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District of indiana

In re Brian Wise Trucking Inc.

Ruling
Relief from stay not necessary after additional adequate protection payments were ordered.
Procedural posture

A debtor filed for relief under chapter 11. A creditor filed a motion for relief from the automatic stay under 11 U.S.C.S. § 362(d). After a trial , the court ordered payments of $682 per month and found that the collateral was necessary to the reorganization. The parties were asked to submit briefs on issues that were pending after trial.

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Commercial opinion summary, case decided on February 27, 2008 , LexisNexis #0508-109

Thompson v. CitiMortgage Inc. (In re Thompson)

Ruling
Debtor could seek damages for emotional distress due to creditor's stay violation.
Procedural posture

Defendant creditors filed a Fed. R. Civ. P. 12(b)(6) motion to dismiss plaintiff debtor's complaint for damages for emotional distress, pursuant to 11 U.S.C.S. § 362(h), based on a violation of the automatic stay and the Real Estate Settlement Procedures Act (RESPA), 12 U.S.C.S. § 2605.

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Consumer opinion summary, case decided on February 22, 2008 , LexisNexis #0408-027

Conn-Selmer Inc. v. Bamber

Ruling
Postpetition contract entered into outside ordinary course of debtor's business without bankruptcy court approval was unenforceable.
Procedural posture

Plaintiff creditor and third-party defendant, a subsidiary of the creditor, filed a Fed. R. Civ. P. 12(b)(6) motion to dismiss the counterclaim and third-party claim of defendants, the owner of a debtor company, for tortious interference with a pending contract between the debtor and a non-party company, which had agreed to take over the debtor's lease.

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Commercial opinion summary, case decided on February 07, 2008 , LexisNexis #0308006

In re Sexton

Ruling
Motions to avoid liens as impairing exemptions denied absent information regarding amount of exemptions claimed.
Procedural posture

Movant debtors filed motions to avoid judicial liens held by a trust company, a finance company, and an LLC, pursuant to 11 U.S.C.S. § 522(f)(1).

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Consumer opinion summary, case decided on January 11, 2008 , LexisNexis #0308-079

In re Orzel

Ruling
Divorce related debt owed directly to debtor spouse's attorney was not entitled to priority.
Procedural posture

The creditor, the attorney who had represented the debtor spouse in their recent divorce proceeding, filed a claim in the amount of $ 1,734.99, and the proof of claim stated that it was entitled to priority as a claim for alimony, maintenance or support owed to a spouse, former spouse, or child pursuant to 11 U.S.C.S. § 507(a)(7) as written prior to October 17, 2005. The debtors objected to the priority status of the claim.

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Consumer opinion summary, case decided on January 04, 2008 , LexisNexis #0308-129

Reed v. Aid Assocs. Inc.

Ruling
Contract under which sole remaining performance required was payment was not executory and did not need to be assumed or rejected.
Procedural posture

Plaintiff debtors sued defendants, a retail installment contract assignee and a debt collector, alleging that the assignee defamed them and that the collector violated the Federal Debt Collection Practices Act ("FDCPA") when attempting to collect the amount owed on the contract. The assignee filed a motion seeking to stay the proceedings and to compel arbitration with regard to the state law defamation claim asserted against it by the debtors.

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Consumer opinion summary, case decided on December 07, 2007 , LexisNexis #0108-060

In re Baker

Ruling
Stay lifted postdischarge as to abandoned property.
Procedural posture

A creditor filed a motion for relief from the automatic stay of 11 U.S.C.S. § 362(a) in a chapter 7 bankruptcy case and for the abandonment of its collateral from the bankruptcy estate. A debtor objected to the motion.

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Consumer opinion summary, case decided on December 04, 2007 , LexisNexis #0308-077

Warsco v. Drew (In re Drew)

Ruling
Debtor's interest in trust which debtor was entitled to receive on petition date was subject to turnover.
Procedural posture

Plaintiff bankruptcy trustee brought an adversary proceeding against defendants, the trustees of a trust, including the bankruptcy debtor, seeking turnover under 11 U.S.C.S. § 542(a) of the debtor's interest in the trust as a trust beneficiary. The trustee moved for summary judgment, and the trustees did not respond to the motion.

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Consumer opinion summary, case decided on November 29, 2007 , LexisNexis #0308-133

Revere v. Nelnet (In re Revere)

Ruling
Court refused to grant undue hardship discharge of student loan debt where debtor failed to show hopelessness of repayment.
Procedural posture

Plaintiff debtor filed an adversary proceeding to determine the dischargeability of a student loan pursuant to 11 U.S.C.S. § 523(a)(8) owed to defendant creditor.

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Consumer opinion summary, case decided on October 22, 2007 , LexisNexis #0308-118

In re Hubbard

Ruling
Debtors could not deduct expenses for motor vehicles owned free and clear.
Procedural posture

The chapter 13 trustee objected to confirmation of the debtors' proposed plan, arguing that the plan did not fulfill the disposable income test of 11 U.S.C.S. § 1325(b), based on the debtors' scheduling on Official Bankr. Form B22C, of ownership expense deductions for two motor vehicles which did not secure any claim, and which were owned free and clear of any liens by the debtors.

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Consumer opinion summary, case decided on October 12, 2007 , LexisNexis #0308-125