In re Laprade
Aug
09
2007
Ruling
Claim received one day after bar date disallowed on debtor's objection.
Procedural posture
The debtors filed for relief under chapter 13 and the creditor filed a proof of claim in the case. The debtors objected to the claim, pursuant to 11 U.S.C. § 502(b) and Fed. R. Bankr. P. 3002, a hearing was held on the matter.
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Court
:
- 11 U.S.C.
National Energy & Gas Transmission Inc. v. Liberty Elec. Power LLC (In re National Energy & Gas Transmission Inc.)
Jul
10
2007
Ruling
Debt was not reduced by payments received from guarantor but was capped at amount due under original agreement on petition date.
Procedural posture
In appellant debtors'chapter 11 proceeding, appellee creditor was paid the full amount due under the parties'electricity tolling agreement. The creditor allocated the amount first to interest, then to principal, continuing to assert a claim against the debtors for the full amount. The Bankruptcy Court for the District of Maryland allowed the claim, and the district court affirmed. One debtor appealed.
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- 11 U.S.C.
In re Ajay Sports Inc.
Jun
12
2007
Ruling
Damages claim for at-will discharge was not subject to cap as not based on employment contract.
Procedural posture
The debtors filed an objection, based on 11 U.S.C. § 502(b)(7), objected to a creditor's proof of claim.
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Court
:
- 11 U.S.C.
In re Connectix Corp.
May
10
2007
Ruling
Landlord's capped claim for unpaid commercial rent allowed but less draws on letter of credit.
Procedural posture
Creditor, the former commercial landlord of the debtor, filed a claim in the amount of $2,335,283.99 based on the debtor's future lease obligations. The chapter 7 trustee, the debtor, and its major shareholders, objected to the amount of claim, and asserted that, under the correct application of 11 U.S.C. § 502(b)(6), the landlord's recovery from the bankruptcy estate to $446,246.99.
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Court
:
Travelers Cas. & Sur. Co. of Am. v. PG&E
Mar
20
2007
Ruling
Surety's contractual claim for attorney's fees incurred litigating bankruptcy law issues should have been allowed absent statutory exception.
Procedural posture
Petitioner, a workers' compensation surety, filed a claim in the bankruptcy of respondent debtor, the surety's insured, and litigated certain language in the debtor's reorganization plan. Upon the grant of a writ of certiorari, the surety appealed the judgment of the Ninth Circuit, which affirmed the disallowance of the surety's amended claim for contractual attorney fees incurred in the bankruptcy litigation.
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In re Taylor
Mar
05
2007
Ruling
Retail consumer creditor's claims disallowed due to failure to submit required documentation.
Procedural posture
Debtor filed objections to four claims filed by creditor, an apparent assignee of retail consumer accounts. Debtor argued that creditor failed to demonstrate any enforceable agreement establishing a debt to it pursuant to 11 U.S.C. § 502(b), failed to meet the minimum requirements to establish a prima facie proof of claim pursuant to Fed. R. Bankr. P. 3001(c), failed to attach sufficient supporting documentation to the proofs of claim.
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Court
:
- 11 U.S.C.
In re Lasky
Feb
22
2007
Ruling
State procedural requirements are not incorporated into bankruptcy claims process and could not render debt unenforceable.
Procedural posture
Chapter 7 debtors objected to certain proofs of claims filed by general unsecured creditors. Debtors argued that the claims at issue should be disallowed under the "applicable law" language of 11 U.S.C. § 502(b)(1). The "applicable law" relied upon was Cal. Code Civ. Proc. § 454 and the Fair Debt Collections Practices Act ("FDCPA"), 15 U.S.C. §§ 1692, 1692a-1692p.
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Court
:
- 11 U.S.C.
In re Tri-State Ethanol Co. LLC
Nov
13
2006
Ruling
Bank allowed prepayment charge provided for in loan agreement with debtor.
Procedural posture
Before the court in debtor's chapter 7 matter was creditor bank's 11 U.S.C. § 506(b) Motion for Allowance of Prepayment Charge. The trustee and another financial company objected to the motion. By its motion, the bank sought payment of a prepayment charge referenced in various lending-related documents.
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Court
:
- 11 U.S.C.
1500 Mineral Springs Assocs. LP v. Gencarelli
Nov
08
2006
Ruling
Case remanded for review of debtor's level of financial distress and reconsideration of cap on creditors'claims.
Procedural posture
Appellant creditors sought review of three orders issued by a U.S. Bankruptcy Court, which: (1) denied their motion to dismiss appellee debtor's individual chapter 11 petition for lack of good faith; (2) limited the creditors'claims against a corporate debtor for past and future rent to the amount provided by 11 U.S.C. § 502(b)(6); and (3) authorized an interim distribution to the individual debtor. The issues were consolidated for review.
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Court
:
Cluff v. eCast Settlement
Sep
29
2006
Ruling
Proofs of claim that were not prima facie valid were sufficient absent evidence from debtors to rebut merits.
Procedural posture
Appellant debtors filed separate bankruptcy cases. Appellee unsecured creditors filed proofs of claim in their respective cases. The debtors filed objections to many of the proofs of claim under 11 U.S.C. § 502(b) and Fed. R. Bankr. P. 3001. The bankruptcy court overruled the debtors'objections. The debtors appealed.
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Court
: