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§ 157

In re High Tech Packaging Inc.

Ruling
Settlement of claims against involuntary debtor's estate approved over objections of guarantors.
Procedural posture

An involuntary petition was filed against debtor corporation on May 15, 2008, and on June 9, 2008, the court adjudicated the corporation a debtor and appointed a trustee to represent the bankruptcy estate. The trustee filed a motion seeking permission to compromise claims creditors filed against the debtor's bankruptcy estate, and two creditors filed a limited objection to the trustee's motion.

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Commercial opinion summary, case decided on October 31, 2008 , LexisNexis #0109-093

Navom v. Mariculture Prods. Ltd.

Ruling
Removed state action for breach of contract and unjust enrichment referred to bankruptcy court as result would affect ability to satisfy creditors.
Procedural posture

Plaintiff filed an action against defendant company in a state court alleging breach of contract and unjust enrichment from a $1.47 million promissory note issued to her from the company. A trustee of the bankruptcy estate belonging to plaintiff's husband removed the case to the court. The company sought to refer the case to a bankruptcy court, and plaintiff sought to remand the matter to state court.

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Consumer opinion summary, case decided on October 29, 2008 , LexisNexis #1108-103

Kasim v. Equifax Info. Servs. LLC

Ruling
Bankruptcy court properly dismissed debtor's action under Fair Credit Reporting Act as non- core and lacking sufficient close nexus with bankruptcy.
Procedural posture

After appellant debtor received a chapter 11 discharge, he filed an action in the U.S. Bankruptcy Court for the District of Oregon alleging that appellee consumer reporting agencies (CRAs) violated the Fair Credit Reporting Act (FRCA), 15 U.S.C.S. § 1681 et seq. The bankruptcy court dismissed the action for lack of jurisdiction, and the debtor sought review of that decision.

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Consumer opinion summary, case decided on October 28, 2008 , LexisNexis #1108-140

Buesgens v. Bergman (In re Bergman)

Ruling
Employment discrimination proceeding by third party whose only connection with bankruptcy was a similar complaint by debtor dismissed for lack of subject matter jurisdiction
Procedural posture

Plaintiff employee was ordered to show cause why his adversary proceeding for employment discrimination against defendants, a debtor, the trustee, the officials, and the attorneys, should not have been dismissed for lack of jurisdiction.

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Consumer opinion summary, case decided on October 21, 2008 , LexisNexis #0309-056

Connolly v. Spaulding (In re Van Vleet)

Ruling
Court declined to withdraw reference of case against corporation in which debtor had 100% equity interest.
Procedural posture

Defendant creditor asserted that he loaned money to a corporation in a foreign country in which the debtor had a one hundred percent equity interest and that because the corporation was not a party to the bankruptcy, withdrawal of the reference under 28 U.S.C.S. § 157(d) was appropriate. Plaintiff trustee objected, contending that the debtor should not be liable to the creditor.

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Consumer opinion summary, case decided on October 10, 2008 , LexisNexis #1108-093

Prince v. Countrywide Home Loans Inc.

Ruling
Motion to withdraw reference of debtors' challenge to foreclosure sale denied.
Procedural posture

Debtors filed a motion to withdraw the reference, pursuant to 28 U.S.C.S. § 157(d), of their Real Estate Settlement Procedures Act (RESPA) and Fair Debt Collection Practices Act (FDCPA) claims against defendant bank.

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Consumer opinion summary, case decided on October 08, 2008 , LexisNexis #1108-034

In re Copperfield Invs. LLC

Ruling
Motion to withdraw reference denied where claims at issue involved core matters.
Procedural posture

A debtor filed for relief under chapter 11 of the Bankruptcy Code. In addition to the bankruptcy proceeding, the debtor was involved in a civil action pending with the court, that involved substantially the same factual issues as those presented in the bankruptcy proceeding. A creditor filed a motion to withdraw the reference to the bankruptcy court.

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Commercial opinion summary, case decided on September 29, 2008 , LexisNexis #1208-090

In re Exide Techs.

Ruling
Bankruptcy court erred in failing to consider state contract law when denying motion to remand indemnity proceeding to state court.
Procedural posture

Appellants, a domestic company and four of its foreign affiliates (seller companies), sought review of a decision from the United States District Court for the District of Delaware, which affirmed a decision from a bankruptcy court denying their motion to remand to state court, and/or abstain from, their claims against appellees, three foreign subsidiaries (buyer companies).

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on September 19, 2008 , LexisNexis #1008-070

Hook v. Commissioner (In re Hook)

Ruling
Tax determination proceeding properly dismissed given dismissal of underlying chapter 11 claim.
Procedural posture

Appellant debtors commenced an adversary proceeding against appellee, the Commissioner of Internal Revenue (IRS), seeking a determination of their federal income tax liabilities for the tax years 1992 through 2006, and appealed from an order of the United States Bankruptcy Court for the District of Colorado dismissing the adversary proceeding with respect to 1992- 1996.

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Consumer opinion summary, case decided on September 18, 2008 , LexisNexis #1008-016

Duke v. Trans Union LLC

Ruling
Debtor's Fair Credit Reporting Act proceeding disimissed for lack of subject matter jurisdiction.
Procedural posture

Chapter 13 debtors sued defendant credit reporting agency, alleging, inter alia, that it vioalted the Fair Credit Reporting Act (FCRA) when disputed debts continued to appear on their credit reports. The bankruptcy court for the district of Oregon granted the agency's motion to dismiss the FCRA claims, dismissing the claims without prejudice for lack of subject matter jurisdiction. The debtors appealed the order.

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Consumer opinion summary, case decided on September 16, 2008 , LexisNexis #1008-032