In this case, an Ohio court awarded $15,000 against a credit union and its attorney, as well as ordering the credit union to pay debtor’s attorney fees in excess of $7,000. Here, the debtor filed a Chapter 7 bankruptcy and listed his debts to Champion Credit Union with the bankruptcy court. The credit union received […]

Credit Union Notice of Sale of Collateral was fatally defective and Court denied recovery of deficiency balance due to defective Notice of Sale. In this case, the debtor entered into an open-ended credit plan and security agreement secured by the debtor’s Lincoln automobile. The debtor’s loan went into default and the Credit Union repossessed the […]

In this case, the credit union brought an adversary proceeding to determine dischargeability of a debt secured by a classic automobile, which the Chapter 7 debtor had dismantled into composite parts that he then sold. Here, debtor initially borrowed $6,000 from Moog Employees Federal Credit Union to finance the purchase of a 1970 Chevrolet Camaro Z-28, […]

Court dismissed a suit brought in this action against a credit union for discharging its President and CEO. In this case, Nevada Federal Credit Union held a regularly scheduled meeting and voted 5-2 not to renew the employment contract of Robert Street, its then President and CEO. After obtaining legal advice, a second meeting was […]

Excessive gambling debts result in nondischargeable debt. Here, FCC National Bank, and several other creditors, objected to the debtor’s bankruptcy on the basis that the debtor borrowed money without any ability or intention to repay the debts. Prior to the filing of bankruptcy, the debtor withdrew $40,000.00 from a trust account. She gave away $20,000.00 […]

CREDIT UNION HELD LIABLE ON BREACH OF CONTRACT WITH INSURANCE AGENT In the case of Tom Winfree vs. Educators Credit Union [of Tennessee] and Credit Union Services Organization of Middle Tennessee, Inc., Tom Winfree filed a complaint against Educators Credit Union (hereinafter ECU) and its wholly-owned Credit Union Services Organization of Middle Tennessee, Inc. (hereinafter […]

An Illinois Court held wage assignment, unlike a garnishment on debtor’s wages, unconditionally vested creditor’s rights. In this case, the debtor sought a return of $546.93 that had been withheld from his wages pursuant to a voluntary wage assignment and paid to Mercury Finance Co. (“creditor”) prior to his filing a Chapter 13 bankruptcy. Here, debtor’s […]