OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court is the motion of Henrichs Insurance Services, Inc., to dismiss the First Amended Adversary Complaint filed herein against it for failure to state a claim upon which relief can be granted. Because the First Amended Adversary Complaint fails to state a plausible claim upon which relief can be granted and because the Plaintiff Trustee was previously given leave to correct the defects in her pleading but failed to do so, the...
OPINION WILLIAM V. ALTENBERGER , Bankruptcy Judge . Before the Court is the Motion to Reopen Case filed by the Debtors, Thomas B. Williams and Karin M. Williams (jointly referred to as Debtors and individually as Thomas or Karin). The ultimate issue before the Court is whether the Court should reopen this chapter 13 case to allow the Debtors to amend their bankruptcy schedules to disclose Karin's lawsuit filed in District Court against Karin's former employer, Keystone Peer Review...
OPINION MARY P. GORMAN , Bankruptcy Judge . Before the Court is an objection to the Debtors' claim of exemptions filed by the Chapter 7 Trustee. After considering the testimony and exhibits presented at an evidentiary hearing, the objection will be denied because the Trustee did not meet his burden to prove that the Debtors are not entitled to their claimed exemptions. I. Factual and Procedural Background Chad M. Bland and Shawntee M. Bland ("Debtors") filed their voluntary petition...
OPINION Thomas L. Perkins , United States Bankruptcy Judge . This matter is before the Court on the objection filed by the Chapter 7 Trustee, Nina Gougis, to the homestead exemption claimed by the Debtor, Heidi Colton, in residential real estate located in Washington Illinois that she owns jointly with her husband, Jeff. The basis for the objection is that the Debtor did not occupy the property on the petition date as she and Jeff separated prior thereto, having agreed that the Debtor...
OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court, after trial, is an amended complaint filed by Nancy J. Gargula, the United States Trustee ("UST"), to revoke the discharges of the Debtors, Anthony J. Cooper and Geri L. Cooper. The UST alleges that the Debtors received a 2015 federal income tax refund in the amount of $5447 and knowingly and fraudulently failed to surrender the money to the case trustee. The Debtors contend that, although they knowingly failed to...
OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court is an Application for Allowance and Payment of Administrative Expense Claim (#370) filed by Phillip J. Borgic. Because Mr. Borgic failed to establish his entitlement to the allowance of an administrative expense claim at the evidentiary hearing held on the matter, his application will be denied. I. Factual and Procedural Background Vincent J. Walch and Alexis L. Walch ("Debtors") filed their voluntary petition under...
OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court are the Second and Third Interim Applications for Compensation filed by Ice Miller LLP, as attorneys for the Debtor, and the Second and Third Interim Applications for Compensation filed by First Midwest Bank, as custodian for the Debtor. For the reasons set forth in detail herein, the applications will be allowed, in part, and denied, in part. I. Factual and Procedural Background On July 19, 2013, Earl Gaudio & Son, Inc.,...
OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court is a Motion for Stay Pending Appeal (#165) and a Motion to Amend Motion for Stay Pending Appeal (#199) filed by Defendant, Kent E. DeLay. For the reasons set forth below, the Motion to Amend will be granted, and the Motion for Stay, as amended, will be granted. I. Factual and Procedural Background Kent E. DeLay has appealed from an Opinion and Order entered by this Court on March 29, 2018. The appeal is pending before the...
OPINION Thomas L. Perkins , United States Bankruptcy Judge . This matter is before the Court on cross-motions for summary judgment. The issue concerns the nondischargeability of a money judgment entered by an Arizona divorce court in favor of John Anastasoff and against Nancy Belleville, the debtor in the above-referenced Chapter 7 bankruptcy proceeding filed in the United States Bankruptcy Court for the Central District of Illinois. Prior to 1994, Mr. Anastasoff and Ms. Belleville were...
OPINION MARY P. GORMAN , Chief Bankruptcy Judge . Before the Court is the second amended complaint filed by Ryan Bandy, wherein he seeks both compensatory and punitive damages for a willful stay violation by the Debtor, Kent DeLay, and his attorney and requests avoidance of a summary judgment entered against Mr. Bandy and in favor of Mr. DeLay by the state court after Mr. DeLay filed his bankruptcy. Because Mr. Bandy has met his burden of proof on most of the issues presented at trial,...
OPINION Thomas L. Perkins , United States Bankruptcy Judge . This matter is before the Court for decision on the motion of Michael D. Clark, the Chapter 13 Trustee, to dismiss the Chapter 13 case filed by Brian and Holly Gibson (Debtors) without a discharge, notwithstanding that the payments required by the plan to be made by the Debtors to the Trustee have been completed. The Trustee contends that the Debtors' failure to make the postpetition payments on their 2nd mortgage precludes...
OPINION MARY P. GORMAN , Bankruptcy Judge . Before the Court is a Motion by Ideal Auto Sales for Immediate Pre Confirmation Adequate Protection Payments. Ideal Auto Sales ("Ideal") asserts that the Chapter 13 Trustee ("Trustee") is obligated to make adequate protection payments to it immediately and that the Trustee can neither require nor even request that a motion be filed or a hearing held before the payments must be made. Ideal also alleges that, because the Chapter 13 plan filed in...
OPINION Thomas L. Perkins , United States Bankruptcy Judge. This matter is before the Court following an evidentiary hearing on a stay relief motion. The Debtor owns a hotel located in East Peoria, Illinois, operating as a Fairfield Inn, a Marriott brand in the limited service category. The Debtor filed a Chapter 11 petition on February 6, 2017, and has continued to operate the hotel as a debtor in possession since that time. The largest creditor is National Cooperative Bank (NCB) which...
