New Cases For the Week of September 17, 2001 -
September 21, 2001
Brought to you by BKINFORMATION.COM
- The Source for Business Bankruptcy Information on the Internet
September 17, 2001
|
Case
|
Court
|
Holding
|
In
re Chiu
(DBN Subscription Required) |
9th Cir. BAP |
A
Chapter 7 debtor who has sold his exempt homestead after his
case has been closed nevertheless has standing to reopen the
case and seek to avoid (under 11 USC 522(f)) a judicial lien
on certain escrowed proceeds of the sale. |
In
re Jacks
(DBN Subscription Required) |
9th Cir
BAP |
Under
California law, a director of an insolvent corporation owes a
fiduciary duty to the corporation's creditors. This duty
comprises a sufficient "express trust" for the
purposes of 11 USC 523(a)(4).
Nondischargeability under 11 USC 523(a)(6)
can be established by proof that the debtor intended to injure
the creditor, or believed that injury was substantially
certain to occur as the result of his conduct. A
property interest need not be be secured or otherwise
earmarked to be the subject of a willful and malicious injury
to form the basis for a claim under 11 USC 523(a)(6).
When the officers and directors of an insolvent corporation
misappropriated and fraudulently transferred corporate assets
while the corporation is insolvent, thus injuring a
creditor's unsecured claim against the corporation, this
conduct can form the basis for a claim under 11 USC
523(a)(6). |
|
|
|
|
|
|
| |