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northern district of georgia

In re Dan River Inc.

Ruling
Financial advisor could not compel immediate payment of administrative expense claim where prohibited by confirmed plan.
Procedural posture

Financial advisor for chapter 11 debtors filed a motion for an order compelling the reorganized debtors to pay a final fee, or, alternatively, for entry of judgment on a final fee. The motion was opposed by the debtors and the official committee of unsecured creditors.

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opinion summary, case decided on September 26, 2006 , LexisNexis #0107-136

Georgia Lottery Corp. v. Premji (In re Premji)

Ruling
Debtor's failure to turn over lottery proceeds of which he was a fiduciary under state law rendered debt nondischargeable.
Procedural posture

Plaintiff creditor filed an adversary proceeding complaint against defendant chapter 7 debtor seeking a determination that the debt owed to it by the debtor was nondischargeable under 11 U.S.C. § 523(a)(4). The creditor moved for summary judgment as to its claim.

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opinion summary, case decided on September 14, 2006 , LexisNexis #1206-022

In re Jordan

Ruling
Attorneys' fees substantially reduced due to errors and unnecessary, non-beneficial work performed.
Procedural posture

Counsel to debtors in possession in this chapter 11 case sought court approval of his application for fees in the amount of $22,264.20 and reimbursement of expenses of $17.18.

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opinion summary, case decided on September 01, 2006 , LexisNexis #1206-011

In re Holliday

Ruling
Unscheduled judgment claim against third party was not abandoned upon closing of no asset case.
Procedural posture

After debtor's chapter 7 bankruptcy proceeding was closed on a "no asset" determination, the trustee filed a motion for a redetermination of the estate's assets based on debtor's ownership of judgments against a third party (maker) that arose from a prepetition cause of action. At issue was whether the claim against the maker had been abandoned by operation of law under 11 U.S.C. § 554(c).

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opinion summary, case decided on August 31, 2006 , LexisNexis #1206-031

Wells Fargo Bank v. Alexander (In re Alexander)

Ruling
Motion for stay pending appeal of order for relief from stay absent facts supporting likihod of success.
Procedural posture

Respondent debtor filed a motion for a stay pending appeal of an order, which granted movant creditor's request for relief from the automatic stay and for in rem relief.

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opinion summary, case decided on August 23, 2006 , LexisNexis #1206-008

Goodman v. GMAC Mortgage (In re Turner)

Ruling
Creditor was not entitled to payment of attorneys' fees from excess foreclosure proceeds where fees were attributable to creditor's inefficiency and incompetency.
Procedural posture

Movant chapter 13 trustee filed a motion seeking guidance as to the disbursement of the excess funds from the foreclosure sale of a debtor's property. Respondent creditor sought payment of its second mortgage from the foreclosure proceeds.

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opinion summary, case decided on August 14, 2006 , LexisNexis #1206-120

First National Bank of Griffin v. Wyatt-Frizell (In re Frizell)

Ruling
Debt secured by motor vehicles was nondischargeable where debtor lacked ability to make payments at time of loan and disposed of vehicles without lender's knowledge.
Procedural posture

Plaintiff bank filed an adversary complaint against defendant debtor in her chapter 7 bankruptcy seeking an order holding that a particular debt was nondischargeable. When debtor failed to respond to plaintiff's request for admissions, the facts stated therein were deemed admitted. Plaintiff then moved for summary judgment. When debtor failed to respond to the motion, it was deemed to be unopposed.

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opinion summary, case decided on August 08, 2006 , LexisNexis #1206-127

Collins Bros. Corp. v. Perrine (In re Perrine)

Ruling
Failure of debtor to protect assets in trust created under Perishable Agricultural Commodities Act rendered debt nondischargeable.
Procedural posture

Plaintiff, a perishable agricultural commodity wholesaler, filed a motion for summary judgment on its claim that a debt owed to it by debtor, the owner and officer of a different wholesale dealer, was nondischargeable pursuant to 11 U.S.C. § 523(a)(4). The debt had been reduced to judgment entered in plaintiff's favor in a federal court in a earlier suit under the Perishable Agricultural Commodities Act ("PACA"), 7 U.S.C. §§ 499(a), et seq.

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opinion summary, case decided on August 08, 2006 , LexisNexis #1206-129

Drive Fin. Servs. v. Brown

Ruling
Plan providing for pre-confirmation adequate protection payments to chapter 13 trustee approved.
Procedural posture

Creditor objected to chapter 13 debtor's plan confirmation.

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opinion summary, case decided on July 24, 2006 , LexisNexis #0107-085

In re Grady

Ruling
Debtors were not bound by calculation of monthly disposable income in Official Form B22C, and plan was confirmed since sections 1323 and 1329 allowed for modification of plan due to changed circumstances.
Procedural posture

Debtors filed a voluntary petition for relief under chapter 13. Debtors filed a proposed plan of reorganization. The chapter 13 trustee filed an objection to confirmation and requested dismissal of the case.

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opinion summary, case decided on July 21, 2006 , LexisNexis #0806-119