8th Circuit

Blue Skies Inc. v. Preece (In re Preece)

Defendant debtor appealed a judgment of the Bankruptcy Court for the District of Minnesota, which determined that his debts to plaintiff creditors were nondischargeable under 11 U.S.C. § 523(a)(2)(A).
Ruling: 
Debt properly held nondischargeable on grounds of fraud where debtor whose helicopter dealership had been terminated held self out as authorized dealer.
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Weems v. Cavaluzzi (In re Cavaluzzi)

Plaintiff creditor, the attorney who represented defendant debtor's former spouse in the couple's divorce proceedings, filed an adversary proceeding seeking a determination that the debts owed her were nondischargeable pursuant to 11 U.S.C. § 523(a)(5) and (a)(15).
Ruling: 
Attorneys'fees incurred by debtor's former spouse in defending child support order were nondischargeable.
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Lindquist v. Household Indus. Fin. Co. (In re Vondall)

Appellant creditor sought review of a decision of the Bankruptcy Court for the District of Minnesota, which granted summary judgment in favor of appellee chapter 7 trustee. The trustee obtained avoidance of the creditor's purported mortgage on the debtors'homestead, pursuant to 11 U.S.C. § 544.
Ruling: 
Trustee properly allowed to avoid defective mortgage as bona fide purchaser.
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Exchange Bank v. Macek (In re Macek)

Plaintiff creditor filed a complaint objecting to discharge for defendant debtors, pursuant to 11 U.S.C. § 727(a)(2) and (4). The creditor asserted that the debtors failed to disclose assets in their bankruptcy schedules.
Ruling: 
Debtors'mistaken reliance on attorney's advice with regard to preparation of schedules did not give rise to denial of discharge.
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In re Luton

Chapter 13 trustee filed an objection to confirmation of the plan proposed by debtor. The issue was whether the term "applicable commitment period" in 11 U.S.C. § 1325(b) referred to the required duration of a chapter 13 plan, or whether the term was the multiplier used to calculate the minimum amount the debtor must pay to unsecured creditors to obtain a discharge.
Ruling: 
Confirmation denied due to commitment period of less than three years.
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In re Wayne Engg Corp.

Chapter 7 trustee filed objections to the proof of claim of creditor consultant, alleged to be for $282,500, which the consultant was entitled to priority. The trustee argued that the claim, which arose out of a consulting agreement with debtor's prepetition receiver, should be denied.
Ruling: 
Receiver's consultant was not entitled to administrative expense claim for sale of debt in which it did not participate and from which receiver did not benefit.
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In re Ferando

The United States Trustee ("UST") moved to dismiss the debtor's chapter 7 case pursuant to 11 U.S.C. § 707(b)(2) on the grounds that the filing constituted a substantial abuse of the provisions of chapter 7.
Ruling: 
Fluctuating income from commissions did not create "special circumstances" sufficient to rebust presumption of abuse.
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Sells v. Porter (In re Porter)

Plaintiff judgment creditor filed two complaints against defendant debtors, pursuant to 11 U.S.C. § 523(a)(6), concerning a judgment that the creditor obtained in an underlying civil lawsuit for employment discrimination. The two adversary proceedings were consolidated and the creditor filed motions for summary judgment.
Ruling: 
Judgment for sexual harassment and retaliation was based on willful and malicious injury and nondischargeable.
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Capital One Auto Fin v. Osborn (In re Osborn)

Plaintiff creditor appealed a decision of the Bankruptcy Court for the Western District of Missouri, which confirmed defendant debtors' chapter 13 plan and allowed the creditor's claim as fully secured.
Ruling: 
Secured creditor was not entitled to deficiency claim where debtor surrendered vehicle in full satisfaction of claim.
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Huisinga v. Greater Quad City Auto Auction (In re Hocken)

Plaintiff, a chapter 7 trustee, filed an action against defendant, an auto auction company (auction), to obtain turnover of proceeds, pursuant to 11 U.S.C. § 550, that the trustee claimed belonged to the estate.
Ruling: 
Trustee could avoid return of vehicle to auction house where it had been purcahsed by debtor.
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