READ The Incredible Lawsuit

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UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF OHIO
EASTERN DIVISION
______________________________________________________________________________
:
: Case No. 14-57104
:
: Chapter 11
John Joseph Louis Johnson, III,
:
: Judge John E. Hoffman, Jr.
Debtor.
:
_________________________________
:
John Joseph Louis Johnson, III,
:
:
Plaintiff,
: Adversary No.:
v.
:
:
Kristina A. Johnson
:
1102 Shumway Ct.
:
Faribault, Minnesota 55021,
:
:
Defendant.
:
______________________________________________________________________________
In re:
COMPLAINT
John Joseph Louis Johnson, III, debtor and debtor-in-possession in the above-captioned
chapter 11 case (the “Plaintiff” or “Debtor”), pursuant to sections 105(a), 502, 541 and 542 of
title 11, United States Code, 11 U.S.C. §§ 101 et seq. (the “Bankruptcy Code”)1 and Rule 7001
of the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”), by and through his
undersigned counsel, hereby files this Complaint against Defendant Kristina A. Johnson
(“Defendant”), requesting the turn-over of a vehicle and a declaratory judgment finding that
Defendant has no legal or equitable interest in the vehicles upon which she is identified on the
title documents. Debtor respectfully states and avers as follows:
1
Unless otherwise stated herein, all “Section” references are to the Bankruptcy Code.
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PARTIES, JURISDICTION AND VENUE
1.
Plaintiff is the Debtor in the underlying bankruptcy and an individual residing in
Franklin County, Ohio.
2.
Defendant is an individual and, upon information and belief, a resident of
Faribault, Minnesota.
3.
This Court has personal jurisdiction over the parties to this adversary proceeding.
4.
This Court has subject matter jurisdiction over the claims set forth herein.
5.
Venue of this adversary proceeding is proper before this Court.
6.
This matter is a core proceeding pursuant to 28 U.S.C. § 157.
7.
Debtor consents to the entry of final orders and judgments by this Court in this
adversary proceeding.
BACKGROUND
8.
Debtor filed a voluntary petition for relief under chapter 11 of the Bankruptcy
Code on October 7, 2014 (the “Petition Date”).
9.
Debtor is a debtor-in-possession of his assets and affairs.
The First Vehicle
10.
Debtor is the owner of a 2007 BMW X5, VIN: 5UXFE83517LZ46763 (the “First
Vehicle”).
11.
Debtor paid for the First Vehicle.
12.
Although the First Vehicle is owned by Debtor, Defendant, who previously
served as Debtor’s financial and business advisor, is identified with Debtor on the First Vehicle’s
certificate of title for administrative and convenience purposes only.
13.
Defendant has not paid any consideration for the First Vehicle.
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Regardless of the fact that no consideration has been paid for the First Vehicle by
Defendant and no gift of ownership was ever provided, she is claiming an ownership interest and
entitlement to proceeds of its sale.
15.
Defendant is in physical possession of the First Vehicle and refuses to provide the
16.
The First Vehicle is property of Debtor’s estate pursuant to Section 541(a)(1).
17.
On March 9, 2016, Debtor requested Defendant to “cease and desist from
same.
possessing, driving, or exercising control over the [First] Vehicle” and to “schedule a time for
the turnover of the vehicle.” March 9, 2016 letter to John Joseph Louis Johnson, II and Kristina
A. Johnson re In re: John Joseph Louis Johnson, III; 2007 Vehicle X5 (VIN # *6763) (the
“Vehicle Demand Letter”).
The Vehicle Demand Letter is attached hereto as Exhibit A.
Defendant has ignored the Vehicle Demand Letter and, to date, refuses to turn over the First
Vehicle.
18.
On March 31, 2016, Debtor again requested the turnover of the First Vehicle.
19.
In response to Debtor’s request for the turnover of the BMW X5, Defendant has
advised that she is willing to trade in her unsupported claim of ownership of the Second Vehicle
(identified below) in exchange for ownership of the First Vehicle.
The Second Vehicle
20.
Debtor is the owner of a second 2007 BMW X5, VIN: 5UXFE83577LZ44757
(the “Second Vehicle”).
21.
Debtor paid for the Second Vehicle and is in possession of the same.
22.
