New Cases For the Week of February 3, 2003 - February 5, 2003

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February 7, 2003

Case

Court

Holding

In re Airspect Air, Inc.
(DBN Subscription Required)
6th Cir. BAP The bankruptcy court erred in reducing special counsel's contingency fee based upon a finding that the fee was improvident in light of events that could not have been predicted at the time the contract was approved.

February 6, 2003

Case

Court

Holding

In re Stern
(DBN Subscription Required)
9th Cir. The purposeful conversion of nonexempt assets to exempt assets on the eve of bankruptcy is not fraudulent per se
In re Bissonnet Investments LLC
(DBN Subscription Required)
5th Cir. The Court of Appeals has jurisdiction to review a district court's decision not to remand a case removed pursuant to bankruptcy court jurisdiction to state court.
In re Johnson
(DBN Subscription Required)
8th Cir. BAP Although the debtor did not live in the property claimed as his homestead, he had a lien on such property (which was occupied by his ex-spouse and child) pursuant to a divorce decree, and he was entitled to claim a homestead  exemption in the value of that lien.

February 4, 2003

Case

Court

Holding

In re Hood
(DBN Subscription Required)
6th Cir. Article I, section 8 of the Constitution gives Congress the power to abrogate states' sovereign immunity to compel a state to appear in federal court to adjudicate the dischargeability of a student loan. Through the Bankruptcy Clause to the Constitution (authorizing Congress to pass uniform laws regarding bankruptcy), the states have ceded to the federal government their immunity from suit in bankruptcy.
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