OpinionsAfter chapter 11 debtor Scott Charmoli removed state-court litigation to this court, the defendants moved to remand and abstain exercising jurisdiction over claims by and against a non-debtor LLC wholly owned by the debtor. Weeks before the deadline to file proofs of claim expired, two creditors who are parties to the removed litigation also filed a motion to extend the deadline to file proofs of claim until 14 days after they obtained a state-court judgment against the debtor. The creditors sought to postpone filing a proof of claim, recognizing that doing so would waive their right to a jury trial against the debtor. The court denied the motion to extend the deadline, ruling that the loss of a jury trial right that results from filing a proof of claim is not cause to extend the proof of claim filing deadline. Bach v. Office of Lawyer Regulation, No. 22-cv-0866-BHL, 2023 WL 372203 (E.D. Wis. January 24, 2023) (January 2023) -- District Court The district court affirmed the bankruptcy court's order granting Defendant Wisconsin Office of Lawyer Regulation's motion for summary judgment. Bach v. Milwaukee County, et al., No. 22-cv-0806-BHL, 2023 WL 372201 (E.D. Wis. January 24, 2023) (January 2023) -- District Court The district court affirmed the bankruptcy court's decision and order denying appellant's request for contempt sanctions against Milwaukee County, Sandra Butts, Jeaneen Mardak, Geri Lyday, and Kevin Madison. Bach v. JPMorgan Chase Bank NA, No. 21-cv-1394-BHL, WL 2023 315684 (E.D. Wis. January 19, 2023) (January 2023) -- District Court The district court affirmed the bankruptcy court's decision and order dismissing appellant's adversary claims against JPMorgan Chase Bank NA and Federal National Mortgage Association. WiscTex, LLC v. Galesky, Adv. Proc. No. 20-02146 (December 2022) -- Chief Judge G.M. Halfenger WiscTex, LLC, objected to Michael Galesky's discharge in his underlying chapter 7 case under 11 U.S.C.§727(a)(2), (3), (4) & (5). After a bench trial, based on the facts shown by the evidence presented, and considering the arguments for relief that WiscTex properly raised and developed in its post-trial briefs, the court concluded that WiscTex failed to prove that it is entitled to denial of Galesky's discharge under any of the cited paragraphs of §727(a). Ryan v. Branko Prpa MD, LCC, 55 F.4th 1108 (7th Cir. 2022) (December 2022) -- Seventh Circuit Court of Appeals Rodney Ryan signed a worker's compensation settlement with his employer that set aside $400,000 for disbursement to the doctors who treated him for his workplace injury. Ryan then filed for bankruptcy and tried to keep those funds for himself while having his debt to his doctors eliminated. The district court affirmed the bankruptcy court's orders sustaining the creditor's objection to the exemption and granting the creditor's motion for summary judgment. Affirmed. Ramos v. Lieske, No. 22-cv-1266-BHL, 2022 WL 17581830 (E.D. Wis. December 12, 2022) (December 2022) -- District Court The debtor sought the bankruptcy court's permission to modify the monthly payment amount of a chapter 13 repayment plan while maintaining the extended repayment period previously approved under the now-repealed Section 1329(d). The district certified the matter for direct appeal to the Seventh Circuit. Layng v. Aydt, No. 22-cv-0096-LA (E.D. Wis. December 5, 2022) (December 2022) -- District Court The district court affirmed the bankruptcy court's order denying debtor his discharge under 11 U.S.C. § 727(a)(4)(A). Marty v. Mohela, No. 19-cv-1263-PP, 2022 WL 17092076 (E.D. Wis. November 21, 2022) (November 2022) -- District Court The debtor filed an appeal from the bankruptcy court's judgment granting the University Accounting Service, LLC's and the United States Department of Education's motions for summary judgment. The debtor alleged that his student loans subjected him to undue hardship and asked the court to declare his student loan debt to be dischargeable under 11 U.S.C. § 523(a)(8). The bankruptcy court dismissed the appellants claims. Affirmed. Reinhart Foodservice LLC v. Schlundt, 646 B.R. 478 (E.D. Wis. 2022) (October 2022) -- District Court The district court held that under the plain terms of the Bankruptcy Code, as well as the "conduct test", debtor's liability under a prepetition personal guaranty for debt arising from postpetition transactions was a postpetition liability that was not discharged in the debtor's bankruptcy. Reversed and remanded. |