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northern district of california

In re Rains

Ruling
Above-median debtors not allowed fixed allowance of any expense in excess of reasonably necessary actual expenses.
Procedural posture

A creditor filed an objection to confirmation of a chapter 13 plan filed by debtors. The creditor asserted that the proposed plan did not dedicate all of the debtors' projected disposable income to the plan as required by 11 U.S.C. § 1325(b)(1)(B).

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Commercial opinion summary, case decided on October 02, 2007 , LexisNexis #1107-018

In re Bateman

Ruling
Objection to plan sustained where debtor failed to devote all projected disposable income as declared on schedules.
Procedural posture

A chapter 13 trustee filed an objection to the confirmation of a plan filed by a debtor, alleging that the proposed plan did not dedicate all of the debtor's projected disposable income to the plan in accordance with 11 U.S.C. § 1325(b)(1)(B).

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Consumer opinion summary, case decided on September 21, 2007 , LexisNexis #1007-131

In re Vantage.com

Ruling
Organic vegetable grower's case ordered converted to chapter 7 on grounds of bad faith.
Procedural posture

A debtor petitioned for relief under chapter 12 and submitted a plan of reorganization. Three creditors objected to the plan, and one of the creditors filed a motion for dismissal, conversion, or removal of the debtor as a debtor in possession.

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Commercial opinion summary, case decided on September 13, 2007 , LexisNexis #1007-090

Clements v. Davis-Rice (In re Davis-Rice)

Ruling
Debtor's admitted fraud and larceny were willful and malicious and resulted in nondischargeable debt.
Procedural posture

Plaintiff creditor filed an adversary proceeding against defendant debtor seeking a determination that its debt was nondischargeable pursuant to 11 U.S.C. § 523(a)(2)(A), (4) and (6). The creditor moved for summary judgment, contending that she was entitled to summary judgment under each of the subsections as a matter of collateral estoppel. The debtor also moved for summary judgment.

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opinion summary, case decided on August 31, 2007 , LexisNexis #1007-024

Wells Fargo Fin. Acceptance v. Rodriguez (In re Rodriguez)

Ruling
Bankruptcy court improperly denied creditor's deficiency claim secured by motor vehicle.
Procedural posture

Appellee bankruptcy debtor proposed a chapter 13 plan which provided that the debtor's vehicle would be surrendered to appellant creditor secured by the vehicle in full satisfaction of the creditor's claim. The creditor appealed the orders of the Bankruptcy Court for the Western District of Washington which disallowed the creditor's claim and overruled the creditor's objection to the debtor's plan.

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Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on August 28, 2007 , LexisNexis #1007-126

In re McKinney

Ruling
Court could require trustee to submit records to support application for "reasonable" fee.
Procedural posture

A debtor filed a petition under chapter 13. A chapter 13 trustee filed objections to the debtor's plan for repaying his creditors, and the court converted the case to one under chapter 7. Applicant chapter 7 trustee was appointed to manage the bankruptcy estate, and she filed an application for compensation after the debtor's creditors were paid. The debtor filed an objection to the application.

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Consumer opinion summary, case decided on August 27, 2007 , LexisNexis #1007-038

Brown & Cole Stores LLC v. Associated Grocers Inc. (In re Brown & Cole Stores LLC)

Ruling
Administrative priority claim which arose prepetition was subject to setoff.
Procedural posture

Appellee creditor claimed administrative priority under 11 U.S.C. § 503(b)(9) for the value of goods received by appellant bankruptcy debtor, a grocery store chain, within 20 days of the debtor's bankruptcy, and the debtor claimed a right of setoff under 11 U.S.C. § 553(a). The debtor appealed the judgment of the Bankruptcy Court for the Western District of Washington which allowed the administrative claim and denied setoff.

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Court :
Judge or Jurisdiction information not available
Commercial opinion summary, case decided on August 17, 2007 , LexisNexis #1007-115

In re Newman

Ruling
Bankruptcy petition preparer's presentation of worksheet containing legal advice to debtor violated Bankruptcy Code.
Procedural posture

A debtor filed a petition under chapter 7, and she asked the court to waive her filing fee. The court noticed errors in the schedules the debtor submitted, and it ordered a person who prepared those schedules to appear so it could determine if she engaged in the unauthorized practice of law.

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opinion summary, case decided on August 06, 2007 , LexisNexis #0907-071

In re Bertel

Ruling
Deadline for trustee's motion for dismissal for substantial abuse equitably tolled by debtor's false statements.
Procedural posture

The Office of the U.S. Trustee ("UST") moved to dismiss debtor's chapter 7 case under 11 U.S.C. § 707(a) and (b)(3). Debtor opposed, contending the section 707(b)(3) motion was untimely.

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opinion summary, case decided on July 06, 2007 , LexisNexis #0907-052

DeCecco v. United States (In re DeCecco)

Ruling
Debtor spouse with childrearing responsibilities and severe psychological difficulties granted undue hardship discharge of student loan debt.
Procedural posture

Plaintiff bankruptcy debtors, husband and wife, brought an adversary proceeding against defendant United States, seeking a determination that the debtors'student loan debts were dischargeable based on undue hardship under 11 U.S.C. § 523(a)(8).

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opinion summary, case decided on July 03, 2007 , LexisNexis #0907-064