Avoidance Of Preferential Transfer

90 Florida cases classified under this topic · sorted by citation count · browse and sort

• Barash v. Pub. Fin. Corp.
  658 F.2d 504· 7th Cir.· 1981-08-28 ·cited 50×
  Regular installment payments on consumer debts made within 90 days of bankruptcy can be avoided as preferential transfers to the extent they are applied to unsecured claims, and the exception for ordinary course payments applies only if made within 45 days of the debt's incurrenc
• WJM, Inc. v. Mass. Dep't OF Pub. Welf.
  840 F.2d 996· 1st Cir.· 1988-02-24 ·cited 31×
  The court held that the Department of Public Welfare waived its Eleventh Amendment immunity by filing proofs of claim in the nursing homes' bankruptcy proceedings, but erred in awarding prejudgment interest as there was no express waiver for interest.
• In re Wind Power Sys., Inc. v. Cannon Fin. Grp., Inc.
  841 F.2d 288· 9th Cir.· 1988-03-03 ·cited 30×
  The court held that under California law, the creation of an attachment lien by levy relates back to the date the creditor obtained a temporary protective order, and thus, if the TPO predates the preference period, the lien is not avoidable as a preferential transfer.
• In re Burton Lewis Arnett and Charlotte Arnett v. Sec. Mut. Fin. Corp.
  731 F.2d 358· 6th Cir.· 1984-04-10 ·cited 30×
  The dissenting judge would affirm the lower courts' decisions, finding the credit transaction to be a 'contemporaneous exchange' under 11 U.S.C. § 547(c)(1).
• Coleman v. Alcock
  272 F.2d 618· 5th Cir.· 1959-12-04 ·cited 25×
  A bankruptcy trustee is not bound by a prior state court judgment against the bankrupt when the trustee asserts rights under Section 70(e) of the Bankruptcy Act, as the trustee represents all creditors and has a status superior to the bankrupt.
• In re JET Fla. Sys., Inc. v. Am. Airlines, Inc.
  861 F.2d 1555· 11th Cir.· 1988-12-27 ·cited 24×
  The court held that a creditor seeking the protection of 11 U.S.C. § 547(c)(1) must prove the specific valuation of the new value given to the debtor, and that a payment made on a non-customary settlement date is not in the ordinary course of business under § 547(c)(2).
• In re AIR Conditioning v. Leasing Serv. Corp.
  845 F.2d 293· 11th Cir.· 1988-05-17 ·cited 24×
  The court held that the transfer of a certificate of deposit by a debtor to secure a letter of credit for a creditor constitutes a preferential transfer under 11 U.S.C. § 547(b), and the trustee can recover the property from the creditor.
• Brown v. First Nat'l Bank OF Little Rock
  748 F.2d 490· 8th Cir.· 1984-11-21 ·cited 24×
  Payments made by individual co-makers of a promissory note using their personal funds to satisfy the debtor's obligation are not avoidable preferential transfers under 11 U.S.C. § 547(b) because they do not deplete the debtor's estate.
• Antonio O'Neill for Caceres & Johnson P.R., Inc. v. Nestle Libbys P.R., Inc.
  729 F.2d 35· 1st Cir.· 1984-03-08 ·cited 22×
  The court held that for purposes of the Bankruptcy Act's preference avoidance exception, a transfer by check occurs on the date the check is delivered, not when it is honored by the bank.
• In re Xonics Photochemical, Inc.
  841 F.2d 198· 7th Cir.· 1988-03-08 ·cited 20×
  The court held that contingent liabilities must be discounted by their probability of occurrence when determining insolvency, and that Mitsui could not invoke fraudulent conveyance provisions on behalf of the debtor.
• In re White River Corp. v. RJL Leasing
  799 F.2d 631· 10th Cir.· 1986-08-26 ·cited 20×
  A transfer by check occurs on the date of delivery, not when honored by the bank, for purposes of the 45-day exception to preferential transfers under the Bankruptcy Code.
• In re Colonial Disc. Corp. v. Octopi, Inc.
  807 F.2d 594· 7th Cir.· 1986-12-05 ·cited 18×
  The court held that a debtor's insolvency at the time of a transfer is an objective question, and a creditor's unsupported testimony about a cash advancement can raise a genuine issue of material fact precluding summary judgment.
