Summary:
The Trustee sought to avoid two transfers, in the total amount of $30,000, made by the Debtor from his wholly owned corporation to Michael Campbell.
The only issue in the avoidance action was whether the Debtor received less than equivalent value for the transfers. The Trustee asserted these were gifts and the Debtor that they were loans. The Trustee brought a Motion for Summary Judgment.
Michael Campbell presented ambiguous testimony, stating at one point in in his deposition that "No, he didn't loan me money. I worked for it." but then later "No gift, never a gift. I worked for it." Further evidence showed that the transfers were repaid through work Mr. Campbell performed for the Debtor.
With "evidence that cuts in both directions", but viewing such in the light most favorable to the Debtor, the bankruptcy court denied the motion.
Commentary:
Michael Campbell as Walt Whitman- "Do I contradict myself? Very well then I contradict myself, (I am large, I contain multitudes.)"
For a copy of the opinion, please see:
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