Bullock v. Simon, No. 20-1686 (7th Cir. 2021)Annotate this Case
Bullock petitioned for Chapter 13 bankruptcy but failed to disclose on his Schedule B list of assets a pending workers’ compensation claim. On his Schedule C list of exemptions, he failed to declare an exemption for the claim. Bullock proposed a 60-month plan of reorganization to pay $148 per month plus possible tax refunds. The bankruptcy court confirmed the plan in October 2014. In 2017, Bullock received a workers’ compensation settlement award for $92,430.84. The trustee moved to compel Bullock to disclose it. Bullock then listed the settlement proceeds as personal property on Schedule B and declared the proceeds exempt on Schedule C under 820 ILCS 305/21; 735 ILCS. 5/12-1001(b). The trustee successfully moved to compel Bullock to file an amended plan under 11 U.S.C. 1329(a) that would provide for the turnover of Bullock’s workers’ compensation award for distributions to general unsecured creditors. Bullock had already spent the award proceeds. The bankruptcy court confirmed Bullock’s amended plan, requiring Bullock to pay a lump-sum of approximately $15,000 before the plan’s expiration. Bullock failed to make the final payment under the plan. An appeal from the dismissal of the bankruptcy case is pending.
The Seventh Circuit affirmed the district court’s dismissal of the adversary proceeding on mootness grounds. That issue is mooted because he complied with the very order requiring the reorganization plan’s amendment that he now seeks to challenge and because his underlying bankruptcy case was dismissed.