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Judge Gould

Motor Vehicle Cas. Co. v. Thorpe Insulation Co. (In re Thorpe Insulation Co.)

The District Court for the Central District of California affirmed a bankruptcy court's confirmation of a chapter 11 plan of reorganization under 11 U.S.C.S. § 524(g), a special provision for the reorganization of companies facing substantial asbestos-related liability. Appellants insurance companies did not reach settlements with debtor insulation companies and had been denied standing to challenge the reorganization plan.
Ruling: 
Confirmation revoked as plan of debtor facing asbestos liability was not insurance neutral and non-settling insurers had a right to participate in approval process.
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Commercial case opionion summary, case decided on April 03,2012, LexisNexis #0412-121

Meruelo Maddux Properties-760 S. Hill St. LLC v. Bank of Am. N.A. (In re Meruelo Maddux Props. Inc.)

A bankruptcy court refused to apply the single asset real estate provisions of 11 U.S.C.S. §§ 101(51B), 362(d)(3), to appellant debtor and its sister subsidiaries. The U.S. District Court for the Central District of California reversed, holding there was no whole enterprise exception, and granted appellee creditor relief from the automatic stay. The debtor appealed.
Ruling: 
District court properly reversed bankruptcy court holding to find that there is no "whole business enterprise" exception to single asset real estate provisions of the Bankruptcy Code.
ABI Membership is required to access the full summary of Meruelo Maddux Properties-760 S. Hill St. LLC v. Bank of Am. N.A. (In re Meruelo Maddux Props. Inc.). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Commercial case opionion summary, case decided on January 27,2012, LexisNexis #0212-076

Motor Vehicle Casualty Co. v. Thorpe Insulation Co. (In re Thorpe Insulation Co.)

Appellant non-settling insurers appealed the judgment of the United States District Court for the Central District of California that affirmed a bankruptcy court's confirmation of a chapter 11 plan of reorganization under 11 U.S.C.S. § 524(g) of appellee debtors and held that the plan was insurance neutral, the insurers did not have standing to object to the plan, and the plan preempted the insurers' state law contract rights.
Ruling: 
Plan that might economically effect debtor's insurers in substantial ways was not insurance neutral, giving insurers standing to object to confirmation.
ABI Membership is required to access the full summary of Motor Vehicle Casualty Co. v. Thorpe Insulation Co. (In re Thorpe Insulation Co.). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Commercial case opionion summary, case decided on January 24,2012, LexisNexis #0212-061

Shulkin Hutton Inc. PS v. Treiger (In re Owens)

Appellee debtor filed for chapter 11 bankruptcy, claiming her home as her only significant asset. Appellee ex-husband filed a motion to dismiss the bankruptcy case as a bad faith filing under 11 U.S.C.S. § 1112(b). A bankruptcy court granted the motion. Appellant law firm creditor filed an appeal. The Court of Appeals for the Ninth Circuit, Bankruptcy Appellate Panel affirmed the bankruptcy court. The creditor appealed.
Ruling: 
Bankruptcy court did not err in dismissing chapter 11 case rather than converting the case to chapter 7.
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Consumer case opionion summary, case decided on January 15,2009, LexisNexis #0509-019

Shulkin Hutton Inc. v. Treiger (In re Owens)

Appellant, a law firm creditor of a debtor, sought review of a decision of the Ninth Circuit Bankruptcy Appellate Panel (BAP), which affirmed a bankruptcy court's dismissal of the debtor's chapter 11 case based on a determination that it was filed in bad faith under 11 U.S.C.S. § 1112(b).
Ruling: 
Chapter 11 case filed just prior to court ordered sale of home in debtor's divorce properly dismissed for bad faith.
ABI Membership is required to access the full summary of Shulkin Hutton Inc. v. Treiger (In re Owens). Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member
Consumer case opionion summary, case decided on December 31,2008, LexisNexis #0209-017
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