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District of california

In re Gould

Ruling
IRS denied modification of stay and not permitted to offset debtor's unpaid tax liabilities against refunds.
Procedural posture

The United States of America, for itself and on behalf of the Internal Revenue Service ("IRS), filed a motion to modify the automatic stay of 11 U.S.C.S. § 362 to permit it to offset, pursuant to 11 U.S.C.S. § 553, pre-petition income tax liabilities owed by the debtor against pre- petition income tax refunds.

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Consumer opinion summary, case decided on June 13, 2008 , LexisNexis #0908-135

In re Roby

Ruling
Late proof of claim allowed over debtor's objection in absence of prejudice.
Procedural posture

A debtor in a chapter 11 bankruptcy case filed an amended objection to a creditor's claim to the proceeds of the sale of the debtor's property.

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Consumer opinion summary, case decided on June 09, 2008 , LexisNexis #0708-043

In re Morales

Ruling
Redemption value of vehicle set at Blue Book value on date of hearing.
Procedural posture

Debtor moved for authority to redeem personal property and approval of associated financing under 11 U.S.C.S. § 722. The matter was before the court to determine the appropriate method for calculating the replacement value of a vehicle under the retail value standard of the second sentence of 11 U.S.C.S. § 506(a)(2).

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Consumer opinion summary, case decided on May 08, 2008 , LexisNexis #0608-087

In re Comstock

Ruling
Case was not presumptively abusive where second vehicle in question was necessary for commuting as older vehicle was unreliable.
Procedural posture

The United States Trustee moved to dismiss the debtor's chapter 7 case pursuant to 11 U.S.C.S. § 707(b)(2) on the grounds that the filing was presumptively abusive. The sole remaining issue for the court to decide was whether the debtor's second automobile was necessary for the production of income or her health and welfare.

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Consumer opinion summary, case decided on April 30, 2008 , LexisNexis #0608-084

In re Sanchez

Ruling
Request to reopen no-asset case to include omitted creditors denied since there would be no resulting change to state of affairs.
Procedural posture

A pro se debtor filed an ex parte request to reopen a bankruptcy case to schedule an omitted debt.

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Consumer opinion summary, case decided on April 23, 2008 , LexisNexis #0608-008

White v. Brown (In re White)

Ruling
Bankruptcy court did not err in ordering turnover of proceeds of sale of debtor's homestead.
Procedural posture

Debtor challenged an order from the Bankruptcy Court for the District of Arizona, which ordered the turnover of the proceeds from the sale of his Arizona homestead under 11 U.S.C.S. § 542(a).

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on April 22, 2008 , LexisNexis #1008-100

Stasz vv. Gonzalez (In re Stasz)

Ruling
Debtor sanctioned for failure to appear at hearing or produce documents.
Procedural posture

Appellant debtor challenged an order from the Bankruptcy Court for the Central District of California, which granted the motion of appellee trustee and found the debtor in civil contempt after she failed to appear and produce documents at a Fed. R. Bankr. P. 2004 examination. The bankruptcy court imposed sanctions against the debtor.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on April 15, 2008 , LexisNexis #0608-034

In re Sandifer

Ruling
Filing by above median debtors living frugally in order to continue funding retirement accounts was not abusive.
Procedural posture

The U.S. Trustee asked the court to dismiss the chapter 7 case filed by debtors, a married couple, on the ground that debtors, by continuing to fund retirement accounts, had shown that their chapter 7 filing was abusive within the meaning of 11 U.S.C.S. 707(b)(3)(B).

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Consumer opinion summary, case decided on April 14, 2008 , LexisNexis #0608-018

Betta Prod. v. Distribution Sys. & Serv. (In re Betta Prod.)

Ruling
Warehouse was not liable for conversion of inventory, treated as cash collateral, where debtor continued to sell the inventory after abandonment.
Procedural posture

Debtor, a seller of paper and party products, filed an adversary proceeding against defendant warehouse, asserting that the warehouse negligently performed its duties under a contract and converted its inventory. The debtor sought damages for alleged shortfalls of inventory.

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Commercial opinion summary, case decided on April 11, 2008 , LexisNexis #0608-058

In re Zamani

Ruling
Creditor not entitled to default rate of interest where not specified in original contract.
Procedural posture

The debtor proposed a plan of reorganization that would cure or pay off three promissory notes held by the secured creditor bank. Because the debt to the creditor was over- secured, it is entitled to recover interest on its claims under 11 U.S.C.S. § 1124(2). The parties disagreed, however, whether the bank was entitled to recover interest at default rate under its agreements with the debtor, or must be satisfied with interest at the basic rate.

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Consumer opinion summary, case decided on April 07, 2008 , LexisNexis #0808-022