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(Bankr. S.D. Ind. Mar 15, 2016)

The bankruptcy court denies the department’s motion to reconsider the judgment finding the debtor was entitled to a discharge of the debt to the department. Opinion below.

Judge: Carr

Attorneys for Department: Office of the Indiana Attorney General, Heather M. Crockett, Maricel E.V. Skiles, Spencer W. Tanner

Attorneys for Debtor: Redman Lugwig, Keith Eirik Gifford

The oil and gas industry is in the midst of a transition, with prices falling as supply outpaces current demand. With global economic weakness and growing competition from alternative energy sources, the expectation is for continued headwinds. Low prices have caused numerous producers to default on their indebtedness and many to seek financial restructuring, including filing for bankruptcy protection.

(Bankr. W.D. Ky. Mar. 8, 2016)

The bankruptcy court sustains the debtors’ objection to the creditor’s claim. The court determines that the creditor failed to establish that the transaction with the debtors was intended as a loan. Instead, the parties had formed a partnership with the creditor making capital contributions, rather than loans. Opinion below.

2016-03-08 – in re mik