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Shulkin Hutton Inc. v. Treiger (In re Owens)

Appellant, a law firm creditor of a debtor, sought review of a decision of the Ninth Circuit Bankruptcy Appellate Panel (BAP), which affirmed a bankruptcy court's dismissal of the debtor's chapter 11 case based on a determination that it was filed in bad faith under 11 U.S.C.S. § 1112(b).
Ruling: 
Chapter 11 case filed just prior to court ordered sale of home in debtor's divorce properly dismissed for bad faith.
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Consumer case opionion summary, case decided on December 31,2008, LexisNexis #0209-017

In re Beaza

The trustee moved to dismiss the debtors'chapter 7 petition, based on the debtors'claim of certain deductions on Official Bankr. Form 22A (the Means Test), either as a presumed abuse of chapter 7 pursuant to 11 U.S.C.S. § 707(b)(2), or alternatively as an abuse of chapter 7 based on the totality of the circumstances of the debtors'financial situation pursuant to 11 U.S.C.S. § 707(b)(3).
Ruling: 
Case ordered converted or dismissed on totality of circumstances where debtors proposed surrendering collateral to satisfy most of secured debt.
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Consumer case opionion summary, case decided on December 29,2008, LexisNexis #0209-014

McGuire v. United States

Plaintiff claimant, a bankrupt farmer, sought review of a judgment from the District Court for the District of Arizona which rejected the bankruptcy court's recommendation of a damage award to plaintiff on his inverse condemnation claim against defendant United States. The district court agreed with the bankruptcy court that the Government's actions could qualify as a regulatory taking but held that plaintiff's claim was not ripe for review.
Ruling: 
Sovereign immunity barred bankruptcy court from considering debtor's taking claim against the Bureau of Indian Affairs under the Tucker Act.
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Consumer case opionion summary, case decided on December 24,2008, LexisNexis #0109-105

In re Cabrera-Mejia

The court issued an order to show cause why a law firm should not be subjected to sanctions for filing motions seeking relief from the automatic stay that was imposed after various debtors filed petitions under chapter 7 of the Bankruptcy Code.
Ruling: 
Law firm sanctioned for filing and then withdrawing numerous requests for relief from stay without conducting proper investigation into basis for motions.
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Consumer case opionion summary, case decided on December 23,2008, LexisNexis #0309-094

Brashers Sacramento Auto Auction Inc. v. Ahmed (In re Ahmed)

Plaintiff auto auction company filed a complaint to determine that certain debts owed by defendant debtor were nondischargeable in debtor's chapter 7 case pursuant to 11 U.S.C.S. § 523(a)(2), (a)(4) and (a)(6).
Ruling: 
Amounts owed by debtor auto dealer to auto sales company were nondischargeable due to theft of auto titles and willful and malicious wrongful sales to third parties.
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Consumer case opionion summary, case decided on December 23,2008, LexisNexis #0409-006

Stickrath v. Globalstar Inc.

Plaintiff consumer sued defendant corporation under Cal. Bus. & Prof. Code § 17200 et seq., and Cal. Civ. Code § 1750 et seq., and alleged that its failure to disclose known defects in its service prevented him from using the service as intended. The consumer sought to represent a nationwide class of individuals who purchased a satellite telephone from the corporation between April 2003 and 2007. The corporation moved for summary judgment.
Ruling: 
Claims reasonably within consumer's contemplation prior to debtor corporation's discharge order were discharged.
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Commercial case opionion summary, case decided on December 22,2008, LexisNexis #0209-022

Ira v. Engle (In re Engle)

Plaintiff individual and representative creditors sued defendant chapter 11 debtor, seeking a declaration that certain debts were nondischargeable under 11 U.S.C.S. § 523, as well as a denial of discharge under 11 U.S.C.S. § 727. The debtor moved to dismiss the complaint, strike the creditors' exhibits, and for Fed. R. Civ. P. 11 sanctions. The creditors moved for leave to amend their complaint.
Ruling: 
Dischargeability proceeding filed by group of creditors dismissed where each properly had separate causes of action.
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Consumer case opionion summary, case decided on December 17,2008, LexisNexis #0209-044

National Retail Dev. Partners I LLC v. Maness (In re Mortgages Ltd.)

Plaintiff retail developer sued defendant chapter 11 debtor's investors in state court, alleging breach of contract on the ground that they assumed some of the debtor's obligation to fund a construction loan to the developer, and then failed to fully fund that loan. After the case was removed to the bankruptcy court, the developer moved to remand on three alternative grounds.
Ruling: 
Action against debtor's investors for failure to fund construction loan was a core proceeding.
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Commercial case opionion summary, case decided on December 11,2008, LexisNexis #0209-060

In re Johnson

The debtors filed for relief under chapter 7. The United States Trustee filed a motion to dismiss the case under 11 U.S.C.S. § 707(b)(3).
Ruling: 
Excess secured debt on debtor's primary residence did not preclude relief in consumer case.
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Consumer case opionion summary, case decided on December 08,2008, LexisNexis #0409-056

In re Martello

A bankruptcy debtor sought confirmation of a chapter 13 plan which provided for payments on the debtor's nondischargeable student loan debt outside of the plan. The bankruptcy trustee objected to confirmation on the grounds that the plan unfairly discriminated against other unsecured creditors in violation of 11 U.S.C.S. § 1322(b)(1), and that the student loan debt did not constitute special circumstances under 11 U.S.C.S. § 707(b)(2)(B).
Ruling: 
Confirmation of plan calling for payment of student loan debt outside plan denied due to discrimination against other unsecured creditors.
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Consumer case opionion summary, case decided on December 05,2008, LexisNexis #0909-020

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