The court directed the debtors to file an amended Chapter 12 plan to deal with certain objections, including an administrative expense claim for attorney fees, a supplier's lien, and the payment of the IRS's priority claim.
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The court denied confirmation of the debtor's Chapter 12 plan. He must file an amended plan to deal with certain priority (tax), administrative (attorney fees), and secured claims, and explain specifically how each objector's claim will be paid.
In Chapter 7, funds administered by the trustee are intended for payment of pre-petition debt, not for post-petition child support, and should be distributed according to the priority structure of § 726, usually pro-rata among each priority level.
Court denies motion for contempt of order against debtor, finding that the debtor is attempting to comply by making payments and obtaining funds not currently in the debtor's possession.
A creditor and its counsel were sanctioned for continuing to garnish debtor's wages. Counsel was unaware of a procedural change requiring a release of garnishment to be filed. However, he was notified twice before finally stopping the garnishment.
An agricultural input supplier's statutory lien was valid but was not timely perfected, so it did not have priority over subsequent lienholders. Thus, the debtors could enroll in Farm Service Agency programs and grant the FSA a first lien on crops.
Debtor, a homebuilder, executed deeds of trust to its lender on real estate actually owned not by the debtor but by related entities. The court denied lender's attempt at reformation of the deeds of trust to preserve the lender's superior lien interests
Debtor, a homebuilder, executed deeds of trust to its lender on real estate actually owned not by the debtor but by related entities. The court denied lender's attempt to reform the deeds of trust to preserve the lender's superior lien interests.
The trustee's complaint to avoid alleged fraudulent transfers was untimely filed under § 544. The longer state law statute of limitations did not save the lawsuit because the trustee necessarily was acting under the authority of the Bankruptcy Code.
The court denied the debtor’s application for unclaimed funds deposited by the Chapter 7 trustee with the court and representing uncashed dividend checks. The court ruled that the funds nevertheless belonged to the creditors and should not be distributed to the debtor or its successor.