Skip to main content

Page Banner(Taxonomy)

judge gonzalez

In re WorldCom Inc.

Ruling
Confirmation order in debtor's case did not preclude preference claims by trustee in bankruptcy of telecommunications provider.
Procedural posture

A telecommunications provider made payments for services to a bankruptcy debtor after the debtor filed its bankruptcy petition, and the trustee in the provider's subsequent bankruptcy brought an adversary proceeding in its own bankruptcy case against the debtor seeking to recover the payments as preferential or unauthorized postpetition transfers. The debtor moved for enforcement of its reorganization plan to preclude the provider's claims.

ABI Membership is required to access the full summary of In re WorldCom Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on February 26, 2009 , LexisNexis #0609-134

In re XO Communs. Inc.

Ruling
Chapter 11 debtor's financial advisor awarded additional fees for restructuring of unsecured debt.
Procedural posture

On remand from the U.S. Court of Appeals for the Second Circuit, the court was directed to clarify its determination, pursuant to 11 U.S.C.S. § 330(a), of the transaction fee awarded to a financial advisor for its services as restructuring financial advisor to a chapter 11 debtor.

ABI Membership is required to access the full summary of In re XO Communs. Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on December 12, 2008 , LexisNexis #0109-065

In re Enron Creditors Recovery Corp. v. Goldman Sachs & Co. (In re Enron Creditors Recovery Corp.)

Ruling
SEC allowed to file brief out of time in adversary proceeding as its position was important to the record of the case.
Procedural posture

Plaintiff, reorganized chapter 11 debtors, and related entitites, had filed adversary proceedings against various companies. The Securities and Exchange Commission (SEC) sought to intervene under Fed. R. Bankr. P. 7024 and filed a motion for leave to file a brief out of time in the adversary proceedings, pursuant to 11 U.S.C.S. § 1109. The debtors opposed the motion.

ABI Membership is required to access the full summary of In re Enron Creditors Recovery Corp. v. Goldman Sachs & Co. (In re Enron Creditors Recovery Corp.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on September 04, 2008 , LexisNexis #1208-102

Chase v. Chase (In re Chase)

Ruling
Debtor's mortgage obligation to former spouse was in the nature of support due to treatment as such by court in prior contempt proceeding.
Procedural posture

Plaintiff Chapter 7 debtor filed an adversary proceeding against defendant, his estranged wife, seeking a judgment that an order issued by the Supreme Court of the State of New York, County of Columbia, which required him to pay $ 39,243 in mortgage payment arrears on the couple's marital residence was dischargeable under former 11 U.S.C.S. § 523 (amended 2005). The wife filed a motion to dismiss.

ABI Membership is required to access the full summary of Chase v. Chase (In re Chase) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Consumer opinion summary, case decided on August 18, 2008 , LexisNexis #0908-022

Forrest v. Bressler (In re Bressler)

Ruling
Attorney debtor's discharge denied due to concealment and nondisclosure.
Procedural posture

Plaintiffs, former clients of the chapter 7 debtor, a disbarred attorney, brought an adversary proceeding seeking an exception to and a denial of the discharge sought by the debtor, pursuant to 11 U.S.C.S. §§ 523(a)(6), 727(a)(2) and (a)(4), citing his willful behavior, his concealment of assets with intent to hinder or delay, and numerous representations in his schedules and testimony containing misstatements or omissions made under oath.

ABI Membership is required to access the full summary of Forrest v. Bressler (In re Bressler) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Consumer opinion summary, case decided on May 15, 2008 , LexisNexis #0608-051

In re Ampex Corp.

Ruling
Appointment of official committee of equity security holders denied where significant distribution was unlikely.
Procedural posture

Movant shareholder filed a motion for an order directing the appointment of an official committee of equity security holders under 11 U.S.C.S. § 1102(a)(2). Respondents, the debtors, the United States Trustee, and a creditor opposed the motion.

ABI Membership is required to access the full summary of In re Ampex Corp. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on May 14, 2008 , LexisNexis #0608-121

In re Source Enters.

Ruling
Attorneys' fees denied where firm held undisclosed interest adverse to estate.
Procedural posture

A law firm applied for payment of fees and reimbursement of expenses in connection with its representation of the debtor in a chapter 11 bankruptcy case.

ABI Membership is required to access the full summary of In re Source Enters. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on March 27, 2008 , LexisNexis #0508-004

Official Comm. of Unsecured Creditors of Enron Corp. v. Martin (In re Enron Creditors Recovery Corp.)

Ruling
$2.8 million in severance paid to debtor's former employee and affiliate was a recoverable preference.
Procedural posture

Movant, the unsecured creditors committee, sought summary judgment on a claim to avoid and recover payments to defendant, an ex-employee of debtor and its affiliate. Defendant filed cross- and third-party claims for contract breach and fraud and raised other claims, seeking summary judgment on some of them, against plaintiff affiliate, for which defendant had rendered services and which defendant sought to hold liable on a severance agreement.

ABI Membership is required to access the full summary of Official Comm. of Unsecured Creditors of Enron Corp. v. Martin (In re Enron Creditors Recovery Corp.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on October 17, 2007 , LexisNexis #1107-031

In re WorldCom Inc.

Ruling
Creditor's claim was unsecured due to failure to act to protect lien that expired thirty days after chapter 11 plan confirmation.
Procedural posture

The debtors filed a motion for partial summary judgment to reclassify creditor's claim number as unsecured. The creditor filed its own motion for summary judgment and argued that its claim was secured by virtue of a mechanic's lien under Nebraska law.

ABI Membership is required to access the full summary of In re WorldCom Inc. Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

opinion summary, case decided on February 23, 2007 , LexisNexis #0307-129

Enron Corp. v. Citigroup Inc. (In re Enron Corp.)

Ruling
Third party complaint for contribution by defendants in adversary proceeding was not related to bankruptcy.
Procedural posture

Plaintiff debtors filed an adversary against defendant banks, seeking, inter alia, the avoidance of preferential transfers and the equitable subordination of claims. In addition, debtors alleged common law claims. The banks brought a Third-Party Complaint ("TPC") against third-party defendant auditing firm, asserting their right to contribution in the event they were held liable to debtor on the common law claims. The auditing firm moved to dismiss.

ABI Membership is required to access the full summary of Enron Corp. v. Citigroup Inc. (In re Enron Corp.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

opinion summary, case decided on October 11, 2006 , LexisNexis #1106-136