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In re Spielberg

Ruling
Trustee's motion for bad faith dismissal overruled where completion of administration was in best interests of the creditors.
Procedural posture

Movant, the U.S. Trustee ("UST"), moved for an order dismissing a chapter 7 bankruptcy case filed by debtor on the ground that the filing had been made in bad faith within the meaning of 11 U.S.C. § 707(a). At issue was whether it was in the best interest of debtor's creditors to complete the administration of the estate. Also interested in the proceedings was the chapter 7 trustee.

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opinion summary, case decided on March 23, 2007 , LexisNexis #0507-065

In re Stoney Creek Techs. LLC

Ruling
Authority for secured postpetition financing denied due to lack of adequate protection for creditors or realistic prospects for successful reorganization.
Procedural posture

All of a bankruptcy debtor's assets were subject to an unchallenged lien of a creditor, and the debtor proposed to obtain a loan to finance its continued operations and provide the new lender with a priority lien. The debtor moved for authority pursuant to 11 U.S.C. § 364(d) to obtain secured postpetition financing, and the creditor objected to the motion.

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opinion summary, case decided on March 19, 2007 , LexisNexis #0507-040

In re Patton

Ruling
Plan confirmation denied and case dismissed where plan was underfunded and not feasible.
Procedural posture

Before the court was: (1) the amended motion of the chapter 13 trustee for dismissal of the chapter 13 case; (2) debtor's objection to Claim # 2 filed by a mortgage creditor; and (3) debtor's request for confirmation of his chapter 13 plan.

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opinion summary, case decided on March 16, 2007 , LexisNexis #0507-046

In re Frascella Enters. Inc.

Ruling
Confirmation of plan proposed by debtor check cashing business denied on grounds of bad faith.
Procedural posture

A bankruptcy debtor who operated check cashing retail stores proposed a reorganization plan which provided for the debtor to merge with its subsidiary which previously acquired the debtor's payday loan portfolio, and the subsidiary would be the surviving entity. The debtor requested confirmation of its plan, and a putative class of consumers who obtained payday loans from the debtor were the sole objectors to confirmation.

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opinion summary, case decided on February 08, 2007 , LexisNexis #0407-007

In re Lenton

Ruling
Repayment of loans from voluntary retirement accounts could not be deducted from monthly income to rebut presumption of abuse.
Procedural posture

Before the court was the Motion of the U.S. Trustee to dismiss debtor's chapter 7 bankruptcy case pursuant to 11 U.S.C. § 707(b).

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opinion summary, case decided on December 15, 2006 , LexisNexis #0207-081

In re Berg

Ruling
Former bankruptcy judge ordered to disgorge fee collected without proper application and approval.
Procedural posture

The United States Trustee filed a motion for the disgorgement of fees by Chapter 7 debtor's counsel.

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opinion summary, case decided on October 23, 2006 , LexisNexis #0107-108

In re Lammy

Ruling
Proof of claim could not include arrearage that was subject of prepetition loan modification.
Procedural posture

Chapter 13 debtors objected to creditor's claim and creditor filed a motion to allow the claim.

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opinion summary, case decided on October 11, 2006 , LexisNexis #0107-139

Borchardt v. Farrell (In re Farrell)

Ruling
Court denied creditors exception to discharge since they did not establish that debtor knew representations to be false when they were made.
Procedural posture

Creditors sought, pursuant to 11 U.S.C. § 523(a)(2)(A) and (a)(4), an exception to the discharge of their claim against chapter 13 debtor, which sought damages incurred in connection with certain renovations contracted for but not performed on their residence.

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opinion summary, case decided on June 14, 2006 , LexisNexis #0806-090

In re Ellis

Ruling
Plan confirmation denied due to unfeasability and lack of good faith.
Procedural posture

A bankruptcy debtor's chapter 13 plan proposed to pursue an adversary proceeding to set aside a foreclosure sale of the debtor's residence and to pay his mortgage debt with funds from a deferred compensation account under an employment plan. The debtor requested that the plan be confirmed, and the trustee moved to dismiss the debtor's bankruptcy case.

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opinion summary, case decided on May 16, 2006 , LexisNexis #0906-068

In re 3 Ram Inc.

Ruling
Case was dismissed since bankruptcy filing was not warranted to resolve two-party dispute over liquor license.
Procedural posture

A corporate bankruptcy debtor existed only to hold a liquor license which was used in the business of the debtor's sole shareholder, and the debtor filed bankruptcy to avoid a creditor's execution against the license based on allowance of the creditor's claim in the shareholder's bankruptcy. The creditor moved to dismiss the debtor's bankruptcy case for cause pursuant to 11 U.S.C. § 1112(b)(1).

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opinion summary, case decided on May 09, 2006 , LexisNexis #0806-044