Recent Opinions

ABI's Bankruptcy case opinion summaries website provides summaries of bankruptcy-related opinions issued by U.S. Bankruptcy Courts, District Courts and Circuit Courts of Appeal since 2005. Search almost 20,000 opinion summaries by keyword, relevant code section, court and judge. Opinion summaries are provided by our partner LexisNexis® Collier and are updated weekly.

In re Lovato

Respondent trustee filed a motion to dismiss petitioner debtor's chapter 7 bankruptcy petition for failure to submit payment advices, pursuant to 11 U.S.C. § 521(a)(1)(B)(iv) and (i). By an administrative order entered by the court on October 4, 2005, debtors were directed not to file the payment advices with the court, but to submit them to the chapter 7 trustee no later than 7 days before the date first set for the meeting of creditors.
Ruling: 
Debtor's case was dismissed since debtor failed to timely submit payment advices under section 521(a)(1)(B)(iv).
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In re Quintero

Petitioner debtor requested approval of her reaffirmation agreement with a secured creditor.
Ruling: 
Reaffirmation agreement was not approved and creditor was prohibited from repossessing car since agreement did not meet disclosure requirements of section 524(k).
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Salsberg v. Trico Marine Services (In re Trico Marine Servs.)

Plaintiffs brought an adversary proceeding to revoke a confirmation order. The court granted the motion for summary judgment made by defendant reorganized debtors on the ground that the revocation order could not protect innocent third parties, and would cause substantial uncertainty. Plaintiffs supplemented the record, which was treated as a motion for reargument. Plaintiffs also moved to supplement the record a second time.
Ruling: 
Court dismissed complaint seeking revocation of confirmed plan since a revocation order could not restore the status quo existing before confirmation.
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Egleston v. Egleston (In re Egleston)

Appellant, a chapter 7 debtor's former wife, sought review of a decision of the District Court for the Western District of Louisiana, which affirmed a bankruptcy court judgment granting summary judgment in favor of appellee debtor in the wife's adversary proceeding under 11 U.S.C. § 523(a)(5) to except from discharge various state court judgments rendered against the debtor for obligations under a divorce settlement order.
Ruling: 
Summary judgment ruling that debtor's wife's state court fees award was barred based on res judicata was reversed, but court otherwise affirmed ruling by finding that some of fees were void under section 524(a)(1) and remanded case for determination of fe
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Rydell v. Astorino (In re Baron Capital Props. L.P.)

Plaintiff bankruptcy trustee sued defendants, a former employee of bankruptcy debtors and a limited liability company, alleging business tort claims in state court. Defendants removed the action to the bankruptcy court which was adjudicating the debtors'bankruptcy, and the trustee moved for the bankruptcy court to abstain from hearing the matter.
Ruling: 
Motion for abstention was denied since case could not be timely adjudicated in state court.
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Sommers v. Katy Steel Co. (In re Contractor Tech. Ltd.)

Plaintiff bankruptcy trustee brought adversary proceedings against defendant subcontractors of a bankruptcy debtor, seeking turnover of alleged postpetition payments to the subcontractors under 11 U.S.C. § 549 where the subcontractors were issued checks prepetition by the debtor but the checks were cashed postpetition. The trustee and the subcontractors cross-moved for summary judgment.
Ruling: 
Trustee was entitled to recover payments since transfers occurred postpetition when checks were cashed not prepetition when checks were written.
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In re S. Beach Secs.

Debtor filed a petition for bankruptcy pursuant to chapter 11. The bankruptcy court dismissed the petition, finding that it had been filed in bad faith under 11 U.S.C. § 1112(b). Debtor appealed the decision.
Ruling: 
Court reversed dismissal based on bad faith finding and remanded to revisit bad faith filing issue.
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Caradon Doors & Windows Inc. v. Eagle-Picher Industries Inc.(In re Eagle-Picher Indus.)

Appellee manufacturer was named a defendant in a patent infringement case along with appellant debtor. The bankruptcy court agreed with the debtor that the patent infringement claim could not proceed because the confirmation of the 1996 reorganization plan discharged the manufacturer's claim, but the District Court for the Southern District of Ohio disagreed and reversed the bankruptcy court's decision.
Ruling: 
Reorganization plan did not discharge manufacturer's claim since the plan permitted certain administrative expense claims to be filed after the plan confirmation and the plan's definition of recoverable administrative expense claims covered the claims rai
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In re Oneida Ltd.

An ad hoc committee of equity security holders that had participated in these administratively consolidated cases since inception applied to the trustee for the appointment of a committee of equity security holders pursuant to 11 U.S.C. § 1102(a)(1). The trustee denied the request for appointment of a committee. The ad hoc committee moved for the appointment of a committee under 11 U.S.C. § 1102(a)(2).
Ruling: 
Court appointed official equity committee since the equity security holders met their burden of showing such a committee was necessary to avoid appearances of impropriety in debtor restructuring.
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In re Sven

Pursuant to Fed. R. Bankr. P. 9023 and 9024 and 11 U.S.C. § 105(a), movant victims sought to vacate debtor's chapter 7 bankruptcy discharge so that the victims could file dischargeability complaints against the debtor pursuant to 11 U.S.C. § 523(a)(6). The victims also sought to extend the time to file a complaint excepting to discharge.
Ruling: 
Motion to vacate discharge and extend time to file complaint excepting to discharge was denied since parties had been notified of deadline yet failed to timely file.
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In re Surprise

The debtors filed a motion against the creditor seeking damages for the creditor's alleged violation of 11 U.S.C. §§ 362 and 524. The creditor filed an opposition to the motion and oral argument was held.
Ruling: 
Debtor's motion for damages for creditor's alleged violation of automatic stay was denied.
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In re Hunt-Shannon

Petitioner debtors filed an objection to respondent creditor's proof of claim on a loan made to a debtor.
Ruling: 
Court required debtors to file an affidavit rebutting prima facie validity of creditor's proof of claim and held that debtors had burden of proving payment in full.
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MBNA America v. Horrocks (In re Horrocks)

Plaintiff creditor filed an adversary proceeding against defendant debtor, seeking a determination that a credit card debt owed by debtor was excepted from discharge under 11 U.S.C. § 523(a)(2)(A). Debtor moved for summary judgment.
Ruling: 
Merely accepting credit and incurring charges did not create an implied misrepresentation that would prevent discharge of credit card debt.
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In re Brooklyn Hosp. Ctr.

Chapter 11 debtor, a hospital and its affiliates, moved for an order, pursuant to 11 U.S.C. §§ 105(a) and 363(b), approving and authorizing the implementation of a key employee retention plan ("KERP") for the purpose of retaining key employees of the debtor. Two parties, the state nurses'association and the trustee, objected to the approval of the KERP.
Ruling: 
Motion to authorize implementation of a key employee retention plan ("KERP") was granted since the consideration received in exchange for the KERP payments served an important corporate interest.
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In re United Airlines

Appellant debtor airline appealed from the District Court for the Northern District of Illinois decision, which denied the airline's attempt to have a transaction treated as a loan rather than a lease for purposes of 11 U.S.C. § 365. Appellees, a city, a bank, and others, opposed the appeal.
Ruling: 
Court deemed that transaction between debtor airline and a bond issuer was a loan rather than a lease under section 365.
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