OPINION AND ORDER SUSTAINING THE TRUSTEE'S OBJECTION TO CONFIRMATION MARK A. RANDON , Bankruptcy Judge . I. INTRODUCTION AND BACKGROUND The Chapter 13 Trustee objects to confirmation of Arides Harrington, Jr.'s reorganization plan. Harrington's best efforts would allow him to pay his unsecured creditors in full, with interest; however, his plan proposes full payment—without interest—and without allocating all of his projected disposable income to the plan for the five-year commitment...
OPINION GRANTING IN PART AND DENYING IN PART MOTION OF CHAPTER 13 TRUSTEE FOR SANCTIONS PURSUANT TO FEDERAL RULE OF BANKRUPTCY PROCEDURE 9011 AND 18 U.S.C. 1927 DANIEL S. OPPERMAN , Bankruptcy Judge . Introduction Thomas McDonald, the Chapter 13 Trustee ("Trustee"), seeks sanctions against Northland Area Credit Union ("Northland") pursuant to Federal Rule of Bankruptcy Procedure 9011 and 18 U.S.C. 1927. Northland denies that it has committed any action warranting sanctions. The Court...
OPINION GRANTING IN PART AND DENYING IN PART FEE APPLICATIONS OF PROFESSIONALS FOR THE DEBTOR IN POSSESSION Phillip J. Shefferly , United States Bankruptcy. Introduction This matter is before the Court on the fee applications of Schafer and Weiner, P.L.L.C. ("SW") and Harmon Partners, LLC ("Harmon"). SW is the law firm that represented Central Processing Services, LLC ("Debtor"), the Debtor in Possession in this Chapter 11 case, and Harmon is the financial advisor to the Debtor. The...
OPINION ON REMAND, REGARDING THE FEE APPLICATION OF SILVERMAN & MORRIS PLLC, CHAPTER 7 TRUSTEE'S SPECIAL COUNSEL Thomas J. Tucker , United States Bankruptcy Judge . This case is before the Court on a remand from the United States District Court. The remand concerns the attorney fees to be awarded to the firm of Silverman & Morris PLLC ("Silverman & Morris"), for their work as special counsel for the Chapter 7 Trustee. A. Background 1. The fee applications filed in this case After the...
OPINION REGARDING THE DEBTOR'S MOTION TO CONVERT TO CHAPTER 13 Thomas J. Tucker , United States Bankruptcy Judge . I. Introduction This case came before the Court for a hearing on October 2, 2019, followed by an evidentiary hearing on November 25, 2019, on the Debtor's motion entitled "Motion of Conversion of Chapter 7 Proceeding to Chapter 13 Proceeding Pursuant to 11 U.S.C. 706" (Docket # 67, the "Motion"). The Chapter 7 Trustee objected to the Motion. Counsel for the Debtor and counsel...
ORDER DENYING WITHOUT PREJUDICE COMCAST'S MOTION TO COMPEL ARBITRATION MARK A. RANDON , Bankruptcy Judge . I. INTRODUCTION Comcast is a provider of cable television, internet, and telephone service in 39 states, including Michigan. For two months in 2014, Richard Miller received Comcast services at his home. His service was disconnected for non-payment. During his subsequent Chapter 7 bankruptcy and after entry of his discharge, Miller alleges Comcast-a scheduled creditor-made numerous...
OPINION AND ORDER DENYING THE MOTION BY DEFENDANT TO SET ASIDE DEFAULT JUDGMENT Thomas J. Tucker , United States Bankruptcy Judge . This case is before the Court on the Defendant Tina Cavendish's motion entitled "Motion to Set Aside Default Judgment," filed on November 9, 2019 (Docket # 49, the "Motion"), which the Court construes as a motion for reconsideration of, and for relief from, the default judgment entered on September 9, 2019 (Docket # 45, the "Default Judgment"). The Court...
ORDER DISMISSING CASE THOMAS J. TUCKER , Bankruptcy Judge . This case will be dismissed, for the following reasons. On March 19, 2019, the Debtor filed a voluntary petition for relief under Chapter 7, commencing Case No. 19-43997. On July 3, 2019, the Court entered an Order dismissing that case and barring the Debtor from filing another bankruptcy petition "unless and until the Debtor first pays in full the $335.00 filing fee for this case" (Docket # 23 in Case No. 19-43997, the "...
OPINION DENYING MOTION FOR A FINDING OF "CAUSE" PURSUANT TO 11 U.S.C. 349(b) JOEL D. APPLEBAUM , Bankruptcy Judge . Before the Court is the motion of Debtor's counsel, Frego & Associates — The Bankruptcy Law Office, P.L.C. (" Frego & Associates "), for a finding of "cause" under 11 U.S.C. 349(b)(3) (the " Motion "). Specifically, Frego & Associates seeks payment of its attorney fees out of undistributed funds held by the Standing Chapter 13 Trustee (" Trustee ") at dismissal of Debtor'...
OPINION DENYING UNITED STATES OF AMERICA'S MOTION FOR ACCOUNTING, DISGORGEMENT, AND OTHER RELIEF PHILLIP J. SHEFFERLY , Bankruptcy Judge . Introduction This matter concerns the authority and discretion of a bankruptcy court in a dismissed bankruptcy case to grant various forms of relief that are requested after the case has been dismissed. The United States of America, on behalf of the Internal Revenue Service ("IRS"), requested dismissal of this Chapter 11 case. The Court granted that...
