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Lardas v. Grcic

Ruling
An aunt lacked standing to raise her claim that partners schemed to deprive her nephew of hisinterest in a shopping center as the interest has already been sold to good faith purchasers. (7thCir.)
Issue(s)
Use, Sale, or Lease of Property; Notice and Hearing.

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Court :
Consumer opinion summary, case decided on February 03, 2017 , LexisNexis #0317-006

Liebzeit v. Intercity State Bank FSB (In re Blanchard)

Ruling
Mortgage on vendor's interest in land contract was valid under state law and had priority over trustee's avoidance powers.
Issue(s)
Whether a bankruptcy trustee could use his strong arm powers under 11 U.S.C.S. § 544(a)(3) to avoid a bank's mortgage on the debtors' property, which was subject to a land contract, so he could use their vendor's interest in the land contract for the benefit of unsecured creditors.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on April 14, 2016 , LexisNexis #0516-055

Estate of Cora v. Jahrling (In re Jahrling)

Ruling
Debt for legal malpractice was nondischargeable due to fiduciary defalcation.
Issue(s)
Was legal malpractice claim based on debtor attorneys' representation of client with whom there was a language barrier, resulting in the client's sale of home for a low price and eviction, properly held to be nondischargeable due to fiduciary defalcation?

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on March 18, 2016 , LexisNexis #0416-050

Smith v. SIPI LLC (In re Smith)

Ruling
Tax sale of debtors' property properly avoided as constructively fraudulent.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on January 20, 2016 , LexisNexis #0216-090

Brown v. UAL Corp. (In re UAL Corp.)

Ruling
Motion to reopen case to allow debtor's former employee to pursue discrimination claims properly denied due to creditor's long delay in filing.
Issue(s)
Did the bankruptcy court err in denying creditor employee's motion to reopen the debtor company's chapter 11 case, which was closed in 2009, in order to pursue pre-petition state-law claims of employment discrimination arising from his discharge in 2001?

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on December 31, 2015 , LexisNexis #0116-109

State Bank of Toulon v. Covey (In re Duckworth)

Ruling
Security agreement referencing incorrect date of promissory note could not be enforced against the trustee.
Issue(s)
Whether a secured lender can use parol evidence against a bankruptcy trustee to save a security agreement from a mistaken description of the debt to be secured?

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on November 21, 2014 , LexisNexis #1214-094

Spaine v. Community Contacts Inc.

Ruling
Debtor had standing to pursue employment law suit abandoned by trustee and allegedly disclosed orally to the bankruptcy court.
Issue(s)
Should debtor be judicially estopped from pursuing her employment discrimination case because she had failed to list it in the schedules of her bankruptcy petition, but sought and obtained leave to reopen her bankruptcy case to amend her disclosures to include the employment discrimination claim and testified that she orally disclosed the employment discrimination claim to the bankruptcy court long before the employer filed its motion for summary judgment?

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on April 17, 2014 , LexisNexis #0714-061

Grede v. FCStone LLC

Ruling
Prepetition transfer to investor was made in connection with a securities contract and was protected from avoidance by the safe harbor provision.
Issue(s)
Could debtor investment management firm's prepetition transfer of assets to one customer group at the expense of another be avoided?

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on March 19, 2014 , LexisNexis #0414-023

In re OReilly & Collins

Ruling
Stay prevented creditor from pursuing alter ego claims in state court where claims coincided with fraudulent transfer claims in debtor's bankruptcy.
Issue(s)
Did bankruptcy court properly hold that creditor's state court alter ego action against partner in debtor law firm was subject to the automatic stay?

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Commercial opinion summary, case decided on February 03, 2014 , LexisNexis #0714-007

In re Knight-Celotex

Ruling
Debtor companies' D&O claims against debtor could be assigned to bank.
Procedural posture

Appellant debtor appealed the decision by the United States District Court for the Northern District of Illinois, Eastern Division, affirming a bankruptcy court's order permitting the debtor companies' (companies) chapter 7 bankruptcy trustee to assign to a bank certain causes of action that the companies' estate held against the debtor as an individual. The debtor and the companies had filed separate bankruptcy proceedings.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on September 05, 2012 , LexisNexis #1012-005