Case Conclusion Date: January 1, 2001
Practice Area: Bankruptcy / Chapter 7
Outcome: Lost at Trial, Overturned on Appeal
Description: This case involved a motor rebuilder who went out of business. My client held the note on all of the automotive engine rebuilding equipment. The landlord had to spend thousands of dollars to rid the location of toxic wastes and sought to attach the proceeds from the sale of my client's equipment to pay for the clean up of the leased premises. The trial court allowed it as did the U.S. District Court but this decision was overturned by the 5th Circuit Court of Appeals after oral argument. This decision is cited by authorities for several principles. The opinion of the 5th Circuit can be found at 243 F. 3rd 228 (2001).