Johnson

Ruling
Creditor could not foreclose on the debtor's home since the stay did not automatically end after 30 days with respect to the debtor's home and thus remained in effect until the debtor's case was dismissed or discharged.
Procedural posture

The court conducted a hearing on debtor's motion to extend the automatic stay and the creditor's opposition thereto. The court granted debtor's motion in open court and asked debtor's attorney to submit an order. The court signed the order granting the motion, but due to the nature of the creditor's opposition to the motion, the court entered a memorandum opinion clarifying its ruling.

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opinion summary, case decided on January 09, 2006 , LexisNexis #0306-005

In re Blurton

Ruling
Debtors were not granted administrative fees for payment of attorneys' fees since their counsel was not employed by or approved by the trustee.
Procedural posture

Debtors filed a motion for payment of an administrative claim under 11 U.S.C. § 503(b). The debtors sought payment of attorney's fees and reimbursement of appraisal costs. They also requested reimbursement for mileage and for "administrative hours" composed of the personal time both debtors spent on the case. Both the chapter 7 trustee and the United States trustee filed objections.

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opinion summary, case decided on December 13, 2005 , LexisNexis #0106-011

In re Wilson

Ruling
Debtors were denied unopposed motions to impose automatic stays despite prior recent filings since they did not overcome presumption of bad faith.
Procedural posture

Three chapter 13 debtors filed motions asking the court to extend the automatic stay beyond the 30-day automatic expiration period set forth in 11 U.S.C. § 362(c)(3)(A). A creditor of one of these debtors opposed the motion. Two other chapter 13 debtors filed unopposed motions to impose the automatic stay pursuant to section 362(c)(4)(B).

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opinion summary, case decided on December 05, 2005 , LexisNexis #0106-038

Followell v. United States (In re Gurley)

Ruling
Confirmation of debtor's plan did not discharge debtor's tax liability since it is a debt excepted from discharge.
Procedural posture

The debtor underwent a bankruptcy in a Chapter 11 proceeding. After the debtor's death, plaintiff personal representative reopened the debtor's case and sued defendant, the U.S. government, by its agency, the Internal Revenue Service (IRS), to determine liability for interest and penalties on taxes from before the bankruptcy filing. The parties filed cross-motions for summary judgment.

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opinion summary, case decided on November 07, 2005 , LexisNexis #0106-012

Farmer v. Green Tree Serv. LLC (In re Snelson)

Ruling
Trustee could not avoid creditor's lien since the creditor's security interest was perfected despite a clerical error in the description of the collateral.
Procedural posture

Plaintiff, a chapter 7 trustee in bankruptcy, filed an adversary complaint seeking to avoid a lien on the debtor's mobile home held by defendant creditor, pursuant to 11 U.S.C. § 544, to recover the value of the mobile home for the benefit of the debtor's estate under 11 U.S.C. § 551. The trustee claimed the lien was avoidable due to a clerical error in the description of the collateral. Both parties moved for summary judgment.

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opinion summary, case decided on September 13, 2005 , LexisNexis #0206-013

In re Jenkins

Ruling
Creditor was denied motion to reopen bankruptcy case but only because the creditor was not listed as a creditor and could pursue a separate nondischargeability proceeding regarding damages claim at any time.
Procedural posture

Moving creditor sought to reopen a bankruptcy case to permit filing a motion to modify or amend the order of discharge and for relief from the discharge injunction, so the creditor could bring a claim against the debtor for the unauthorized use and conversion of the creditor's house boat in the Circuit Court for Knox County, Tennessee.

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opinion summary, case decided on August 16, 2005 , LexisNexis #0106-084

Mostoller v. CitiCapital Commer. Corp. (In re Stetson & Assocs.)

Ruling
Trustee could not avoid a creditor's lien and did not have priority over the creditor's interests since the creditor's interests were perfected at the time of filing.
Procedural posture

Plaintiff chapter 7 trustee brought an adversary complaint to avoid several liens against personal property of the debtor that were held by defendant creditor pursuant to financing statements filed pursuant to Tenn. Code Ann. § 47-9-101 et seq. (Article 9 of the Uniform Commercial Code.) The creditor moved for relief from the automatic stay and for abandonment by the trustee of the bankruptcy estate's interest in the collateral.

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opinion summary, case decided on August 03, 2005 , LexisNexis #0206-014

Chattanooga Agric. Credit Assoc. v. Davis (In re Davis)

Ruling
Consent decree was not valid for nondischargeability determination and creditor's untimely delay in filing adversary proceeding led to dismissal.
Procedural posture

Plaintiff creditor brought an adversary proceeding against defendant bankruptcy debtor seeking a declaration that a debt owed to the creditor by the debtor was not dischargeable. The debtor moved to dismiss the complaint as untimely filed under Fed. R. Bankr. P. 4007(c), the creditor acknowledged the untimeliness but asserted equitable estoppel and equitable tolling.

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opinion summary, case decided on August 02, 2005 , LexisNexis #0106-104