In re Mik

(Bankr. W.D. Ky. Mar. 8, 2016)

The bankruptcy court sustains the debtors’ objection to the creditor’s claim. The court determines that the creditor failed to establish that the transaction with the debtors was intended as a loan. Instead, the parties had formed a partnership with the creditor making capital contributions, rather than loans. Opinion below.

2016-03-08 – in re mik

Author: Matt Lindblom

Harris v. Deutsche Bank National Trust Company (In re Harris)

(S.D. Ind. Feb. 8, 2016)

The district court affirms the bankruptcy court’s decision holding that the debtor was collaterally estopped from challenging the amount of the mortgage lender’s claim. The lender had obtained judgment in a prepetition state court foreclosure action, in which the debtor had presented the same arguments regarding the loan balance calculation. The district court finds that the doctrine of collateral estoppel applies and the claim amount could not be re-litigated in the bankruptcy. Opinion below.

2016-02-08 – in re harris

Author: Matt Lindblom

In re Posey

(Bankr. W.D. Ky. Jan. 21, 2016)

The bankruptcy court overrules the debtor’s objection to the division of unemployment insurance’s claim for overpayment of benefits to the debtor. The debtor argued that the claim should be unsecured, rather than secured as submitted by the division. The court finds that the claim is secured by virtue of KRS 341.415(3), which creates a lien against property of a recipient of improperly paid benefits. Opinion below.

2016-01-21 – in re posey

Author: Matt Lindblom

In re Vernon

(Bankr. W.D. Ky. Jan. 8, 2016)

The bankruptcy court grants the creditor’s motion to vacate an order sustaining the debtor’s objection to the creditor’s claim. The court entered the order prior to the expiration of the 30-day period in Bankruptcy Rule 3007(a) (requiring 30 days and a hearing for claim objections). The creditor filed an amended claim with additional support for its claim, and the debtor failed to rebut the evidence. Thus, the claim is allowed. Opinion below.

2016-01-08 – in re vernon

Author: Matt Lindblom

In re Ariana Energy, LLC

(Bankr. E.D. Ky. Oct. 30, 2015)

The bankruptcy court sustains the debtor’s objection and disallows the creditor’s claim. The creditor failed to establish that it was a guarantor of a certain agreement to which the debtor was a party. Therefore, the creditor could not prove an essential element of its subrogation claim. Opinion below.

2015-10-30 – in re ariana energy

Author: Matt Lindblom

Bankr. N.D. Ind. Opinions

In re Radtke (Bankr. N.D. Ind. June 9, 2015) – Court sustains trustee’s objection to claimed exemption for real property because property sold on a land contract.

2015-06-09 – in re radtke

Hernandez v. Montgomery (In re Montgomery) (Bankr. N.D. Ind. June 10, 2015) – Court enters judgment in favor of debtor, finding debt dischargeable. The Debtor had failed to disclose that she did not yet own real property when she entered into contract to sell it to plaintiff, but that did not satisfy requirements for finding debt non dischargeable.

2015-06-10 – hernandez-gutierrez v montgomery

In re Sensibaugh (Bankr. N.D. Ind. July 21, 2015) – Court overrules debtor’s objection to claim that had been paid in full after the petition was filed. The court reasons that the claim is accurate as of the petition date and, even though it has been fully paid, it was properly filed.

2015-07-21 – in re sensibaugh

Author: Matt Lindblom

Richer v. Morehead

(7th Cir. Aug. 11, 2015)

The Seventh Circuit affirms the bankruptcy court’s decision upholding the creditor’s claim following the debtor’s objection. The court analyzes an equity participation agreement entered into by the debtor and the creditor and ultimately decides the creditor’s interpretation of a notice provision and associated deadlines for converting the participation interest to a demand note is the more plausible interpretation. Opinion below.

2015-08-11 – richer v morehead

Author: Matt Lindblom