Author Archives: BankruptcyRealEstateInsights

About BankruptcyRealEstateInsights

Vicki R. Harding was a partner in the Detroit office of Pepper Hamilton LLP who moved to Arizona seeking warmer weather. Ms. Harding continues to handle commercial transactions with an emphasis on real estate and bankruptcy issues (but no longer owns a snow shovel).

Bankruptcy Estate: Would the Automatic Stay Protect a Squatter?

In re Castle Service, 560 B.R. 587 (Bankr. D. Utah 2016) – The debtor occupied but did not hold title to the real property where its business was located. A mortgagee seeking to foreclose on the property moved for a … Continue reading

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Property Surrender: Surrender Means Surrender – No If’s, And’s or But’s

Failla v. Citibank, N.A. (In re Failla), 838 F.3d 1170 (11th Cir. 2016) – After chapter 7 debtors filed a statement of intention to surrender their house to their mortgagee, they continued to oppose the lender in a state court … Continue reading

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Deeds: Not All “Freebies” Are Fraudulent

Rodriguez v. Nelabovige (In re Kirst), 559 B.R. 757 (Bankr. D. Colo. 2016) – About a year before filing bankruptcy, a debtor conveyed his interest as a joint tenant in a residential property to his mother-in-law in consideration for $10. … Continue reading

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Broker Commissions: So You Want To Be Paid

Harris v. Scarcelli (In re Oak Knoll Assoc., L.P.), 835 F.3d 24 (1st Cir. 2016) – A real estate broker asserted a claim for a commission in connection with a post-petition sale of property by the debtor. The bankruptcy court … Continue reading

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Disposition of UCC Collateral: “Everybody Does It”

Morgantown Excavators, Inc. v The Huntington Nat’l Bank (In re Morgantown Excavators, Inc.), 557 B.R. 469 (Bankr. N.D. W.Va. 2016) – Chapter 7 debtors sued a lender alleging violations of the Uniform Commercial Code (UCC) and other state law based … Continue reading

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Bankruptcy Sales: Buyers Are Not the Only Ones Who Should Beware

In Re Vista Marketing Group LTD., 557 B.R. 630 (Bankr. N.D. Ill. 2016) – The purchaser of property from a chapter 11 debtor was surcharged by a sanitary district for a connection fee that arose because the initial connection fee … Continue reading

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When the Debtor Holds a Junior Lien: Can a Senior Lien Creditor March On or Is It Stayed?

Invest Vegas, LLC v. 21st Mortgage Corp. (In re Residential Capital, LLC), 556 B.R. 555 (Bankr. S.D. N.Y. 2016) – A debtor held a note secured by a first priority deed of trust on property that was also subject to a … Continue reading

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