• In re George Rodman, Inc. v. Fort Worth Pipe Co.
  792 F.2d 125· 10th Cir.· 1986-05-29 ·cited 18×
  The court held that 11 U.S.C. § 547(c)(1) does not require a valuation of the property transferred to determine if it constitutes 'new value'.
• In re Fulghum Constr. Corp. v. Ranier
  872 F.2d 739· 6th Cir.· 1989-04-14 ·cited 17×
  The court held that the final $300,000 repayment from Fulghum to Ranier & Associates was not an avoidable preferential transfer under 11 U.S.C. § 547(c)(2) because it was made in the ordinary course of business and according to ordinary business terms.
• In re Wolf & Vine v. Elaine Monroe Assocs., Inc.
  825 F.2d 197· 9th Cir.· 1987-08-12 ·cited 16×
  A four-month delay between check delivery and honoring is per se unreasonable, meaning the transfer for bankruptcy preference purposes occurs when the check is honored, not delivered.
• In re Wadsworth Bldg. Components, Inc. v. Cal-Wood Door
  711 F.2d 122· 9th Cir.· 1983-07-01 ·cited 16×
  A payment made by a debtor to a creditor is a voidable preferential transfer under § 547 of the Bankruptcy Code if it does not fit within the statutory exceptions, and judicially-created rules like the 'net result rule' do not apply under the current code.
• In re Banque de Financement v. The First Nat'l Bank OF Boston
  568 F.2d 911· 2d Cir.· 1977-08-30 ·cited 16×
  The court held that the bankruptcy court erred in dismissing the debtor's Chapter XI petition based on its inherent power, as the debtor had a plausible basis for seeking rehabilitation and proposed alternatives to satisfy the creditor list requirement.
• Scott v. Allan H. Stocker in Bankruptcy for William Harvey Smith
  380 F.2d 123· 10th Cir.· 1967-06-16 ·cited 16×
  A security interest transaction entered into before the effective date of Oklahoma's Uniform Commercial Code is governed by the pre-Code law, even if the parties intended the UCC to apply.
• In re Bellanca Aircraft Corp. v. Anderson-Greenwood Aviation Corp.
  850 F.2d 1275· 8th Cir.· 1988-06-22 ·cited 14×
  The court held that payments to third parties for the benefit of the debtor can constitute 'new value' under § 547(c)(4) and that post-petition advances cannot offset pre-petition preferences. However, it remanded for further findings on whether resale proceeds were property of t
• In re NEW York City Shoes, Inc. v. Bentley Int'l, Inc.
  880 F.2d 679· 3d Cir.· 1989-07-12 ·cited 12×
  A postdated check is presumed not transferred on its delivery date for section 547(c)(4) purposes, and this presumption can only be rebutted if the parties demonstrably treated the transaction as a cash one.
• In re Vance v. Vance
  721 F.2d 259· 9th Cir.· 1983-11-28 ·cited 12×
  The court held that the contemporaneous exchange exception under 11 U.S.C. § 547(c)(1) does not apply to purchase money security transactions, which are specifically addressed by 11 U.S.C. § 547(c)(3).
• In re Fulghum Constr. Corp. v. Ranier
  706 F.2d 171· 6th Cir.· 1983-05-09 ·cited 12×
  The court held that the judicially created 'net result rule' cannot be applied as a gloss to 11 U.S.C. § 547(b)(5) to determine preferential transfers, as it conflicts with congressional intent and renders the statutory defense in § 547(c)(4) impotent.
• In re Emerald OIL Co. v. Fred Wilson Drilling Co.
  695 F.2d 833· 5th Cir.· 1983-01-17 ·cited 12×
  A debt is 'incurred' for purposes of the Bankruptcy Code's ordinary course of business exception when the debtor becomes obligated to pay, not when the creditor invoices the debtor. A creditor's speculative testimony regarding accounting methods is insufficient to rebut the statu
• In re Xonics Imaging Inc.
  837 F.2d 763· 7th Cir.· 1988-01-15 ·cited 11×
  Late payments made by an insolvent debtor after becoming insolvent, in violation of contract terms, are presumptively not in the ordinary course of business for purposes of the Bankruptcy Code's preference exception.
