Tag Archives: avoidance action

Preferences: Judgment Creditors May Find Themselves Exposed Given the Nature of Judgment Liens

Karim v. Bayview Loan Servicing, LLC (In re Karim), 582 B.R. 193 (Bankr. N.D. Ill. 2018) – Chapter 11 debtors sought to avoid prepetition transfers to a judgment creditor as preferences. The debtors received a check in connection with the sale … Continue reading

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Defective Mortgages: Variations on a Theme

Harker v. PNC Mtg. Co. (In re Oakes), 581 B.R. 500 (6th Cir. B.A.P. 2018) – A chapter 7 trustee sought to avoid a recorded mortgage with a defective acknowledgment using his strong arm powers. The bankruptcy court ruled in favor … Continue reading

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Defective Mortgages: There Is Constructive Notice, and Then There Is Inquiry Notice

Kelley v. USAA Fed. Sav. Bank (In re Jones), 580 B.R. 916 (Bankr. M.D. Ga. 2017) – A chapter 7 trustee sought to avoid a lender’s lien on property of the debtor. The recorded deed of trust was not signed by … Continue reading

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UCC Terminations: An “Oops” Filing Can Be Fatal

Crop Production Services, Inc. v. Wheeler (In re Wheeler), 580 B.R. 719 (Bankr. W.D. Ky. 2017) – A chapter 7 debtor was a farmer who obtained various loans for equipment and land and to put crops in the field. One of … Continue reading

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Disallowed Claims and Lien Stripping: Plain English May Not Be Sufficient to Win the Day

Kohout v. Nationstar Mortgage, LLC, 576 B.R. 290 (N.D.N.Y. 2017) – Chapter 13 debtors sought to avoid a mortgage lien after the claim was disallowed on procedural grounds. The bankruptcy court found in favor of the mortgagee and the debtors appealed … Continue reading

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Resale Profit Participation: Beware – Payments May Be Avoidable as Preferences

Kane v. Coulson (In re Price), 575 B.R. 461 (Bankr. D. Haw. 2017) – A chapter 7 trustee sought to recover as a preference the transfer of proceeds from a sale of the debtor’s real estate under a profit sharing agreement. … Continue reading

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Abandonment: What Does It Take to Show Substantial Value?

Gill v. Kirresh (In re Gill), 574 B.R. 709 (9th Cir. BAP 2017) – A debtor moved to compel a chapter 7 trustee to abandon residential property on the basis that it was of inconsequential value to the bankruptcy estate. The … Continue reading

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