Confidential
Settlement – $102,000Judge
Attorneys
Plaintiff
Defendant
Facts
On Feb. 29, 1996, plaintiff filed a complaint for personal injury against defendant arising out of an automobile accident. The defendant had swerved into a gas station, hitting a cement trash receptacle which struck plaintiff and caused him severe personal injuries. Shortly before trial, defendant filed a voluntary bankruptcy Chapter 7 petition listing plaintiff as one of her creditors. The only other creditor listed was owed $34.00. In her petition, defendant listed a family residence on which she claimed the estate had a net equity of less than $5,000. The plaintiff claimed no other substantial assets were listed. Per defendant, normal assets were listed, i.e., furniture, furnishings, etc. The plaintiff filed a motion to permit the prosecution of the pending personal injury action under 11 USC 362a. After the motion was granted, the personal injury action was settled for $150,000, $50,000 of which was paid by defendant's insurance carrier. The balance of the judgment remained unsatisfied. The plaintiff filed a complaint for determination of dischargeability of the debt and to object to discharge under 11 USC 727 with regard to the state court personal injury action and for an order denying defendant a discharge.
Damages
$100,000 for balance of personal injury settlement.
Other Information
The settlement was reached approximately seven months after the case was filed. The petition for bankruptcy was then dismissed upon defendant's agreement to pay the trustee and her attorney their fees and costs.
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