MEMORANDUM OPINION JACK B. SCHMETTERER, Bankruptcy Judge. This Adversary Proceeding is related to the Chapter 7 Bankruptcy Case filed by Debtor-Defendant James George Bauman (the "Defendant"). The two-count Amended Complaint filed in this Adversary by Plaintiff Shriners Hospital for Children (the "Plaintiff) seeks a determination barring dischargeability of debt assertedly owed by the Defendant to the Plaintiff pursuant to section 523(a)(4) and (a)(6) of the Bankruptcy Code, 11 U.S.C....
MEMORANDUM OPINION ON CENTERPOINT'S MOTION TO DISMISS DEBTOR'S UPDATED THIRD AMENDED CHAPTER 11 PLAN (Docket No. 1093) JACK B. SCHMETTERER, Bankruptcy Judge. I. INTRODUCTION A. Factual Background Olde Prairie Block Owner, LLC ("Prairie" or "Debtor") is Debtor in this Chapter 11 case. Its secured creditor CenterPoint Properties Trust ("CenterPoint") has pending a Motion to Dismiss the case, contending that Prairie's pending "Updated Third Amended Plan of Reorganization" proposes an...
MEMORANDUM OPINION MANUEL BARBOSA, Bankruptcy Judge. Factual Background Before closing its doors in 2009, the River Street Press Inc. printed mailers, stationary and financial documents. At least in the years in question, Steve Conner was a shareholder and president of the company. The Plaintiff, Dan Borowiak, made an investment in the company in the summer of 2007, which he alleges was induced by fraudulent misrepresentations made by Mr. Conner. Mr. Borowiak had known about the River...
MEMORANDUM OPINION ON PLAINTIFF'S MOTION FOR SUMMARY JUDGMENT JACK B. SCHMETTERER, Bankruptcy Judge. Following judgment herein and remand by the Seventh Circuit Court of Appeals to consider specified issues, the Plaintiff Chapter 11 Trustee Paloian filed a Motion for Partial Summary Judgment. That Motion is denied by separate order for reasons set forth below. I. Introduction Doctors Hospital of Hyde Park, Inc. ("Doctors Hospital" or "Hospital") filed a Chapter 11 Bankruptcy case on...
MEMORANDUM OPINION ON MOTION OF CENTERPOINT TO RECONSIDER COURT'S FINDINGS OF FACT AND CONCLUSIONS OF LAW ON COUNT III OF COUNTERCLAIM AND TO AMEND JUDGMENT ORDER ON THAT COUNT JACK B. SCHMETTERER, Bankruptcy Judge. Following trial held on Count III of the Debtor's Counterclaim to CenterPoint's secured claim on its Mortgage Note, Findings of Fact and Conclusions of Law were made and entered, and Additional Conclusions of Law later entered. Based thereon a Judgment Order was entered August...
MEMORANDUM OPINION MANUEL BARBOSA, Bankruptcy Judge. The United States Trustee, joined by the Creditor Trustees on behalf of the liquidating trust formed by the confirmation of the Debtor's Chapter 11 Plan, object to the final fee application filed by the Debtor's attorney, Querrey & Harrow, Ltd. ("Q & H"), and also seek to disgorge the fees previously received by Q & H. Three interim fee applications, totaling $273,892.34 in fees and expenses were already approved and received by Q & H. Q &...
MEMORANDUM OPINION ON DEBTOR'S MOTION TO DISMISS FOR FAILURE TO STATE A CLAIM UPON WHICH RELIEF CAN BE GRANTED JACK B. SCHMETTERER, Bankruptcy Judge. BACKGROUND Richard Rudolph McGuire ("Debtor") filed for Chapter 7 bankruptcy protection on July 8, 2010. Upon filing, Eugene Crane was appointed as Chapter 7 Trustee ("Plaintiff). On October 22, 2010, Plaintiff filed an adversary proceeding, Crane v. McGuire et al., 10 A 02167 seeking to avoid a fraudulent transfer of real property under 11...
MEMORANDUM OPINION PAMELA S. HOLLIS, Bankruptcy Judge. On December 17, 2008, Chicago American Manufacturing, LLC ("CAM") and Lakewood Engineering & Manufacturing Co. ("Lakewood") signed a three page contract (with a one page exhibit), titled "Supply Agreement." The purpose of the Supply Agreement was to facilitate the production of certain 20 inch box fans. Lakewood had manufactured these fans for many years, but in 2008 decided to outsource their production to CAM. Execution of the Supply...
MEMORANDUM OPINION ON (1) DEBTOR'S MOTION FOR USE OF THE CASH COLLATERAL OF PNC BANK NATIONAL ASSOCIATION TO PAY PROFESSIONAL FEES (DOCKET NO. 189) (2) PNC BANK NATIONAL ASSOCIATION'S MOTION TO STAY DEBTOR'S MOTION FOR USE OF CASH COLLATERAL (DOCKET NO. 197) JACK B. SCHMETTERER, Bankruptcy Judge. Ruling was recently announced on the Motion of PNC Bank National Association ("PNC") to Modify Stay, denying it conditionally. The gist of the ruling was that, if Debtor's Plan is modified to...
MEMORANDUM OPINION ON PLAINTIFFS MOTION FOR SUMMARY JUDGMENT JACK B. SCHMETTERER, Bankruptcy Judge. This is an Adversary proceeding related to the Chapter 13 bankruptcy case filed by Antonio and Modesta Melgoza ("Debtors") on November 30, 2010. The Debtors have filed a motion for summary judgment, seeking to strip off and void a junior mortgage held by Washington Federal Bank for Savings ("Washington") under 11 U.S.C. 506(d). In its Answer to the Debtor's Complaint, Washington contested the...
