A creditor who acted in good faith and was given no notice of the debtor’s bankruptcy or an automatic stay when it obtained a judgment for possession was entitled to an order “annulling” the automatic stay, and thus its judgment ...

Tagged with: Bankruptcy Judge Rebecca B. Connelly U.S. Bankruptcy Court

Because a trustee pleaded facts showing the existence of transfers made at a time when the transferor was insolvent or rendered insolvent, the trustee may proceed in his suit to avoid and recover the allegedly fraudulent transfers. Background Stephen Scott ...

Tagged with: Bankruptcy Judge Rebecca B. Connelly U.S. Bankruptcy Court

The commercial property landlord failed to persuade the bankruptcy court that assigning the debtor’s lease to a new tenant was prohibited by the Bankruptcy Code, provisions in the debtor’s lease or provisions in other tenant’s leases. Background Before the court ...

Tagged with: Bankruptcy Judge Keith L. Phillips U.S. Bankruptcy Court

A debtor’s failure to obtain a stay of the bankruptcy court’s in rem order allowing a foreclosure sale to proceed resulted in that sale terminating any interest by the debtor in the property when it was sold before the district ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court

A bankruptcy judge has refused to block a lawsuit demanding that SunTrust Bank be forced to give up nearly $3.3 million to a lawyer’s widow defrauded by a crooked investment adviser. The lawsuit claims SunTrust turned a blind eye to ...

Tagged with: Bankruptcy U.S. Bankruptcy Court

A debtor cannot discharge a circuit court judgment against him for assault because a judgment on that cause of action satisfies the requirements of Bankruptcy Code § 523(a)(6). Background In June 2008, Ms. Hanson filed suit in the Madison County Circuit ...

Tagged with: Bankruptcy Judge Rebecca B. Connelly U.S. Bankruptcy Court U.S. District Court - Western District

A debtor who failed on four separate occasions to file a feasible plan will not get a fifth opportunity. Instead, the court held the debtor’s repeated failures, which were based upon unreliable and inaccurate financial projections, were unlikely to be ...

Tagged with: Bankruptcy Judge Paul M. Black U.S. Bankruptcy Court U.S. District Court - Western District

The debtor’s agreement, as part of a divorce proceeding, to pay one-half of certain joint debts incurred with her former husband meant those debts were not dischargeable under Bankruptcy Code § 523(a)(15). Background Plaintiff is the former husband of defendant, ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court U.S. District Court - Eastern District

A debtor who filed multiple petitions – allegedly as part of a scheme to delay, hinder or defraud his bank’s attempts to foreclose on real property – had his case dismissed because, despite prior warning, he failed to adequately demonstrate ...

Tagged with: Bankruptcy Judge Klinette H. Kindred U.S. Bankruptcy Court U.S. District Court - Eastern District

The trustee who sought legal fees for filing and defending two proofs of claim on behalf of creditors who did not file claims is limited to requesting fees only for the proofs of claim from which the debtor benefitted. In ...

Tagged with: Bankruptcy Judge Brian F. Kenney U.S. Bankruptcy Court