In Re Engels, 536 B.R. 529 (Bankr. N.D. N.Y. 2015) –
Postpetition a chapter 13 debtor signed an asset purchase agreement to sell certain real estate subject to court approval. However, the debtor never sought approval – not even after the buyer obtained a state court judgment directing the debtor to file a motion seeking bankruptcy court approval. Continue reading
In re Williams, 542 B.R. 514 (Bankr. D. Kan. 2015) –
A chapter 13 debtor obtained confirmation of a plan which provided for surrender of his residential property to a secured creditor. The debtor later moved to amend the plan to provide for vesting of title to the property in the creditor, and the creditor objected. Continue reading
In Re Kachina Village, LLC, 538 B.R. 124 (Bankr. D. N.M. 2015) –
A creditor sought to have its collateral designated as “single asset real estate” in order to trigger certain special protections relating to the automatic stay. The court’s decision turned on whether the property came within the exclusion for “residential real property fewer than 4 residential units.” Continue reading
Two chapter 7 debtors sued a lender claiming violations of the Uniform Commercial Code (UCC) in connection with the lender’s sale of its collateral. The bankruptcy court found for the lender on two notice issues, but concluded that there were genuine issues of fact with respect to whether the lender provided reasonable notice of the sale and whether the sale was commercially reasonable. Thus, the court denied summary judgment on those issues. Continue reading
Simon v. Miller (In re Miller Parking Co., LLC), 536 B.R. 197 (E.D. Mich. 2015) –
Both a limited liability company and its sole member filed chapter 7 bankruptcy cases. The chapter 7 trustee for the sole member filed a proof of claim in the LLC’s case for claims of the sole member’s creditors. The bankruptcy court disallowed the claim and the trustee appealed to the district court. Continue reading
Escrow Funds: Who Gets to Keep the Cash?
In Re Cypress Health Systems Florida, Inc., 536 B.R. 334 (Bankr. N.D. Fla. 2015) –
A Chapter 11 debtor filed a motion to require a title company to turn over a $50,000 escrow deposit that had been made by a buyer in connection with a proposed acquisition of the debtor’s assets. The buyer objected, contending that the funds were not part of the bankruptcy estate. Continue reading
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