AMENDED MEMORANDUM OPINION ON MOTION TO DISMISS (Dkt. No. 42) JACQUELINE P. COX, Bankruptcy Judge. Defendant Horace Fox, Jr., in his capacity as the Chapter 7 Trustee ("Trustee Fox") of the bankruptcy estate of Debtor Richard Sharif, asks that the court dismiss Plaintiff Ragda Sharifeh's two-count Adversary Complaint herein pursuant to Federal Rule of Civil Procedure 12(b)(6), made applicable to adversary proceedings by Federal Rule of Bankruptcy Procedure 7012(b) 1 . For the separate...
MEMORANDUM OF DECISION EUGENE R. WEDOFF, Bankruptcy Judge. The defendants' summary judgment motion now before the court arises from the intersection of two complaints. One is a complaint in this bankruptcy case, brought by the trustee of the Chapter 7 estate of Emerald Casino, Inc. ("Emerald") against several defendants involved in Emerald's management. The other is an Illinois state court complaint first brought by individual investors in Emerald against many of the same defendants. The...
FINDINGS OF FACT AND CONCLUSION OF LAW JACK B. SCHMETTERER, Judge. Pursuant to a Default Order and because the allegations in the Complaint have been taken as confessed against Chase Home Finance, LLC, the following findings of fact and conclusions of law are made and will be entered: 1. Plaintiff is individual residing at 4419 S. Lowe, Chicago, IL 60609. 2. Chase Home Finance, LLC is lender and/or servicer of mortgage. 3. Plaintiff filed for relief under Chapter 13 of the United States...
FINDINGS OF FACT AND CONCLUSIONS OF LAW ON DEBTOR'S OBJECTION AND COUNTERCLAIM COUNT III TO CENTERPOINT CLAIM NO. 1 JACK B. SCHMETTERER, Bankruptcy Judge. Olde Prairie Block Owner, LLC, the debtor in this Chapter 11 bankruptcy case, has asserted Counterclaims and Objection to the Claim of its mortgagee CenterPoint Properties Trust ("CenterPoint"). Of the five Counterclaim Counts, four were previously disposed of and only Count III remains. Debtor asserts in Count III that CenterPoint...
MEMORANDUM OPINION MANUEL BARBOSA, Bankruptcy Judge. This matter comes before the Court on the motion of the trustees of the Gluth Bros. Construction, Inc. Creditor Trust to compel American Community Bank and Trust to release its mortgage. For the reasons set forth herein, the Creditor Trustees' motion is GRANTED. JURISDICTION AND PROCEDURE The Court has jurisdiction to decide this matter pursuant to 28 U.S.C. 1334 and Internal Operating Procedure 15(a) of the United States District...
MEMORANDUM OPINION PAMELA S. HOLLIS, Bankruptcy Judge. This matter is before the court on the objection of Wells Fargo Bank, N.A. ("Wells Fargo") and its successor-in-interest German American Capital Corporation ("GACC," herein referred to collectively as the "Bank,") 1 to the motion of Highlands of Montour Run, LLC (the "Debtor") to approve its disclosure statement. For the foregoing reasons, the Bank's objection is sustained. FACTS AND BACKGROUND The Debtor filed a voluntary petition for...
MEMORANDUM OPINION SUSAN PIERSON SONDERBY, Bankruptcy Judge. This matter comes before the court on the Amended Motion of Wisenbaker Builder Services, Inc. and Wisenbaker Builder Services, Ltd. to Dismiss Amended Adversary Complaint. For the reasons stated herein, the motion will be denied in part and granted in part. The Amended Complaint will not be dismissed for lack of standing. Count I will be dismissed for failure to state a claim. Count II will not be dismissed. Jurisdiction and Venue...
MEMORANDUM OPINION MANUEL BARBOSA, Bankruptcy Judge. This matter comes before the Court on the objections of the Trustee and creditor CNA Financial Corporation ("CNA") to the Debtor's claim of exemption in a "Supplemental Executive Retirement Plan." For the reasons set forth herein, the Court grants the Trustee's and CNA's objection. JURISDICTION AND PROCEDURE The Court has jurisdiction to decide this matter pursuant to 28 U.S.C. 1334 and Internal Operating Procedure 15(a) of the...
MEMORANDUM OPINION MANUEL BARBOSA, Bankruptcy Judge. This matter comes before the Court on the Trustee's motion to compel turnover by the Debtor of a severance payment and objection to claim of exemption in such payment. For the reasons set forth herein, the Court finds that $699,023.33 of the $735,000 severance payment received by the Debtor constituted property of the estate not subject to an exemption properly claimed by the Debtor, and the Debtor shall deliver such amount to the...
AMENDED MEMORANDUM OPINION A. BENJAMIN GOLDGAR, Bankruptcy Judge. Three matters are before the court for ruling in the long-running bankruptcy case of marchFirst, Inc. and its affiliates. They are (1) the motion for summary judgment of chapter 7 trustee Andrew J. Maxwell ("Maxwell") on his supplemental objections to two amended requests for payment of administrative expenses filed by CIT Communications Finance Corporation ("CIT"), (2) CIT's cross-motion for summary judgment on its amended...
