In re Hollow Mountain Res., Inc. (Case No. 04-00988) 05/20/2005
The Court individually reviewed, granted in part, and denied in part, nine objections to the debtor's proposed Disclosure Statement in advance of the hearing on the same.
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The Court individually reviewed, granted in part, and denied in part, nine objections to the debtor's proposed Disclosure Statement in advance of the hearing on the same.
The court granted the debtor-in-possession's motion to avoid the return of inventory to a distributor as preferential to the extent of the value of the diminution of the estate caused by the preferential transfer.
A party may remove any claim or cause of action to the district court for the district where such civil action is pending, if such district court has jurisdiction of such claim or cause of action under 11 U.S.C. § 1334. 28 U.S.C. § 1452(a). In this case, the Notice of Removal was filed in the wrong district, so the Court remanded this case.
Denied confirmation of Chapter 13 plan as not feasible, but granted debtor leave to amend the plan. Automatic stay to be lifted and case converted to Chapter 7 if debtor missed any future payments.
Under the totality of the circumstances and standard of living test, Debtor's obligation to former spouse that arose from divorce decree excepted from discharge by 11 U.S.C. section 523(a)(15).
The court approved a settlement proposal regarding a preferential transfer after determining that it was in the best interest of the creditors, would avoid potentially significant litigation expenses, and fell well above the bottom range of outcomes that would be considered reasonable.
In Chapter 11 case, Court ordered Debtor to file Amended Disclosure Statement detailing terms for sale of collateral and intended use of proceeds in response to creditor motion challenging the proposed sale. Creditors should be advised of Debtor's continued operation of its business.
The Court denied the debtors' Motion to Quash Garnishment of child support arrearages because the confirmed Chapter 13 plan failed to "provide for" the debtor’s ex-wife's claim by not including the amount or sufficient payments to fund all plan obligations.
The Chapter 7 Trustee filed a motion to dismiss the Debtor's case for substantial abuse under 11 U.S.C. § 707(b). The Court found that the Debtor wished to use bankruptcy to service indebtedness for which she is not legally obligated, pay transportation costs of the non-debtor spouse, and expense the start up of a business enterprise for the non-debtor spouse by discharging her own debt. The Court, applying the factors enumerated by the Fourth Circuit in Green v. Staples (In re Green), 934 F.2d 568 (4th Cir. 1991), concluded that this constitutes bad faith, and therefore, it would be a substantial abuse to permit the Debtor to continue under Chapter 7.
The Court denied the debtors' Motion for Reconsideration of dismissal because the debtors cited no manifest error of law or fact or asserted the existence of any new evidence.