OPINION REGARDING FEE APPLICATION OF THE DEBTOR'S ATTORNEYS Thomas J. Tucker , United States Bankruptcy Judge . I. Introduction This case is before the Court on the fee application of the Debtor's attorneys, Acclaim Legal Services, PLLC, filed September 12, 2019 (Docket # 81, the "Application"). The Application seeks allowance of fees totaling $7,949.00 and reimbursement of expenses in the amount of $35.25. The Application presents a question about the meaning of Bankruptcy Code 330(a)(...
AMENDED TRIAL OPINION ** Thomas J. Tucker , United States Bankruptcy Judge . I. Introduction and background 2 In this adversary proceeding, the Chapter 7 Trustee asserts multi-million dollar breach of fiduciary duty claims against Dale S. Coenen ("Coenen") and Kai R. Kosanke ("Kosanke"), two alleged fiduciaries of the Debtor Trans-Industries, Inc.'s pension plan — the "Trans-Industries, Inc. Employees' 401(k) Profit Sharing Plan and Trust" (the "Plan"). 3 The Trustee brings these...
ORDER DECLINING TO ENTER STIPULATED CONSENT JUDGMENT THOMAS J. TUCKER , Bankruptcy Judge . This case is before the Court on the stipulation filed on October 14, 2019, entitled "Stipulation for Entry of Consent Judgment," by and between Jones Auto Sales, LLC (the "Creditor") and the Debtor Michael T. Wan (Docket # 53, the "Stipulation"). Attached to the Stipulation, and submitted to this Court, was a proposed consent judgment. This Court declines to enter the stipulated consent judgment,...
ORDER DECLINING TO ENTER STIPULATED CONSENT JUDGMENT THOMAS J. TUCKER , Bankruptcy Judge . This case is before the Court on the stipulation filed on October 14, 2019, entitled "Stipulation for Entry of Consent Judgment," by and between Jones Auto Sales, LLC (the "Creditor") and the Debtor Michael T. Wan (Docket #53, the "Stipulation"). Attached to the Stipulation, and submitted to this Court, was a proposed consent judgment. This Court declines to enter the stipulated consent judgment, for...
ORDER DISMISSING CASE THOMAS J. TUCKER , Bankruptcy Judge . On September 27, 2019, the Debtor filed a voluntary petition for relief under Chapter 13, commencing this case. The Debtor is not eligible to be a debtor in this case under 11 U.S.C. 109(g)(2), which provides: (g) Notwithstanding any other provision of this section, no individual or family farmer may be a debtor under this title who has been a debtor in a case pending under this title at any time in the preceding 180 days if— ....
OPINION AND ORDER DENYING THE DEBTORS' SECOND MOTION FOR RECONSIDERATION Thomas J. Tucker , United States Bankruptcy Judge . This case is before the Court on the Debtors' motion entitled "Motion for Reconsideration," filed September 13, 2019 (Docket # 30, the "Second Motion"), which the Court construes as a motion for reconsideration of, and for relief from, the September 11, 2019 Order dismissing this case (Docket # 25). This is the Debtors' second such motion. The first such motion was...
Not for Publication OPINION DENYING CREDITOR WANIGAS CREDIT UNION'S MOTION FOR SUMMARY JUDGMENT DANIEL S. OPPERMAN , Bankruptcy Judge . Defendant Wanigas Credit Union filed a Motion for Summary Judgment to which Plaintiff Candise Hooker responded. Rather than set for immediate hearing, the Court entered an Order on July 2, 2019, directing the parties to its decision in another case, In re Namaia McDuffy, Case No. 18-21727. In McDuffy, the Court entered an Opinion dated April 22, 2019 (...
Not for Publication OPINION REGARDING DEBTORS' MOTION FOR RECONSIDERATION OF MARCH 20, 2019 ORDER OVERRULING THE DEBTORS' OBJECTION TO PROOF OF CLAIM OF FCC FINANCE, LLC DANIEL S. OPPERMAN , Bankruptcy Judge . Debtors filed a Motion for Reconsideration of the Court's March 20, 2019 Order Overruling the Debtor's Objection to Proof of Claim of FCC Finance, LLC ("FCC Finance"). While not specifically linked to such, the instant Motion for Reconsideration also appears to be linked to the...
OPINION GRANTING DEBTOR'S MOTION TO USE CASH COLLATERAL WITH CONDITIONS Daniel S. Opperman , United States Bankruptcy Judge Introduction On August 15, 2019, this Court issued a bench opinion granting the Debtor's Motion to Use Cash Collateral with Conditions. The Court now enters this written Opinion fully setting forth the basis for that decision. At first blush, this case presents a straightforward issue — can a debtor, who offers its major secured creditor adequate protection in the...
Not for Publication OPINION DENYING DISCHARGE TO BARBARA STOCKMAN DANIEL S. OPPERMAN , Bankruptcy Judge . Debtors file for Chapter 7 relief to get a discharge. The honest but unfortunate debtor is entitled to a discharge, but in this case, the Plaintiff, Kevin Reid Development, LLC, claims the Debtor, Barbara Stockman, is not entitled to a discharge because she has not kept, maintained or preserved documents, books and records from which her financial condition or business transactions...
