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In re Galanis

Two sets of debtors had a prior case pending within one year of filing their present cases. They filed motions to extend the automatic stay, under 11 U.S.C. § 362(c)(3)(B). Each argued that the court should extend the stay because they filed in good faith.
Ruling: 
Debtors rebutted the bad faith presumption in refiling within one year of prior filings since they had filed to responsibly address their debts, they had steady sources of income, and no objections were made.
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In re Davenport

The debtor filed a motion to be excused from complying with the prepetition credit counseling requirement of 11 U.S.C. § 109(h), alleging only that certain "exigent circumstances" — the imminent repossession of the debtor's truck — made prepetition credit counseling "meaningless." Two days after filing the petition, the debtor did receive the approved credit counseling.
Ruling: 
Debtor was not excused from prepetition credit counseling requirement despite exigent circumstances because the debtor failed to make a prefiling request for counseling.
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New Buffalo Sav. Bank v. McClung (In re McClung)

Defendant debtor filed for bankruptcy relief under chapter 7. Plaintiff bank filed a proceeding to obtain a ruling that its unsecured claim exceeding $617,000 was excepted from discharge because of a willful and malicious injury to the bank, as contemplated by 11 U.S.C. § 523(a)(6). The debtor sought dismissal of the proceeding.
Ruling: 
Creditor's claim was not excepted from discharge since the creditor did not establish willful and malicious injury by the debtor.
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Hamilton v. Wash. Mutual Bank FA. (In re Colon)

Plaintiff trustee in bankruptcy brought an adversary proceeding seeking to use the strong arm powers under 11 U.S.C. § 544 to avoid defendant mortgagee's lien against debtors'homestead for the benefit of the bankruptcy estate. Primarily the trustee argued that the mortgage, which described the property as "Lot 29" instead of "Lot 79," would not give a bona fide purchaser constructive notice. The mortgagee moved for summary judgment.
Ruling: 
Trustee could avoid the mortgage with erroneous description as a bona fide purchaser or as a hypothetical lien creditor since the mortgage did not impart constructive notice on the trustee.
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Kendall v. Turner (In re Turner)

Two adversary proceedings were consolidated for trial. In one action, plaintiff, the chapter 7 trustee, brought a fraudulent transfer action against defendants, debtor's former spouse, et al. In the second action, plaintiffs, two individuals who alleged conduct against debtor in another matter that was found by a jury to be tortious, filed an objection to discharge action. The proceedings were before the court for decision following trial.
Ruling: 
Home transfer was deemed an actually and constructively fraudulent transfer where the debtor set up alter ego companies to protect assets and defraud creditors.
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Kendall v. Turner (In re Turner)

Two adversary proceedings were consolidated for trial. In one action, plaintiff, the chapter 7 trustee, brought a fraudulent transfer action against defendants, debtor's former spouse, et al. In the second action, plaintiffs, two individuals who alleged conduct against debtor in another matter that was found by a jury to be tortious, filed an objection to discharge action. The proceedings were before the court for decision following trial.
Ruling: 
Debtor was denied discharge due to the debtor's efforts to defraud creditors by concealing retained interest in the debtor's home.
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In re Pawlowicz

The debtors filed a petition for bankruptcy under chapter 13. After the court found a creditor to be in contempt after the creditor failed to defend itself against the debtors'motion for violation of the automatic stay of 11 U.S.C. § 362(a), the debtors filed a request for monetary and punitive damages and attorney fees pursuant to 11 U.S.C. § 362(h) .
Ruling: 
Debtors were granted award of damages against a creditor who violated the automatic stay by declaring the debtors in default and keeping the security provided for the loan.
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In re Wilson

Three chapter 13 debtors filed motions asking the court to extend the automatic stay beyond the 30-day automatic expiration period set forth in 11 U.S.C. § 362(c)(3)(A). A creditor of one of these debtors opposed the motion. Two other chapter 13 debtors filed unopposed motions to impose the automatic stay pursuant to section 362(c)(4)(B).
Ruling: 
Debtors were denied unopposed motions to impose automatic stays despite prior recent filings since they did not overcome presumption of bad faith.
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In re Smith

A lessor was sanctioned under 11 U.S.C. § 362(h) for violating the automatic bankruptcy stay by unilaterally terminating the farm lease of bankruptcy debtors, but the lessor asserted that the lessor did not know of the bankruptcy and that the debtors'tenancy was terminated prior to the bankruptcy. The lessor moved for relief from the judgment of sanctions.
Ruling: 
Lessor was denied relief from automatic stay violation sanctions since confirmed lease was in place and notice of the bankruptcy was not required.
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Vaughn v. Pipkin (In re Vaughn)

Before the court in a chapter 13 case was movant debtor's request for continuation of the automatic stay. Debtor sought continuation of the automatic stay under 11 U.S.C. § 362(c)(3)(B) as to all creditors and parties of interest until the case was closed.
Ruling: 
Debtor was granted an automatic stay continuation in a chapter 13 case since the criteria for obtaining an injunction were met.
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