NOT FOR PUBLICATION DECISION ON MOTION TO AVOID JUDICIAL LIEN ROBERT E. GRANT Chief Bankruptcy Judge . This case was closed more that eight years ago — August 22, 2008. On October 26, 2016, debtor filed a motion to reopen the case, 11 U.S.C. 350(b), representing that the reason for doing so was "to file a motion to avoid judicial liens that was not resolved by prior counsel." Motion to Reopen, 3. Since that is a common reason for reopening cases, see, In re Bianucci, 4 F.3d 526 ,...
DECISION ROBERT E. GRANT , Bankruptcy Chief Judge . The chronology of events leading up to this adversary proceeding is simple. May 16, 2016: 1 Debtor ordered by Sonoma County (California) Superior Court to pay $10,000 in attorney fees to Ms. Coffman (Mrs. Gordy's divorce counsel) from his pension. June 22, 2016: Debtor filed bankruptcy. August 30, 2016: Defendants relieved of the automatic stay to enforce the state court order and proceed against the debtor's pension....
DECISION REGARDING OBJECTION TO EXEMPTIONS ROBERT E. GRANT , Bankruptcy Judge . Prior to the petition for relief initiating this case, Mr. Jenkins was injured during the course of his employment. On December 4, 2012, he and his employer settled the resulting Worker's Compensation claim for the sum of $250,000. Half of this amount, $125,000, was paid in a lump sum; the other half was used to purchase an annuity which would pay Mr. Jenkins $430 a month for life, guaranteed for thirty years....
DECISION ROBERT E. GRANT , Bankruptcy Judge . Shortly after voluntarily dismissing this Chapter 13 case, the debtors filed a petition for relief under Chapter 7. The matter is before the court on the application for attorney fees filed by debtors' counsel 1 and the Chapter 7 trustee's objection thereto. The trustee's only objection to counsel's fees is that there are no funds from which they can be paid because, notwithstanding 1326(a)(2), 2 all the funds in possession of the Chapter...
DECISION AND ORDER DENYING MOTION FOR SUMMARY JUDGMENT ROBERT E. GRANT , Chief Bankruptcy Judge . Shortly before filing bankruptcy, the debtor changed the beneficiary on his life insurance policy from his girlfriend to his son, thereby transforming it from an asset which could be reached by creditors to one which is fully exempt under state law, see , I.C. 27-1-12-14 and 27-2-5-1(c), and, as such, beyond the reach of creditors. The trustee asserts that this change was done with the...
DECISION AND ORDER DENYING MOTION TO RECONSIDER ROBERT E. GRANT , Chief Bankruptcy Judge . The Indiana Department of Workforce Development has filed a motion asking the court to reconsider its order of May 10, 2016, which denied the Department's motion for an extension of time to file a dischargeability complaint, to which the debtor has responded. See , Order dated May 19, 2016. Such motions are addressed to the court's discretion. In re Prince , 85 F.3d 314 , 324 (7th Cir.1996). They...
DECISION ROBERT E. GRANT , Chief Bankruptcy Judge . This case founders on the shoals of damages. The plaintiff/trustee contends the defendants failed to disclose material facts necessary to correct misleading information previously given to the debtors in connection with their purchase of the stock of Espresso Gallery, Inc. from the defendant, Steven E. Barcus, the defendant Kari Romey's father. 1 This action seeks to recover for that claimed violation of Indiana securities laws. 2 See...
DECISION AND ORDER ON MOTION IN LIMINE Robert E. Grant , Chief Judge , United States Bankruptcy Court. On January 22, 2016. The plaintiff has filed a motion in limine, asking the court to preclude the defendant from offering into evidence exhibits and from calling three witnesses it has included on the parties' joint pretrial order. Although the federal rules do not explicitly authorize such motions, the practice has developed as part of the court's inherent authority to manage trials,...
DECISION ROBERT E. GRANT , Bankruptcy Judge . When students fail to pay tuition bills on time, institutions can withhold education services until payment, or they can enter into a separate agreement with the student to accept later payment. A separate agreement to accept later payment would create a loan and would be excepted from discharge under 523(a)(8). In re Chambers , 348 F.3d 650 , 658 (7th Cir. 2003). See also , In re Johnson , 218 B.R. 449 , 457 (8th Cir. BAP 1998); In re...
DECISION AND ORDER GRANTING MOTION TO DISMISS ROBERT E. GRANT , Bankruptcy Judge . The parties entered into a franchise agreement by which the debtor's business (JPT) would operate an oil change and auto service facility. When the plaintiff subsequently sought to terminate the franchise, the debtor transferred the business assets to another entity, in violation of the plaintiff's contractual right of first refusal and option to purchase. As a result, the plaintiff filed suit against the...
DECISION AND ORDER DENYING MOTION FOR SANCTIONS ROBERT E. GRANT , Chief Judge . The matter before the court involves a motion, filed by the debtor, for sanctions against Teachers Credit Union because a claim it filed allegedly violated Rule 9011(c). Ordinarily, the court would wait for Teachers Credit Union to respond, see , N.D. Ind. L.B.R. B-7007-1(a), or schedule the motion for a hearing. But, given the motion's deficiencies, it sees no reason to wait. A motion for sanctions pursuant...
DECISION REGARDING OBJECTION TO CLAIM 3-2 Robert E. Grant , Chief Judge, United States Bankruptcy Court . In In re Bryant , this court held that filing an amended claim in response to an objection did not moot the objection; was an unnecessary, if not completely inappropriate, way to respond to the objection; and solved nothing. In re Bryant, 397 B.R. 903 , 904 (Bankr.N.D.Ind.2008). The court explained: [A]ttempting to amend the claim only confuses the issue, raising questions such...