ORDER DENYING MOTION TO MODIFY STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . The matter before the court is the Motion to Modify Chapter 11 Plan ("Motion") filed by Alice M. Redding on May 12, 2017, Dkt. 217, and amended on July 24, 2017, Dkt. 242. A response in opposition was filed by America's Servicing Company ("ASC") on June 5, 2017, Dkt. 220. A hearing took place on August 12, 2017 in Raleigh, North Carolina, at which the court took the matter under advisement. Based on the pleadings,...
MEMORANDUM ORDER DISMISSING CLAIMS FOR RELIEF DAVID M. WARREN , Bankruptcy Judge . This matter comes before the court upon the Motion for Dismissal of Plaintiffs' Seven Claims for Relief for Lack of Subject Matter Jurisdiction (with Incorporated Memorandum of Law) ("Motion to Dismiss") filed by Commercial Credit Group Inc. ("Defendant") on April 18, 2017 and the Response thereto filed by Charles T. Ohnmacht, Sr. and Carolyn G. Ohnmacht ("Plaintiffs") on May 17, 2017. In the Motion to...
MEMORANDUM OPINION REGARDING DENIAL OF MOTION FOR SUMMARY JUDGMENT STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . The matter before the court is the motion for summary judgment filed by Georgia Spiliotis ("Georgia") and Learning Foundation of Wilmington (the "Partnership") regarding their subrogation and contribution causes of action in the above-named adversary proceeding. A hearing was held in Wilmington, North Carolina on May 25, 2017. At the conclusion of the hearing, the court took the...
ORDER GRANTING MOTION FOR SUMMARY JUDGMENT AND DENYING MOTION TO RECONSIDER JOSEPH N. CALLAWAY , Bankruptcy Judge . The matters before the court are the motion for summary judgment filed by the plaintiffs, Mostafa Mouhtadi and Younes Khalioui (the "Plaintiffs"), Dkt. 45, and a document filed by the defendant Ahmad Shaikh ("Mr. Shaikh" or the "Debtor") that the court construed as a motion for reconsideration, Dkt. 56. A hearing was held on the summary judgment motion in Raleigh, North...
MEMORANDUM OPINION REGARDING MOTION TO APPOINT CHAPTER 11 TRUSTEE Joseph N. Callaway , United States Bankruptcy Judge . A hearing was held in Greenville, North Carolina on September 14, 2017 on the Motion for Appointment of Chapter 11 Trustee Pursuant to 11 U.S.C. 1104(a), or in the Alternative, Motion to Convert Case to Chapter 7 Pursuant to 11 U.S.C. 1112(b) filed by Branch Banking & Trust Company ("BB & T"), Dkt. 130 (the "Trustee Motion"). At the hearing, the court indicated that a...
ORDER ON REMAND REGARDING STOCK BUILDING SUPPLY MOTION FOR SUMMARY JUDGMENT ON INDEMNITY CLAIM AND ALLOWING MOTION TO EXCLUDE EXPERT REPORT Stephani W. Humrickhouse , United States Bankruptcy Judge . The matter before the court is the district court's remand after appeal of this court's order allowing summary judgment for third-party defendants Stock Building Supply, LLC and PLF of Sanford, Inc. (formerly dba Lee Window & Door Co.) (herein collectively "Stock Supply") against third-party...
ORDER ALLOWING AMENDED OBJECTION TO CLAIM AS TO CALCULATION AND REQUIRING FILING OF AMENDED PROOF OF CLAIM Stephani W. Humrickhouse , United States Bankruptcy Judge . The matters before the court in this chapter 11 case are the remaining aspects of the debtor's amended objection to the claim of J. Jeffrey Tinkham Family Trust ("the Trust"). An order denying the objection to the extent that it asserted the North Carolina Rules of Professional Conduct as a defense to the proof of claim was...
ORDER GRANTING MOTION TO MODIFY IN PART STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . The matter before the court is the Motion to Modify Chapter 13 Plan ("Motion") filed by Maureen E. Brown ("Ms. Brown") on November 30, 2016, Dkt. 86. A response in opposition was filed by the Debtor on December 27, 2016, Dkt. 88. The court previously conducted a hearing on the Motion to Modify on January 19, 2017, at which counsel for the Debtor orally moved for directed verdict based upon the alleged...
ORDER DENYING APPLICATION TO INCUR DEBT DAVID M. WARREN , Bankruptcy Judge . The matter before the court is the Application to Incur Debt (For Purpose of Obtaining Educational Loans) ("Application") filed by Ignacio Antoinne Alomia ("Debtor") on August 23, 2017. The court conducted a hearing on September 6, 2017 in Raleigh, North Carolina. Jason David Watson, Esq. appeared for the Debtor, and Michael B. Burnett, Esq. appeared for Chapter 13 trustee John F. Logan, Esq. ("Trustee"). Based...
ORDER GRANTING DEFENDANTS' MOTION FOR DIRECTED VERDICT STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . This matter came on to be heard upon the motion of the defendants, Holly Ridge Ventures, LLC ("Holly Ridge"), Connie Yow, and Decoy Investments, LLC ("Decoy"), for directed verdict at the close of plaintiff's evidence at trial held in Raleigh, North Carolina on March 8, 2017. The motion for directed verdict will be granted. Lionel Yow filed a chapter 11 petition on August 5, 2011. John...
