New Cases For the Week of December 15, 2003 -
December 18, 2003
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- The Source for Business Bankruptcy Information on the Internet
December
19, 2003
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Case
|
Court
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Holding
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In
re Bogan
(DBN Subscription Required) |
Bankr.
W.D. Pa. |
A
postpetition embezzlement
victim who is unable to trace
the embezzled funds to funds
in the possession of, or
distributed by, a bankruptcy
trustee, is not entitled to
recoupment, a constructive
trust, an equitable lien or
reclamation. |
In
re Bogan
(DBN Subscription Required) |
Bankr.
W.D. Pa. |
The
shield of exemption may be
penetrated in extreme
circumstances where there is
fraudulent conduct or a clear
showing of bad faith. A
debtor's postpetition,
undisclosed embezzlement from
her employer constituted such
extreme circumstances,
disqualifying the debtor from
any exemption rights. |
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December
18, 2003
|
Case
|
Court
|
Holding
|
Bethea
v. Robert J. Adams &
Associates
(DBN Subscription Required) |
7th
Cir. |
Pre-petition
debts for legal fees are
subject to discharge under
§727 even if services are
performed or owed
postpetition. |
In
re ATD Corp.
(DBN Subscription Required) |
6th
Cir. |
Even
if a bankruptcy court has any
ability to override the
"deemed filed"
effect of a scheduled claim
through a bar date order
(which the court declined to
decide), the bar date order
issued in this case could not
achieve that result. |
In
re Continental Airlines, Inc.
et al.
(DBN Subscription Required) |
Bankr.
DE |
An
appellate decision holding
that CBA claims against a
debtor's estate were
discharged, but that the
employees' right to arbitrate
was not extinguished (due to
the debtor's failure to reject
the CBA), permitted the
employees to proceed with the
arbitration. |
In
re Mariner POst-Acute Network,
Inc.
(DBN Subscription Required) |
Bankr.
DE |
A
claim for indemnity under a
prepetition agreement but
based upon postpetition events
is a prepetition claim,
subject to discharge. |
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December
17, 2003
|
Case
|
Court
|
Holding
|
In
re Berkshire Foods, Inc.
(DBN Subscription Required) |
Bankr.
N.D. Ill. |
Where
a debtor settles a claim that
may be covered by insurance by
agreeing with the claimant on
the amount of the claim but
further agreeing that the
claimant will seek recovery
only from the insurance
company and not from the
debtor, the insurance company
is entitled to have the order
approving the settlement
revoked where the insurance
company was not given notice
of the original settlement. |
In
re Wheeler
(DBN Subscription Required) |
Bankr.
N.D. Tex. |
Where
a State court money judgment
arising from a bench trial on
multiple causes of action did
not include any findings of
fact, the judgment could not
form the basis for a
collateral estoppel bar in a
later dischargeability action
against the judgment
debtor. It was
impossible for the bankruptcy
court to determine the causes
of action upon which the
judgment had been entered. |
In
re DeLong
(DBN Subscription Required) |
Bankr.
C.D. Ill. |
A
bankruptcy filing occurs when
the petition is received and
docketed, not when the
petition is mailed. |
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December
15, 2003
|
Case
|
Court
|
Holding
|
In
re O'Brien
(DBN Subscription Required) |
9th
Cir. |
The
Bankruptcy Court did not err
in dismissing a
dischargeability action
brought by George Harrison
against his manager when
Harrison refused to submit
himself for deposition. |
In
re Burley
(DBN Subscription Required) |
Bankr.
W.D. Mo. |
Time for determining a debtor's exemption is the time of filing. |
In
re Coram Healthcare Corp.
(DBN Subscription Required) |
Bankr.
De. |
A
postpetition action by a
bankruptcy estate against a
tird party is a core
proceeding since it is a
matter concerning the
administration of the estate.
Unless
a bankruptcy court's
jurisdiction is based solely
on diversity, section 1391(b),
rather than section 1391(a),
governs venue of an adversary
proceeding.
Venue
in a postpetition breach of
contract action between a
bankruptcy estate and a third
party is not proper in the
district presiding over the
main bankruptcy case unless:
(i) that district is where the
events forming the basis for
the lawsuit occurred or (ii)
that district is where all
defendants reside (if all
defendants are form the same
State). |
U.S.
v. State Street Bank and Trust
Co.
(DBN Subscription Required) |
Bankr.
De. |
A
postconfirmation claimant cannot be be barred
by res judicata arising from a confirmed
plan. |
Jackson
v. Kincaid
(DBN Subscription Required) |
Tex.
Crt. App. |
Lawyers'
pro hac vice appearances in a
Texas bankruptcy case
established minimum contacts
with the State of Texas for
the purpose of asserting in
personam jurisdiction over the
lawyers in a Texas lawsuit. |
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