Smith v. Ford Motor Credit Co. LLC (In re Smith)
Sep
13
2010
Ruling
Repossession of vehicle did not violate discharge injunction as creditor was within rights to decline debtor's alleged assumption of lease.
Procedural posture
Plaintiff Chapter 7 debtors commenced an action against defendant creditors for damages arising out of the creditors' post-discharge repossession of a leased motor vehicle. Contempt damages were sought on the grounds that the repossession violated the discharge injunction. In addition, the debtors sought damages under state law for breach of the lease agreement. The creditors filed a motion to dismiss under Fed. R. Civ. P. 12(b)(6).
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Court
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