ORDER FINDING THAT STAY APPLIES AND DENYING MOTION FOR STAY RELIEF STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . This matter came on to be heard upon Sound Rivers, Inc.'s and Waterkeeper Alliance, Inc.'s motion for an order confirming that the automatic stay does not apply or, in the alternative, for relief from the automatic stay (the "Stay Motion") regarding the continuation of the lawsuit filed in the United States District Court for the Eastern District of North Carolina, North...
ORDER REGARDING MOTION TO DISMISS STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . The matter before the court is the motion to dismiss pursuant to 11 U.S.C. 707(a) filed by Dori Thomas ("Dr. Thomas"), Dkt. 21, as joined by Wells Fargo Bank, N.A. ("Wells Fargo"), Dkt. 31. A hearing took place in Raleigh, North Carolina on June 27, 2017. BACKGROUND Clyde Richard Edwards ("Mr. Edwards") and Kristi Woods Edwards ("Dr. Edwards") filed a voluntary petition for relief under chapter 7 of the...
ORDER REGARDING MOTION TO DISMISS JOSEPH N. CALLAWAY , Bankruptcy Judge . The matter before the court is the Motion to Dismiss Amended Complaint (Dkt. 35, the "Motion to Dismiss") filed by defendant William Douglas Management, Inc. ("WDM" or "Defendant") on May 22, 2017, pursuant to Rule 12(b)(6) of the Federal Rules of Civil Procedure, made applicable to this adversary proceeding by Rule 7012 of the Federal Rules of Bankruptcy Procedure. A hearing was held on June 27, 2017, in Greenville,...
ORDER ALLOWING PLAINTIFF'S MOTION FOR LEAVE TO AMEND COMPLAINT Joseph N. Callaway , United States Bankruptcy Judge . The matter before the court is the Motion for Leave to File Second Amended Complaint filed by plaintiffs Federal Insurance Company, Great Northern Insurance Company, and Pacific Indemnity Company (collectively, "Federal") on May 24, 2017 (Dkt. 33; the "Motion"). Defendant Dennis P. Sorge ("Mr. Sorge") filed a Memorandum in Opposition on May 31, 2017 (Dkt. 34; the "Objection")...
ORDER ALLOWING OBJECTION TO CLAIM Stephani W. Humrickhouse , United States Bankruptcy Judge . The matter before the court is the objection to claim filed by debtor O. William Faison with respect to SummitBridge National Investments III, LLC's proof of claim in the amount of $302,596.19. A hearing took place in Raleigh, North Carolina on March 1, 2017, at the conclusion of which the court took the matter under advisement. For the reasons that follow, the court will allow the objection....
MEMORANDUM OPINION AND ORDER DENYING PLAN CONFIRMATION AND REGARDING MOTION TO CONVERT OR APPOINT A TRUSTEE JOSEPH N. CALLAWAY , Bankruptcy Judge . The matters before the court are the First Amended Disclosure Statement (D.E. 365; the "Amended Disclosure Statement") and the Amended Plan of Reorganization (D.E. 364; the "Amended Plan") filed by the chapter 11 debtor Skin Sense, Inc. ("Skin Sense" or the "Debtor") on April 17, 2017. Capital Bank Corporation ("Capital Bank") filed its...
ORDER DISMISSING CHAPTER 7 CASE Joseph N. Callaway , United States Bankruptcy Judge . The matters before the court are the Motion to Dismiss filed on April 13, 2017 by the chapter 7 trustee (D.E. 35; the "Trustee Motion") and the Motion to Dismiss or, in the Alternative, Second Motion to Extend Time to Object to Discharge and Dischargeability filed by Bio-Medical Applications of North Carolina, Inc. ("Bio-Med") on April 17, 2017 (D.E. 36; the "Bio-Med Motion") (collectively, the "Motions")....
MEMORANDUM OPINION AND ORDER Stephani W. Humrickhouse , United States Bankruptcy Judge . The issue before the court is whether a chapter 13 debtor may "cram down" the claim of a creditor secured only by a seller-financed purchase-money deed of trust on the debtor's residence to the value of the real property. The matter turns on the interplay between sections 502(b), 506(a), 1322(b)(2), and 1322(c)(2) of the Bankruptcy Code and the North Carolina anti-deficiency statute, North Carolina...
SUPPLEMENTAL OPINION ON ORDER REGARDING CROSS MOTIONS FOR SUMMARY JUDGMENT Stephani W. Humrickhouse , United States Bankruptcy Judge . This matter came before the court on cross-motions for summary judgment. A hearing was held in Raleigh, North Carolina on September 29, 2016. The court entered its Order Regarding Cross Motions for Summary Judgment on March 31, 2017. This supplemental opinion is intended to provide the parties with a more complete explanation of the court's determination...
MEMORANDUM OPINION REGARDING ORDER ALLOWING IN PART AND DENYING IN PART DEFENDANT'S MOTION FOR JUDGMENT ON PARTIAL FINDINGS UNDER RULE 52(c) STEPHANI W. HUMRICKHOUSE , Bankruptcy Judge . On March 30, 2017, the court entered an order allowing in part and denying in part defendant Conan McClain's ("McClain") motion for judgment on partial findings, which McClain made at the conclusion of plaintiffs' case-in-chief during a bench trial conducted in Raleigh, North Carolina. McClain sought...
