You are here

Trustee John S. Lovald v. Stephen J. McGreevy, Susan S. McGreevy, Avera McKennan Hospital, Wellmark Blue Cross Blue Shield of South Dakota, and United Fire Group (In re McGreevy)

Bankr. No.: 
Adv. No.: 
Date of Decision: 
May 16, 2008
The case trustee asked the Court to determine the interests of several parties in settlement funds the bankruptcy estate received post-petition arising from one debtor's pre-petition car accident.
The Court concluded, in separate decisions: (1) the debtor's health insurance provider held a subrogated interest in the settlement funds to the extent of benefits paid related to the accident, both pre- and post-petition, and subrogated funds were excluded from the bankruptcy estate; (2) a post-petition medical care provider, a hospital, did not have any interest in the settlement funds or the debtor's insurance benefits based on post-petition hospital liens or admission consent forms signed by the debtor; and (3) the debtors' interest in the settlement funds was limited to the amount they had claimed exempt under S.D.C.L. ยง 43-45-4.
Full Bankruptcy Court Decision: