A Texas Bankruptcy Court previously held that a debtor in a Chapter 13 bankruptcy case does not need to pay interest on the arrearage owing unless the contractual language in the mortgage provided for interest in the event of unpaid arrearages and the filing of bankruptcy. See In re Sanchez (Bkrtcy. E.D. Texas, Judge Sharp WL […]

In a Pre-$250,000.00 deposit insurance coverage case, the issue was how one depositor deposits were combined, thereby avoiding insurance coverage. This type of ruling below could also apply to the current $250,000.00 coverage limits as to the combination of account deposits. In Waukesha State Bank et al. v. National Credit Union Administration Board (U.S. Court […]

In the case of Educational Employees Credit Union v. Mutual Guaranty Corporation (U.S. District Court, E.D. Missouri, No. 4:92CV1016), Educational Employees Credit Union formerly maintained deposit insurance with Mutual Guaranty Corporation of Tennessee. The credit union cancelled said insurance with Mutual Guaranty when Missouri law required it be insured through NCUSIF. The credit union had […]

Former Credit Union CEO/Manager loses suit for wrongful termination of employment, breach of contract and for age discrimination.  A jury did, however, award the plaintiff for accumulated “compensatory time.”   In this case, Sue Adams was employed at the credit union as the manager and CEO. Adams began having heart problems and underwent balloon angioplasty surgery. Shortly […]

National Apr 18, 2009, 18:01 In William Barnhill v. Elliot Johnson (No. 91-159), the United States Supreme Court held that the actual date a check is presented to the drawee bank will be the effective date to determine whether the transfer may be set aside by a trustee in bankruptcy. Under the Bankruptcy Code’s preference, […]

By Charles R. Harroun, Attorney at Law Chapter 7 Bankruptcy Dismissed for substantial abuse. In this case, the issue was whether debtor’s Chapter 7 bankruptcy should be dismissed since debtor appeared to have the ability to repay his obligations. Debtor was employed as a sportscaster earning about $170,000 per year; debtor had unsecured debts of […]

In one of the last opinions issued by U.S. Supreme Court Justice Marshall, the Supreme Court held, in the case of Curtis Johnson v. Home State Bank (111 S. Ct. 2150) 1991, that a creditor’s secured home mortgage loan survives a debtor’s Chapter 7 filing for bankruptcy. Here, the debtor defaulted on a promissory note […]