In re Sperry, 562 B.R. 1 (Bankr. D. Mass. 2016) –
The debtors’ chapter 13 plan included a provision requiring the first mortgagee to send the debtors monthly mortgage loan statements. The mortgagee argued that this made the plan unconfirmable. Continue reading
Mainsource Bank v. Leaf Capital Funding, LLC (In re Nay), 563 B.R. 535 (Bankr. S.D. Ind. 2017) –
A bank brought an adversary proceeding seeking a determination of the validity and priority of the competing lien of an equipment lender. The bank also objected to the proof of claim filed by the equipment lender. The case turned on the effect of a minor error in the equipment lender’s UCC financing statement. Continue reading
HSBC Bank USA, N.A. v. Lassman (In re DeMore), 844 F.3d 292 (1st Cir. 2016) –
A chapter 7 trustee sought to avoid a mortgage using his strong arm powers based on an improper acknowledgment by a person executing the mortgage under a power of attorney. The bankruptcy court ruled in favor of the trustee; the district court reversed; and the trustee appealed to the 1st Circuit. Continue reading
WBCMT 2007 C33 Office 9720, L.L.C. v. NNN Realty Advisors, Inc., 844 F.3d 473 (5th Cir. 2016) –
A noteholder sought to enforce a guaranty of a $17.5 million loan made to various entities for the purpose of acquiring tenant-in-common interests in a real estate project. The case turned on whether the term “Borrower” meant only the group of entities collectively or also included the entities individually. The District Court found in favor of the guarantor, and the noteholder appealed to the 5th Circuit. Continue reading
In re Elkouby, 561 B.R. 551 (Bankr. S.D. Fla. 2016) –
A chapter 7 debtor filed a statement that he intended to surrender real property securing a loan. After the bankruptcy case was closed, the debtor continued actively opposing a foreclosure action. In response the mortgagee moved to reopen the case and asked the bankruptcy court to compel the debtor to surrender the property. The central issue was the meaning and consequences of “surrender.” Continue reading
CRP Holdings, A-1, LLC v. O’Sullivan (In re O’Sullivan), 841 F3d 786 (8th Cir. 2016) –
A chapter 7 debtor sought to avoid a judgment lien on the grounds that the lien impaired the debtor’s exemption. The bankruptcy court granted the debtor’s motion, the Bankruptcy Appellate Panel (BAP) affirmed, and the judgment creditor appealed to the 8th Circuit. Continue reading
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