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In re Archdiocese of Milwaukee (December 2012) -- Judge Kelley

Court denied creditors' committee's request for derivative standing to bring fraudulent transfer claim against Debtor's parishes. 


In re Archdiocese of Milwaukee (December 2012) -- Judge Kelley

Court denied creditors' committee's request to (1) assert alter ego claims against Debtor's parishes; and (2) substantively consolidate the parishes with the Debtor.


McDonald v. Little Limestone, Inc. (November 2012) -- Judge Kelley

Trustee could recover preferential payment made by Debtor contractor to subcontractor despite Wisconsin Statute creating trust fund in amounts paid by owners to contractors, because between date that Debtor received payment from owner and check to subcontractor cleared Debtor's bank, Debtor's bank account went into a negative balance.  Under the "lowest intermediate balance test," this destroyed the trust fund.  Subcontractor's giving of a lien release did not satisfy the contemporaneous exchange defense, but whether payment was in ordinary course of business could not be decided on summary judgment, based on the materials submitted.


Gerard v. Gerard (November 2012) -- Judge Kelley

State court jury's determination that debtor committed slander of title was given preclusive effect, and judgment debt was nondischargeable as a willful and malicious injury under § 523(a)(6).

 


In re Thongta (October 2012) -- Judge Kelley

 

Chapter 13 Trustee is not required to provide Rule 3002.1 Notice of Final Cure Payment to Creditor that has received relief from stay and withdrawn its claim. If Trustee does provide such a Notice, the Creditor does not lose any rights by failing to respond.

 


In re Dorff (October 2012) (October 2012) -- Judge Kelley

Where debtor's failure to pay the filing fee was not caused by circumstances beyond the debtor's control, Court would not vacate the order of dismissal.


In re Tekavec (August 2012) (August 2012) -- Judge Kelley

Partially secured short term home equity line of credit could be crammed down under § 1322(c)(2), even though the initial term of the agreement was extendable and renewable at the option of the creditor.


Moss v. Sallie Mae, Inc., 2012 Bankr. LEXIS 1693 (April 2012) -- Judge Kelley

 

Student loan creditor's policy conditioning debtor's new post-petition student loan on cure of default on pre-petition student loan did not violate automatic stay or anti-discrimination provisions of 11 U.S.C. § 525(c).

 


In re Archdiocese of Milwaukee, 2012 Bankr. LEXIS 708 (February 2012) -- Judge Kelley

 

Negligence claims against the Archdiocese were derivative of the original abuse claims and shared the same statute of limitations; a question of fact for trial remained on when the fraud claims were or should have been discovered.

 


In re Archdiocese of Milwaukee, 2012 Bankr. LEXIS 634 (February 2012) -- Judge Kelley

 

Claimant who settled and released his claims against the Archdiocese prior to the petition was bound by the release, and failed to prove the required elements for fraudulent inducement into settlement.

 


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