The court approved a settlement between the debtors and the trustee of a motion to convert and a motion to use post-petition earnings, because the agreement was in the creditors' interest & was better for the estate than protracted complex litigation.
The transfer of property subject to an IRS estate tax lien divested the property of the lien. The IRS lien on remaining property was junior to prior perfected security interests. A Chapter 12 plan may modify the IRS's rights, including timing of payments
Trial should be held to determine whether debtor wife's non-dischargeable debt for restitution is dischargeable as to debtor husband. To succeed, the plaintiff will have to prove actual fraud or some other element of section 523 as against the husband
Grants debtor's motion to reopen case to recover money withheld from her unemployment benefits post-discharge by the state labor dept. to recoup pre-petition overpayments. Discusses Bankruptcy Code's distinction between recoupment and setoff.
Under § 522(f), the debtors could avoid the portion of the lender's lien on their vehicle that impaired their exemptions in the vehicle. Under Rule 4003(d), the matter was properly brought by motion rather than as an adversary proceeding
Consolidated hearing on debtor's motions to use cash collateral and for security determination, and creditor's motions for trustee and relief from stay. Creditor is secured, but motion for relief from stay denied. Debtor's motion to use cash denied
Relief from stay granted to continue with arbitration proceedings. Factual disputes exist regarding the alleged breach and/or termination of the licensing agreement, & there is a strong presumption in favor of allowing arbitration proceedings to continue
Nebr. Trust Deeds Act (section 76-1010) requires delivery of the deed "forthwith", meaning "within a reasonable time under the circumstances." An intervening bankruptcy can stay delivery, but dismissal of the case doesn't require renoticing of the sale.
Published at 322 B.R. 874. Post-confirmation motion to sell certain assets was denied because sale provided no benefit to unsecured creditors & attempted to change Code priorities. Moreover, it isn't clear that the court has jurisdiction over Section 363(f) sales post-confirmation.
