Viera v. Whitfield (In re Shiver), 598 B.R. 221 (Bankr. D. S.C. 2019) –
A chapter 7 trustee sought to avoid a judgment, a lis pendens and a foreclosure decree involving the debtor’s property as preferences and/or by exercising the strong arm power of a bona fide purchaser of real estate. The bankruptcy court addressed cross-motions for summary judgment. Continue reading
Trinity 83 Dev., LLC v. Colfin Midwest Funding, LLC, 917 F.3d 599 (7th Cir. 2019) –
A Chapter 11 debtor sought to avoid the cancellation of a mortgage satisfaction as a fraudulent conveyance, contending that the mortgage satisfaction extinguished the debt and security interest. The bankruptcy court disagreed, the district court affirmed, and the debtor appealed to the Seventh Circuit. Continue reading
Paddock, LLC v. Bennett (In re Bennett), 917 F.3d 676 (8th Cir. 2019) –
A creditor holding a security interest in a manufactured home contended that its claim was secured only by real property that was the debtors’ principal residence. Consequently, it objected to a chapter 13 debtors’ plan on the grounds that it improperly modified the creditor’s claim. The bankruptcy court overruled the objection, the Bankruptcy Appellate Panel (BAP) affirmed, and the creditor appealed to the Eighth Circuit. Continue reading
Harker v. PNC Mortgage Co. (In re Oakes), 917 F.3d 523 (6th Cir. 2019) –
A chapter 7 trustee brought an adversary proceeding to avoid a defectively acknowledged mortgage by exercising a trustee’s strong-arm powers as a bona fide purchaser of real property or a judicial lien creditor. The bankruptcy court denied the mortgagee’s motion for judgment on the pleadings, the Sixth Circuit BAP affirmed, and the mortgagee appealed to the Sixth Circuit. Continue reading
BMO Harris Bank, N.A. v. Anderson (In re Anderson), 917 F.3d 566 (7th Cir. 2019) –
After a mortgagee obtained relief from the automatic stay so that it could foreclose its mortgage in state court, it returned to the bankruptcy court to assert a deficiency claim. The debtor objected on the basis that claim splitting was prohibited. The bankruptcy court ruled against the debtor, the district court reversed, and the mortgagee appealed to the Seventh Circuit. Continue reading
In re Fairfield TIC, LLC, 594 B.R. 852 (Bankr. E.D. Va. 2018) –
The debtor and its co-owners bought a shopping center as tenants-in-common. After the debtor filed bankruptcy, the noteholder secured by a mortgage on the property and a receiver appointed to manage the property moved to dismiss the debtor’s bankruptcy for cause. Continue reading
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