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6th circuit

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 Desert Vill. Ltd. Pship

Ruling
Court sustained the debtor's objection to the creditor's proof of claim as to the additional amount listed but not to the claim itself since debtor listed an amount owed to the creditor on the petition.
Procedural posture

The debtor in possession filed for chapter 11 bankruptcy relief. Claimant creditor filed a proof of claim for moneys owed for accounting services provided prepetition to the debtor in possession. The debtor in possession objected to the proof of claim. The court held a hearing on the objection.

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opinion summary, case decided on January 09, 2006 , LexisNexis #0206-046

In re Cable & Wireless USA Inc.

Ruling
Taxing authority was denied a motion to file a late proof of claim since excusable neglect was not found where the taxing authority had delayed more than a year in requesting to file the proof of claim.
Procedural posture

Creditor, a state taxing authority, filed a motion for leave to file a late proof of claim. The claim was for overdue unemployment insurance taxes. The trustee of the liquidating trust filed an opposition to the motion.

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opinion summary, case decided on January 06, 2006 , LexisNexis #0406-070

In re Phar-Mor Inc.

Ruling
Lessors were entitled to administrative rent claims for postpetition rent from the petition date to the contract rejection date.
Procedural posture

The cause was before the court on the parties'cross motions for summary judgment on the amount, if any, lessors should be allowed as (i) administrative expenses on lessors'Amended Applications and Requests for Administrative Expenses (Claim Nos. -26 and -09), and (ii) Lessors'proofs of claims, as amended (Claim Nos. 1922 and 1924) for damages arising from the rejection of lessors'equipment leases. Debtor objected to the lessors'four claims.

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opinion summary, case decided on January 05, 2006 , LexisNexis #0206-105

Ingham County v. Strojny (In re Strojny)

Ruling
Judgment held by a county for overpayment to a debtor was deemed dischargeable since the debtor did not intend to injure the county by overbilling.
Procedural posture

Plaintiff creditor was a county that had entered into a public construction contract with defendant debtor. Due to a billing error, the debtor was overpaid for work on the project. The county obtained a judgment against the debtor. The county filed the instant adversary proceeding against debtor seeking a determination that the debt was nondischargeable pursuant to 11 U.S.C. § 523(a)(2)(A), (a)(4) and /or (a)(6).

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opinion summary, case decided on January 05, 2006 , LexisNexis #0206-110

Cook v. Terlecky (In re Cook)

Ruling
Bankruptcy court did not abuse its discretion in approving a compromise and settlement of state court litigation involving sale of real property since no creditors objected to the sale and the sale was unlikely to be rescinded.
Procedural posture

Appellee trustee and purchaser moved for approval of a compromise and settlement of state court litigation involving real property in which appellant debtor claimed an interest. The bankruptcy court granted the motion. The debtor appealed.

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Court :
Judge or Jurisdiction information not available
opinion summary, case decided on January 04, 2006 , LexisNexis #0106-130

Jaffe v. Dawson (In re Dawson)

Ruling
Debt was deemed nondischargeable since the creditor met the creditor's burden of showing that a state court judgment was preclusive on the dischargeability issue.
Procedural posture

Plaintiff creditor filed an adversary proceeding against defendants, debtors, seeking a determination that the debt owed to him was nondischargeable pursuant to 11 U.S.C. § 523(a)(2)(A). The creditor moved for summary judgment based on collateral estoppel.

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opinion summary, case decided on January 04, 2006 , LexisNexis #0306-125

Kovacs v. Sargent (In re Sargent)

Ruling
Trustee as successor to the debtor's remainderman interest in property could not sell the property in which the debtor's mother had maintained a life estate interest.
Procedural posture

Plaintiff, a chapter 7 trustee, filed an action against defendants, the debtor, and a co-owner in a remainder interest in property, to obtain approval pursuant to 11 U.S.C. § 363(h) to sell the property on behalf of the bankruptcy estate. The trustee and the debtor filed cross-motions for summary judgment.

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opinion summary, case decided on January 04, 2006 , LexisNexis #0206-032

ETS Payphones Inc. v. AT&T Universal Card (In re PSA Inc.)

Ruling
Funds transferred by the debtor's former employee to a bank were recoverable by the debtor since the employee misappropriated the funds postpetition without authorization from the court.
Procedural posture

Plaintiff debtor filed the instant adversary proceeding against defendant bank, alleging that the payments made by a former employee of debtor to the bank were fraudulent transfers. Debtor sought to avoid and recover the transferred funds pursuant to 11 U.S.C. §§ 549 and 550. The bank moved for summary judgment under Fed. R. Civ. P. 56.

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opinion summary, case decided on December 28, 2005 , LexisNexis #0206-118

Darrah v. Franklin Credit (In re Darrah)

Ruling
Debtor could not bring an adversarial proceeding against the mortgage holder since the claim itself was estate property and, thus, a claim that only the trustee could bring.
Procedural posture

Plaintiff bankruptcy debtor brought an adversary proceeding against defendant, the holder of the mortgage on the debtor's residence, alleging that the holder violated the Real Estate Settlement Procedures Act. The debtor did not list the claim against the holder in his bankruptcy schedules, and the holder moved for summary judgment based on the debtor's lack of standing.

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opinion summary, case decided on December 23, 2005 , LexisNexis #0206-027