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In re Engman

In re Engman

Ruling
Trustee could not settle with lienholders over objections of debtor and unsecured creditors.
Procedural posture

A chapter 7 trustee sought approval pursuant to Fed. R. Bankr. P. 9019(a) of settlements reached by him with various lienholders and the co-owners of property in which the bankruptcy estate also held an interest, and the authority to make distributions on account of those liens and co-interests. The debtor and an unsecured creditor objected. The court issued a scheduling order setting out the standard to be used in considering the request.

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Consumer opinion summary, case decided on October 08, 2008 , LexisNexis #0109-104