Lis Pendens Effectuated Transfer Outside Preference Period

In a decision released in January, In re Matthew J. Whitehead, III, 399 B.R. 570 (Bankr. S.D. Fla. 2009), the judgment creditor argued that the lis pendens filed at the start of the underlying state court action brought the judgment outside the preference period. Judge Olsen in the Bankruptcy Court for the Southern District of Florida held the "[i]n accord with 11 U.S.C. § 547, Fla. Stat. § 48.23, and applicable case law, I find the Notices of Lis Pendens to have effectuated a transfer of the property outside of the statutory preference period." Therefore, the creditor was granted relief from the automatic stay.

The decision is below:

•In re Matthew J. Whitehead, III, 399 B.R. 570 (Bankr. S.D. Fla. 2009)

*Disclaimer: Jeffrey Kuntz and/or GrayRobinson, P.A. were involved in the above-referenced action.