• In re Busenlehner v. Busenlehner
  918 F.2d 928· 11th Cir.· 1990-12-07 ·cited 10×
  The court held that under Georgia law, a security interest in a vehicle is perfected at the time of its creation if the proper documents are delivered to the Department of Motor Vehicles within twenty days, and this perfection relates back for bankruptcy preference purposes under
• Deel Rent-A-Car, Inc. v. Levine
  721 F.2d 750· 11th Cir.· 1983-12-19 ·cited 10×
  A debtor can avoid a preferential transfer under section 522(h) even if the property would not be exempt from the creditor's claim under state law, and the 'diminution of estate' doctrine does not apply to such debtor actions.
• In re Meredosia Harbor & Fleeting Serv., Inc. v. Magill-Appellee
  545 F.2d 583· 7th Cir.· 1976-11-08 ·cited 10×
  The court held that the bankruptcy court had jurisdiction to determine the validity of the maritime mortgage and that the mortgage was voidable as a preference because it was given for an antecedent debt while the mortgagor was insolvent and the mortgagees had reasonable cause to
• In re C.H. Butcher, Jr. v. First Nat'l Bank OF Louisville
  829 F.2d 596· 6th Cir.· 1987-09-23 ·cited 9×
  A bankruptcy court lacks jurisdiction to hear a preferential or fraudulent transfer action if the complaint is not filed within the two-year statute of limitations provided by 11 U.S.C. § 546(a), and Bankruptcy Rule 9006(a) does not extend this period.
• In the Matter of: Lowery Bros., Inc. v. Davis Water & Waste Indus., Inc.
  589 F.2d 851· 5th Cir.· 1979-02-15 ·cited 9×
  Florida Statutes section 713.15 creates a statutory lien valid against a trustee in bankruptcy, as it grants a supplier a superior right to repossess unpaid materials under specified conditions.
• In re Belknap, Inc. v. The Shaler Corp.
  909 F.2d 879· 6th Cir.· 1990-07-25 ·cited 8×
  A transfer of an interest in property by check occurs on the date the creditor actually receives the check, not when it is mailed or honored by the bank, provided the check is honored and presented within a reasonable time.
• In the Matter of: Bevill v. Spencer Sav. & Loan Ass'n
  878 F.2d 742· 3d Cir.· 1989-06-30 ·cited 8×
  The court held that the pre-petition deliveries of securities in this repurchase agreement context constituted 'settlement payments' protected from avoidance under 11 U.S.C. § 546(f), and that section 559 protects a repo participant's right to liquidate the agreement.
• First Federal OF Michigan v. Barrow
  878 F.2d 912· 6th Cir.· 1989-06-16 ·cited 8×
  The court held that summary judgment was inappropriate because disputed issues of material fact existed regarding whether payments were made in the ordinary course of business and whether tax payments were current or past due.
• In re Harbour v. Perkinson
  840 F.2d 1165· 4th Cir.· 1988-03-02 ·cited 8×
  The dissenting judge held that the Perkinsons are entitled to a trial by jury because the trustee's claims, both under federal law for preferences and fraudulent transfers and under state law for voluntary conveyances, are historically legal actions seeking money judgments.
• Charisma Inv. Co. N v. v. Air Fla. Sys., Inc.
  68 B.R. 596· S.D. Fla.· 1986-12-15 ·cited 8×
  A creditor's mere forbearance from exercising its right to evict a debtor from leased premises, without actual use or benefit derived by the debtor's estate, does not constitute 'new value' under Section 547(c)(4) of the Bankruptcy Code.
• In re Tenna Corp. v. United States
  801 F.2d 819· 6th Cir.· 1986-09-17 ·cited 8×
  A tax payment should be tested for preferential effect as of the date the bankruptcy petition is filed, not the date of the adversary proceeding hearing.
• In re Gulino v. Gulino
  779 F.2d 546· 9th Cir.· 1985-12-30 ·cited 8×
  The court held that the transferees' possession of the real property perfected the transfer at the time of the sale, making it effective outside the 90-day preference period, even though the deed was recorded later.
• Stein v. Miller
  158 B.R. 876· S.D. Fla.· 1993-08-06 ·cited 6×
  The court held that defendants in bankruptcy adversary proceedings for preferential and fraudulent transfers are entitled to a jury trial before an Article III court, but dispositive motions can be heard by the bankruptcy court.
