DISCLAIMER: The following unofficial case summaries are prepared by the clerk's office
as a courtesy to the reader. They are not part of the opinion of the court.
146027P.pdf 11/24/2014 Eldon Bugg v. Cyril Gray
U.S. Court of Appeals Case No: 14-6027
U.S. Bankruptcy Court for the Western District of Arkansas - Hot Springs
[PUBLISHED] [Kressel, Author, with Federman and Schermer, Bankruptcy
Judges]
Bankruptcy Appellate Panel - automatic stay. Creditors' eviction and
disposition of debtor's property violated the automatic stay. Bankruptcy
court had jurisdiction to hear claim relating to violation of the stay.
Creditors did not object to continuances and their actions were
inconsistent with intent to insist on time constraints of section 362(e)
and, having failed to do so, they have waived their rights. Creditors are
barred by judicial estoppel from claiming the stay expired under section
362(e). Bankruptcy court did not clearly err in finding that creditors had
knowledge of the bankruptcy petition and acted deliberately and that they
willfully violated the automatic stay. Bankruptcy court's findings as to
actual damages were not clearly erroneous. The court did not make specific
findings as to the motive or egregious conduct in violating the stay and
the creditor's failure to appear at the trial does not satisfy that
standard for punitive damages. Thus, the bankruptcy court abused its
discretion in awarding punitive damages.