In re Landry

350 B.R. 51 (2006)

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In re Landry

United States Bankruptcy Court for the Eastern District of Louisiana
350 B.R. 51 (2006)

Facts

Mr. and Mrs. Landry (defendants) filed for chapter 7 bankruptcy. The Landrys did not disclose their ownership of a Harley Davidson motorcycle on the bankruptcy schedules. A few months later, the chapter 7 trustee (plaintiff) received an anonymous letter that stated the Landrys were hiding a motorcycle from the bankruptcy court. The trustee did not act on the letter at that time. The court entered the order and discharged the Landrys’ debts. Several months later, the trustee sent a letter to the Landrys asking about the motorcycle. The Landrys then filed amended schedules that listed the motorcycle and claimed it as an exemption. The trustee objected to the exemption and filed a motion for turnover of the motorcycle. The court sustained the trustee’s objection to the exemption, and the motorcycle was sold at auction. The proceeds from the sale of the motorcycle went to the Landrys’ creditors. The trustee then filed a complaint to revoke the Landrys’ discharge under 11 U.S.C. § 727(d)(1).

Rule of Law

Issue

Holding and Reasoning (Brown, J.)

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