24 B 2578, 24 A 70
After a tax sale for delinquent taxes related to the Debtor’s residence, Debtor filed an adversary complaint seeking to avoid the tax sale as a preferential transfer under 11 U.S.C. §§ 547(b) and 522(h) (Count I), and a fraudulent transfer under 11 U.S.C. § 548(a)(1)(B) (Count II). Debtor also brought a takings action under 42 U.S.C. § 1983 (Count III). The Defendant moved to dismiss the complaint, arguing that Debtor lacked standing to bring any of the three actions and that the court lacked subject matter jurisdiction to hear the section 1983 action. HELD: The Debtor failed to plead standing required for Count I (sections 547 and 522(h)) and Count II (section 548). In Count III (1983 Takings Action), Debtor did not establish “related to” jurisdiction over the claim. The motion to dismiss is granted and Debtor will be granted leave to amend the complaint.
Judge:
Date:
Tuesday, February 24, 2026
