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eastern district of virginia

In re West

Ruling
Postpetition insurance policy proceeds were deemed not estate property, and creditor was ordered to turn over vehicle title to debtors on satisfaction of secured debt.
Procedural posture

Creditor held a security interest in the debtors'vehicle which had been declared a total loss following an accident. Insurance proceeds were paid to the chapter 13 trustee. The trustee made a partial distribution of the proceeds to the creditor. The trustee then filed a motion for turnover of title to the vehicle. The creditor maintained that, as the loss payee, it was entitled to distribution of the full amount of the insurance payment.

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opinion summary, case decided on April 14, 2006 , LexisNexis #0706-023

In re Yeatts Contract of Va. Inc.

Ruling
Creditors were granted attorneys'fees and costs award for services that benefitted estate but were not granted fees related to motions for relief from stay.
Procedural posture

Pursuant to 11 U.S.C. § 503(b)(3)(A) and (b)(4), petitioner creditors sought an award of attorneys'fees and costs for filing the involuntary chapter 7 bankruptcy petition against the debtor. Respondent debtor's principal and trustee opposed the award of attorneys'fees.

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opinion summary, case decided on April 12, 2006 , LexisNexis #0706-014

Power v. Robinson (In re Robinson)

Ruling
Debt for alleged unauthorized power usage was deemed dischargeable since the power company could not show that debtor had meter tampered or represented through its payment of the power company's low billing statements that the bills were accurate.
Procedural posture

Plaintiff creditor, a power company, filed an adversary proceeding against defendant debtor alleging that the debtor had engaged in energy theft or meter tampering and that the resulting debt for the allegedly unauthorized power usage was nondischargeable pursuant to 11 U.S.C. § 523(a)(2) and 523(a)(6).

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opinion summary, case decided on March 17, 2006 , LexisNexis #0406-121

In re U.S. Airways Inc.

Ruling
Proof of claim was disallowed in the debtor's second case since the claim was discharged in the debtor's first case.
Procedural posture

A chapter 11 matter was before the court on cross-motions for summary judgment by movant claimant and movant debtor with respect to a $17 million employment discrimination claim by the claimant, who was employed by debtor airline as a pilot from 1984 to 2001. The claimant also moved for sanctions.

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opinion summary, case decided on March 06, 2006 , LexisNexis #0406-049

In re Gordon

Ruling
Court reduced the fees charged by the debtor's attorney in the attorney's application for supplemental compensation and ordered further hearing as to whether the debtor authorized work on and the filing of a second amended plan.
Procedural posture

The debtor's attorney filed an application for allowance and payment of supplemental compensation.

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opinion summary, case decided on February 27, 2006 , LexisNexis #0406-044

In re Houston

Ruling
Court deemed that debtor had sufficiently complied with the requirement to provide a copy of the most recent income tax return since the computer-prepared summary of data electronically transmitted to the IRS constituted a copy.
Procedural posture

The bankruptcy court issued an amended notice to show cause in response to the chapter 7 trustee's certification under Interim Bankr. E.D. Va. R. 4002-1 that debtor failed to furnish him with a copy of her income tax return for the most recent tax year preceding the filing of the petition, as required by 11 U.S.C. § 521(e)(2)(A)(i). The trustee also requested copies of the debtor's statements for each of her depository and investment accounts.

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opinion summary, case decided on February 23, 2006 , LexisNexis #0406-040

In re Grossman

Ruling
Application for additional attorneys'fees was approved but at a reduced amount since the retainer agreement did not account for an increase in hourly billing rates.
Procedural posture

Debtors' counsel filed an application for approval and payment of supplemental compensation. The debtors objected to the additional fees.

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opinion summary, case decided on February 15, 2006 , LexisNexis #0406-043

In re Ashley

Ruling
Case was dismissed since the debtor did not meet the requirements for obtaining a 30-day extension of time to obtain credit counseling.
Procedural posture

Before the court in a chapter 7 matter was debtor's request for deferment of the credit counseling requirement under 11 U.S.C. § 109(h).

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opinion summary, case decided on February 08, 2006 , LexisNexis #0406-039

In re Tai T. Vuong

Ruling
Creditor's objection to the debtor's claim of exemptions under state law was overruled since the creditor showed no grounds for not allowing the exemptions.
Procedural posture

Debtor filed a voluntary petition for relief under chapter 7. Creditor, the holder of a third deed of trust on some of debtor's real estate, filed an objection to the debtor's claim of exemptions.

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opinion summary, case decided on February 06, 2006 , LexisNexis #0406-050

Deutsche Bank Natl Trust Co. v. Martin (In re Martin)

Ruling
Creditor was granted relief from the automatic stay to enforce a deed of trust against real property over the objections of the debtor's wife even though the property affected was not estate property but rather property of the debtor's wife and son and thus unaffected by the stay.
Procedural posture

Creditor filed a motion for relief from the automatic stay in order to enforce a deed of trust against real property. The debtor's schedules do not list any interest in the property, and neither the chapter 7 trustee nor the debtor opposed the motion. The only opposition was filed by the debtor's wife, who represented that she and her son were the only owners of the property and that she was the only maker of the promissory note.

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opinion summary, case decided on January 18, 2006 , LexisNexis #0406-047