• In re Fred Hawes Org., Inc. v. Basic Distrib. Corp.
  957 F.2d 239· 6th Cir.· 1992-02-21 ·cited 6×
  The court affirmed the lower courts' decision, holding that the payments were not made in the ordinary course of business and thus were avoidable preferential transfers.
• In re Spada v. Spada
  903 F.2d 971· 3d Cir.· 1990-05-22 ·cited 6×
  A transfer is only a preference to the extent the value received by the creditor exceeds the new value given to the debtor, and the bankruptcy court must calculate this specific amount.
• In re Clark Pipe & Supply Co., Inc. v. Assocs. Commercial Corp.
  893 F.2d 693· 5th Cir.· 1990-01-24 ·cited 6×
  The court held that the bankruptcy court erred in valuing inventory from the debtor's perspective and that the lender's actions, while severe, did not constitute inequitable conduct justifying equitable subordination.
• In re Willington Convalescent Home, Inc. v. State OF Conn.
  850 F.2d 50· 2d Cir.· 1988-06-15 ·cited 6×
  Section 106(c) of the Bankruptcy Code does not waive a state's Eleventh Amendment immunity from suits seeking monetary recovery for turnover proceedings or avoided preferential transfers.
• Leasing Serv. Corp. v. Wendel (In Re Air Conditioning
  72 B.R. 657· S.D. Fla.· 1987-03-10 ·cited 6×
  The Bankruptcy Court erred in nullifying the letter of credit; however, the finding of a preferential transfer to LSC is affirmed, and the trustee may recover from LSC.
• In re Gold Coast Seed Co. v. VAN Dyke Seed Co., Inc.
  751 F.2d 1118· 9th Cir.· 1985-01-16 ·cited 6×
  The court held that for purposes of the Bankruptcy Code's preference avoidance provisions, a debt incurred under a forward contract is incurred when the goods are shipped, not when the contract is executed.
• In re Vodco Volume Dev. Co., Inc. v. Appleman
  567 F.2d 967· 10th Cir.· 1977-12-29 ·cited 6×
  A late-filed continuation statement under Colorado law does not establish continuous perfection against a bankruptcy trustee for purposes of determining preferential transfers under the Bankruptcy Act.
• In re Erin Food Servs., Inc. v. Cambridge Meridian Grp., Inc.
  980 F.2d 792· 1st Cir.· 1992-11-23 ·cited 4×
  A transfer to a non-insider creditor is not avoidable as a preference under the extended one-year period unless the insider-guarantor received a cognizable, quantifiable monetary benefit, such as a reduction in their contingent liability.
• In re Barefoot v. Champion Credit Corp.
  952 F.2d 795· 4th Cir.· 1991-12-18 ·cited 4×
  Payments made to an unsecured creditor within ninety days of bankruptcy to make good a dishonored check are avoidable preferences, even if the check was delivered before the ninety-day period.
• In re Finn v. Burns
  909 F.2d 903· 6th Cir.· 1990-07-31 ·cited 4×
  The court held that long-term consumer debt can be incurred in the ordinary course of financial affairs for purposes of the Bankruptcy Code's preference exception, and remanded for a factual determination.
• In re CHG Int'l, Inc. v. Barclays Bank
  897 F.2d 1479· 9th Cir.· 1990-02-28 ·cited 4×
  Payments on long-term debt are not covered by the ordinary course of business exception to preferential transfers, and interest on such loans accrues when the loan is incurred, not when payments are due.
• Begier v. United States Internal Revenue Serv.
  878 F.2d 762· 3d Cir.· 1989-06-30 ·cited 4×
  The court held that pre-petition payments of non-segregated funds to the IRS for tax withholding obligations are not avoidable preferential transfers under 11 U.S.C. § 547(b). These payments are considered a special fund in trust for the government under I.R.C. § 7501 and are the
• In re Smith-Douglass, Inc. v. Borden, Inc.
  842 F.2d 729· 4th Cir.· 1988-03-23 ·cited 4×
  Interest payments made on a promissory note within 90 days of bankruptcy are not avoidable preferential transfers if they fall within the ordinary course of business exception, as the debt for interest is incurred when it accrues, not when the note is signed.