Business Bankruptcy/Business Litigation Attorney
Stoll Keenon Ogden PLLC is seeking an associate attorney for the Business Bankruptcy and Business Litigation practices in the Louisville office. This position is full time and includes benefits.
Please submit a cover letter and resume to Denise Wilson, Director of HR, at denise.wilson@skofirm.com
(Bankr. E.D. Ky. Aug. 4, 2017)
The bankruptcy court grants the motion to dismiss the trustee’s complaint. The court recently entered an order dismissing the trustee’s complaint for failure to state a claim but permitted the trustee leave to amend the complaint. See In re Rister. The amended complaint alleged that the vehicle became property of the estate because it was a proceed of the debtor’s contractual rights to the vehicle as of the petition date, whereas the original complaint alleged the vehicle itself was property of the estate on the petition date. The court finds that the fact that the debtor’s name was not on the certificate of title on the petition date is still dispositive. Opinion below.
Judge: Wise
Attorney for Trustee: Michael B. Baker
Attorneys for Defendants: Steffen Law Offices, Eric A. Steiden; Frost Brown Todd LLC, Paige Leigh Ellerman, Adam J. Webb; Aaron J. Nash; Patricia L. Johnson
Author: Matt Lindblom
(Bankr. E.D. Ky. July 17, 2017)
The bankruptcy court dismisses the debtor’s complaint seeking to avoid a transfer to the bank defendant. The transfer consisted of the Bank exercising its contractual setoff right and applying funds in the debtor’s bank account to the Bank’s claim. The transfer occurred while the bankruptcy case was dismissed. The debtor fails to state a claim that is plausible on its face. Opinion below.
Judge: Schaaf
Author: Matt Lindblom
(Bankr. E.D. Ky. May 18, 2017)
The bankruptcy court grants the defendant’s motion for judgment on the pleadings in this vehicle lien avoidance action. The debtor entered into a sale contract for purchase of the vehicle on the day before the petition was filed, but the certificate of title was not transferred to the debtor until after the petition was filed. Accordingly, the court finds that the vehicle is not property of the estate and the complaint should be dismissed. The court permits the trustee a period of time in which to file an amended complaint based on the trustee’s assertion that the estate may include rights under the sale contract. Opinion below.
Judge: Wise
Attorney for Trustee: Michael B. Baker
Attorneys for Defendants: Steiden Law Offices, Eric A. Steiden; Frost Brown Todd LLC, Paige Leigh Ellerman, Adam J. Webb; Aaron J. Nash; Patricia L. Johsnon
Author: Matt Lindblom
(Bankr. S.D. Ind. Feb. 10, 2017)
The bankruptcy court enters judgment in favor of the debtor on the trustee’s claims to avoid transfers of real property, but the court enters judgment in favor of the trustee on the claim under 11 U.S.C. § 727(a)(4) and denies the debtor a discharge. The court finds that the debtor made a false oath on his statement of financial affairs with reckless disregard for the truth. The debtor had transferred property prior to his divorce but claimed those transfers were made as a result of the divorce. Opinion below.
Judge: Moberly
Attorney for Trustee: Randolph A. Leerkamp
Attorneys for Defendant: Allen Wellman McNew, Michael Clifford Cooley, Wolf Law Firm, LLC, Sarah Margaret Wolf
Author: Matt Lindblom
(6th Cir. B.A.P. Feb. 2, 2017)
The Sixth Circuit B.A.P. affirms the bankruptcy court’s judgment in favor of the plaintiffs in the nondischargeability action. Collateral estoppel prevented the debtor from defending against the claim that the debt arose from fraud and a willful and malicious injury. A Tennessee state court had entered a default judgment against the debtor that included specific factual findings that established a claim for nondischargeability under 11 U.S.C. §§ 523(a)(2)(A), (a)(4), and (a)(6). Opinion below.
Judge: Opperman
Attorneys for Plaintiffs: Keating, Muething & Klekamp, Joseph E. Lehnert, Brian P. Muething, Jason V. Stitt
Attorneys for Debtor: Hamm, Milby & Ridings, Roger Aaron Hostettler
Author: Matt Lindblom
(Bankr. E.D. Ky. Jan. 6, 2017)
The bankruptcy court sustains the creditor’s objection to confirmation of the Chapter 13 plan. The debtor filed her bankruptcy petition after the creditor obtained a judgment and order of sale with respect to the debtor’s residence, after the creditor was the successful bidder at the resulting foreclosure sale, but before the state court confirmed the foreclosure sale. The creditor argued the debtor was not permitted to cure the default through her plan. The court discusses 11 U.S.C. § 1322(c) and holds that the debtor may not cure the default through a plan after the “gavel comes down on the last bid.” Confirmation of the sale and the right of redemption do not affect the analysis. Opinion below.
Judge: Schaaf
Attorney for Debtor: DelCotto Law Group PLLC, Dean A. Langdon
Attorneys for Creditor: Goldberg Simpson, LLC, Stephen R. Solomon, Megan P. Keane
Author: Matt Lindblom
(6th Cir. Jan. 3, 2017)
The Sixth Circuit affirms the bankruptcy court’s dismissal of the trustee’s fraudulent transfer complaint. The trustee alleged the defendant was the recipient of a fraudulent transfer from the debtors, but the transfer was actually made to the defendant by an LLC seperate from the debtors. The trustee failed to allege facts sufficient for the doctrine of substantive consolidation and veil piercing is inappropriate here because Kentucky courts endorse the vicarious liability approach to veil piercing rather than the identity approach. The debtor had no interest in the alleged alter ego’s assets. Opinion below.
Judge: Griffin
Attorneys for Defendant: Stoll Keenon Ogden PLLC, Adam M. Back
Attorneys for Trustee: Bingham Greenebaum Doll LLP, Richard Boydston
Author: Matt Lindblom
(Bankr. E.D. Ky. Dec. 27, 2016)
The bankruptcy court dismisses the creditor’s non-dischargeability complaint under 11 U.S.C. § 523(a)(2)(A) and (a)(6). The creditor conceded that the debt was based on a breach of contract claim. However, the creditor alleged the debt was converted to a non-dischargeable debt based on the debtor’s post-judgment efforts to avoid collection. The court finds that the creditor failed to state a claim in part because the alleged behavior did not result in the debt sought to be declared non-dischargeable. Opinion below.
Judge: Schaaf
Attorneys for Plaintiff: DelCotto Law Group PLLC, Laura Day DelCotto
Attorney for Defendant: Michael B. Baker
Author: Matt Lindblom
(Bankr. W.D. Ky. Dec. 1, 2016)
Following trial, the bankruptcy court excepts from discharge a debt arising from a loan, but holds the plaintiff failed to meet its burden with respect to other debts. The court also finds that a lien was not created where there was no proof of an actual levy, but a seperate judgment lien is held valid. The court denies the debtor’s motion to avoid the lien. Opinion below.
Judge: Stout
Attorneys for Plaintiff: Thomas, Arvin & Adams, James G. Adams, III, David E. Arvin
Attorneys for Defendant: King, Deep & Branaman, Harry L. Mathison
Author: Matt Lindblom
Kentuckiana Bankruptcy Opinions 