- 5 -
list of personal property” filed with the bankruptcy court, they
“identified the [Heartland/Lakner] lawsuit in progress as an
asset of unknown value”. On August 20, 1997, the bankruptcy
court granted petitioners a discharge. The bankruptcy court
eventually closed petitioners’ bankruptcy case on September 9,
1999.5
During petitioners’ bankruptcy proceedings, the bankruptcy
court approved, by order dated October 14, 1997, the sale of the
bankruptcy estate’s interest in the Heartland/Lakner lawsuit to
Heartland for $5,500. The bankruptcy court also identified
$7,650 as “Mrs. Prasil’s remaining interest in the lawsuit, the
portion of the lawsuit exempt from bankruptcy”. Mrs. Prasil
testified that Heartland, however, did not pay her the specified
amount. Therefore, in January 1999, Mrs. Prasil went back to
District Court in Minnesota to get her exemption value of the
Heartland/Lakner lawsuit from Heartland. The District Court
purportedly ordered Heartland to pay Mrs. Prasil the $7,650
identified by the bankruptcy court as her exempt portion of the
Heartland/Lakner lawsuit. Petitioners did not present a copy of
the complaint nor the District Court’s purported order to the
Court.
5 Petitioners did not present to the Court any of the
bankruptcy documents or orders, except for the bankruptcy court’s
docket sheet and only the first page of a document entitled
“Memorandum of Law in Opposition to Objection to Settlement”.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Next
Last modified: May 25, 2011