- 11 U.S.C.
Northwest Bank & Trust Co. v. Edwards (In re Edwards)
Jun
10
2011
Ruling
Consent judgment in state court was dischargeable absent proof of debtor's intent to deceive.
Procedural posture
This matter was before the court after trial on the sole issue of whether defendant debtors intended to deceive plaintiff creditor on its complaint pursuant to 11 U.S.C.S. § 523(a)(2)(B) seeking a determination of nondischargeability of a debt resulting from a consent judgment entered in state court proceedings against debtors.
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Court
:
- 11 U.S.C.
Success Bank v. McPherson (In re McPherson)
May
26
2011
Ruling
Collateral estoppel could not be applied in dischargeability proceeding based on state court default judgment that did not specify whether fraud count was included.
Procedural posture
Creditor filed a complaint against chapter 7 debtors seeking a determination that a debt for monies loaned to a car dealership, which was personally guaranteed by the debtor husband, was nondischargeable under 11 U.S.C.S. § 523(a)(2)(A) or (a)(2)(B). The creditor filed a motion for summary judgment based on a state court judgment and the theory of collateral estoppel.
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Court
:
- 11 U.S.C.
In re VanDyke
May
12
2011
Ruling
Confirmation denied due to improper operating expense deduction for older, inoperable vehicle.
Procedural posture
A Chapter 13 trustee objected to confirmation of a Chapter 13 plan filed by a debtor.
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Court
:
- 11 U.S.C.
Butler v. National Bank (In re Butler)
Mar
02
2011
Ruling
Creditor's pursuit of claim resulting in jailing of debtor for civil contempt and subsequent acceptance of payment violated discharge injunction.
Procedural posture
Movant debtor sought a contempt order and damages against defendant bank, a secured creditor of debtor that persisted, post-discharge, to pursue claims against debtor relating to certain equipment in which it had a security interest, on the ground that defendant had committed a wilful and intentional violation of the discharge injunction in 11 U.S.C.S. § 524. At issue was the permitted scope of post-discharge efforts to enforce defendant's liens.
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Court
:
In re Eckberg
Jan
27
2011
Ruling
Damages claim in chapter 12 case based on rejected contracts that contained delayed pricing provisions were not entitled to administrative expense status.
Procedural posture
In a Chapter 12 debtor's case, movant, a grain buyer, filed a motion for allowance of an administrative priority claim under 11 U.S.C.S. § 503(b).
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Court
:
- 11 U.S.C.
Northwest Bank & Trust Co. v. Edwards (In re Edwards)
Nov
09
2010
Ruling
Consent judgment was dischargeable as it did not acknowledge falsity or intent to deceive.
Procedural posture
Plaintiff creditor filed a complaint against defendant Chapter 7 debtors seeking a determination of nondischargeability of a debt resulting from a state court consent judgment based on the language of that judgment. Alternatively, the creditor alleged that the debt was nondischargeable under 11 U.S.C.S. § 523(a)(2)(B). The creditor moved for summary judgment, alleging that the consent judgment should be given preclusive effect.
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Court
:
- 28 U.S.C.
Rafool v. Evans (In re Central Ill. Energy LLC)
Jun
16
2010
Ruling
Bankruptcy court decided to abstain from hearing legal malpractice case based allegedly erroneous bankruptcy filing advice.
Procedural posture
Plaintiff chapter 7 Trustee brought a malpractice complaint against defendants, an attorney and a law firm. The matter was before the court on a Motion to Abstain filed by defendants. Defendants asked the court to exercise its right of permissive abstention under 28 U.S.C.S. § 1334(c)(1). The Trustee opposed the motion.
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Blesdoe v. Bledsoe (In re Bledsoe)
Jun
01
2010
Ruling
State court judgment establishing fiduciary defalcation was nondischargeable.
Procedural posture
After plaintiff claimant won a state court judgment against debtor, plaintiff's brother, on account of debts arising out of a joint business venture that failed, which judgment was listed in debtor's chapter 13 filing, plaintiff filed a complaint for a declaration that the debt represented by the judgment was nondischargeable per 11 U.S.C.S. § 523(a)(2)(A) and (a)(4). One issue was the claim preclusion effect, if any, of the state court judgment.
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Court
:
- 11 U.S.C.
In re Stenstrom
Mar
25
2010
Ruling
Confirmation denied due to "phantom expenses" claimed in vehicles controlled by co-debtor.
Procedural posture
A debtor sought confirmation of her chapter 13 plan. The trustee objected, arguing the plan, which was not paying unsecured creditors in full, violated 11 U.S.C.S. § 1325(b)(1)(B), which required that all projected disposable income be paid to unsecured creditors under her plan. The trustee argued the debtor improperly claimed expenses for a motor home or a fifth wheel as a second vehicle while a co-debtor was using and paying for those vehicles.
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Court
:
- 11 U.S.C.
In re Furlong
Mar
19
2010
Ruling
Stay extended on reconsideration due to debtor's rebuttal of bad faith presumption.
Procedural posture
A chapter 13 debtor filed a motion for reconsideration of an order denying his motion to extend the automatic stay under 11 U.S.C.S. § 362(c)(3)(B). The debtor's ex-wife, a creditor, objected to the motion.
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Court
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