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western district of kentucky

In re Risher

Ruling
Debtor with plan distributing less than 100% to creditors was required to submit tax refunds to chapter 13 trustee.
Procedural posture

The debtors in several chapter 13 cases filed motions in support of provisions in their chapter 13 that sought to exclude tax refunds as part of any distribution to unsecured creditors in their chapter 13 plans. The chapter 13 trustee objected to these provisions as contrary to Bankr. W.D. Ky. R. 13.5(b) and 11 U.S.C. § 1325(b)(1)(B).

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opinion summary, case decided on July 12, 2006 , LexisNexis #0906-115

Mickler v. Mickler (In re Mickler)

Ruling
Court affirmed nondischargeability of debts arising from debtor's divorce due to debtor bad faith.
Procedural posture

The bankruptcy court determined that: (1) a bankruptcy debtor's property settlement and maintenance award was nondischargeable under 11 U.S.C. § 523(a)(5) and (15); (2) the debtor's bad faith warranted dismissal of his chapter 11 proceeding; (3) he was barred from refiling a bankruptcy petition for 24 months; and (4) the debts arising from his divorce were forever nondischargeable. The debtor appealed.

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opinion summary, case decided on July 10, 2006 , LexisNexis #0806-025

In re Soards

Ruling
Court deemed that Till provided applicable interest rate in sustaining creditor's objections to confirmation.
Procedural posture

Creditor filed objections to the chapter 13 plans of debtors in two separate cases. The creditor held security interests in the debtors'vehicles. The issue was that rate of interest that the creditor was entitled to receive on its claim.

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opinion summary, case decided on June 16, 2006 , LexisNexis #0706-047

LWD Trucking Inc. v. LWD Inc. (In re LWD Inc.)

Ruling
Bankrtuptcy court declined to strike complaint in equitable subordination proceeding that put debtor sufficiently on notice of claims.
Procedural posture

Plaintiff United States Trustee brought an adversary complaint against defendant individuals and company, alleging, inter alia, equitable subordination and seeking payment of the trustee's fees. Defendants moved to dismiss the complaint.

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opinion summary, case decided on June 06, 2006 , LexisNexis #0906-056

Smith v. Wilson (In re Wilson)

Ruling
Deficiency balance on motorcycle jointly owned by debtor and debtor's former spouse was deemed dischargeable since deficiency was not in nature of support and debtor lacked ability to pay debt.
Procedural posture

Plaintiff, defendant debtor's former spouse, filed an adversary proceeding against the debtor claiming that a deficiency balance on a motorcycle, a debt for which the former spouse was jointly responsible, should be declared a non-dischargeable debt under 11 U.S.C. § 523(a)(5) or alternatively, 11 U.S.C. § 523(a)(15). The former spouse also alleged that the debtor should be denied his discharge under 11 U.S.C. § 727(a)(2)(A).

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opinion summary, case decided on May 18, 2006 , LexisNexis #0606-086

Shain v. Shain (In re Shain)

Ruling
Attorney fees awarded to debtor's former spouse from custody battle case was deemed nondischargeable debt.
Procedural posture

Plaintiff, the former spouse of defendant debtor, filed a complaint contending that attorney fees awarded to him during a custody battle between the parties were nondischargable under 11 U.S.C. § 523(a)(5) and (a)(6).

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opinion summary, case decided on May 17, 2006 , LexisNexis #0606-087

In re ThermoView Indus.

Ruling
Court reduced fees of counsel for an unsecured creditors committee and denied fees of debtors'counsel due to unreasonableness of fees.
Procedural posture

Debtors' counsel filed an application for interim compensation and reimbursement of expenses. Debtors'counsel also filed a supplemental application for compensation and reimbursement of expenses. Counsel for the unsecured creditors committee filed an objection. Counsel for the committee filed an application for compensation and reimbursement of expenses. Debtors'counsel filed an objection.

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opinion summary, case decided on May 15, 2006 , LexisNexis #0606-047

In re Wimpee

Ruling
Trustee's motion to modify debtor's chapter 13 plan was granted since early payment of monetary amount of plan did not relieve debtors of duty to make payments for at least three years.
Procedural posture

In a chapter 13 proceeding, a trustee brought a motion to modify the debtors'plan from 35 percent to 75 percent for unsecured non-priority creditors pursuant to 11 U.S.C. § 1329(a)(1). The debtors filed an objection to the motion and filed a motion for entry of discharge under 11 U.S.C. § 1328(a).

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opinion summary, case decided on May 11, 2006 , LexisNexis #0706-140

Rodriguez v. Sneed (In re Sneed)

Ruling
Debtor's motion to dismiss complaint as untimely was denied since creditor had timely filed within the extended period granted by the court regardless of whether it was called an objection or a complaint.
Procedural posture

Plaintiff creditor brought an adversary proceeding against defendant bankruptcy debtor seeking a declaration that a debt to the creditor was not dischargeable because it was based on intentional physical injury caused by the debtor. The debtor moved to dismiss the complaint as untimely filed under Fed. R. Bankr. P. 4007.

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opinion summary, case decided on May 04, 2006 , LexisNexis #0606-033

Maes v. Maes (In re Maes)

Ruling
Marital debts were deemed dischargeable since they were not in the nature of support and debtor's former spouse already received adequate support from debtor's maintenance payments.
Procedural posture

Plaintiff former spouse of defendant bankruptcy debtor brought an adversary proceeding seeking a determination that joint marital debts for a credit card and a fifth wheeler, which the debtor assumed pursuant to an agreement in the parties' divorce, were not dischargeable pursuant to 11 U.S.C. § 523(a)(5) and (15). The bankruptcy court conducted a trial.

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opinion summary, case decided on May 04, 2006 , LexisNexis #0606-053