As with the First Vehicle, although the Second Vehicle is owned by Debtor,
Defendant was included with Debtor on the Second Vehicle’s certificate of title for
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administrative and convenience purposes only.
23.
Defendant has not paid any consideration for the Second Vehicle and the Second
Vehicle was never provided as a gift.
24.
The Second Vehicle is property of Debtor’s estate pursuant to Section 541(a)(1).
COUNT I
(Turnover of Property to the Estate – 11 U.S.C. § 542—First Vehicle)
25.
Debtor restates and incorporates by reference the contents of the foregoing
paragraphs of his Complaint as if fully restated herein.
26.
Defendant asserts possession, custody and control over the First Vehicle.
27.
Defendant refuses to relinquish possession, custody, and control of the First
Vehicle and is attempting to manipulate its ownership by virtue of her previous role as a business
manager for Debtor.
28.
Defendant is not a “custodian” of the First Vehicle within the meaning of Section
101(11) or Section 542(a).
29.
The First Vehicle is not of inconsequential value or benefit to the estate.
30.
The First Vehicle is subject to immediate turnover to Debtor.
31.
Debtor is entitled to a judgment against Defendant directing her to immediately
turn over possession, custody, and control of the First Vehicle.
32.
Debtor is entitled to a judgment against Defendant directing her to immediately
turn over possession, custody, and control of the First Vehicle.
COUNT II
(Declaratory Relief—First Vehicle)
33.
Debtor restates and incorporates by reference the contents of the foregoing
paragraphs of his Complaint as if fully restated herein.
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34.
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Defendant wrongfully asserts possession, custody, and control over the First
Vehicle.
35.
Defendant has no equitable interest in the First Vehicle because Defendant did not
provide any consideration or pay for the First Vehicle. Defendant is identified on the First
Vehicle’s certificate of title for administrative and convenience purposes only.
36.
The First Vehicle is property of the estate.
37.
Debtor is entitled to a declaration that Defendant has no legal or equitable interest
in the First Vehicle and an order directing Defendant to take all actions necessary to deliver clean
title to the First Vehicle to Debtor.
COUNT III
(Declaratory Relief—Second Vehicle )
38.
Debtor restates and incorporates by reference the contents of the foregoing
paragraphs of his Complaint as if fully restated herein.
39.
Defendant wrongfully asserts possession, custody, and control over the Second
Vehicle.
40.
Defendant has no equitable interest in the Second Vehicle because Defendant did
not provide any consideration nor did she pay for the Second Vehicle. Defendant is listed on the
Second Vehicle’s certificate of title for no other reason but for administrative and convenience
purposes.
41.
The Second Vehicle is property of the estate.
42.
Debtor is entitled to a declaration that Defendant has no legal or equitable interest
in the Second Vehicle and an order directing Defendant to take all actions necessary to deliver
clean title to the Second Vehicle to Debtor.
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WHEREFORE, Debtor respectfully requests the entry of a judgment in his favor and
against Defendant as follows:
(A)
on Count I of the Complaint, requiring immediate turnover of possession,
custody, and control of the First Vehicle to Debtor;
(B)
on Count II of the Complaint, declaring that Defendant has no legal or equitable
interest in the First Vehicle and directing Defendant to take all actions necessary to deliver clean
title to the First Vehicle to Debtor;
(C)
on Count III of the Complaint, declaring that Defendant has no legal or equitable
interest in the Second Vehicle and directing Defendant to take all actions necessary to deliver
clean title to the Second Vehicle to Debtor;
(D)
on all Counts of the Complaint awarding Debtor all reasonable fees, costs and
expenses incurred in connection with this matter including, without limitation, all reasonable
attorneys’ fees, costs, and expenses; and
(E)
on all Counts of the Complaint, awarding Debtor such other and further relief to
which he is entitled.
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Respectfully submitted,
/s/ Marc J. Kessler
Marc J. Kessler (0059236)
Daniel A. DeMarco (0038920)
Rocco I. Debitetto (0073878)
HAHN LOESER & PARKS, LLP
65 E. State St., Ste. 1400
Columbus, Ohio 43215
Telephone:
(614) 233-5168
Facsimile:
(614) 221-5909
E-mail:
[email protected]
[email protected]
[email protected]
Attorneys for Debtor/Defendant
John Joseph Louis Johnson, III
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EXHIBIT A
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