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In re Klingberg Schools

UNITED STATES COURT OF APPEALS FOR THE SEVENTH CIRCUIT


decided: January 13, 1988.

IN RE KLINGBERG SCHOOLS, AN ILLINOIS NOT-FOR-PROFIT CORPORATION, DEBTOR, JAY STEINBERG, TRUSTEE OF THE ESTATE OF KLINGBERG SCHOOLS, AND ILLINOIS NOT-FOR-PROFIT CORPORATION, BY CERTAIN CREDITORS, PLAINTIFF-APPELLEE,
v.
ILLINOIS DEPARTMENT OF MENTAL HEALTH AND DEVELOPMENTAL DISABILITIES, DEFENDANT-APPELLANT

Appeal from the United States District Court for the Northern District of Illinois, Eastern Division. No. 86 C 3001 - Marvin E. Aspen, Judge.

Before BAUER, Chief Judge, WOOD and MANION, Circuit Judges.

Per Curiam.

We agree with the district court that "the defendant improperly asserted a set-off, and not a recoupment, in violation of the automatic stay provisions of 11 U.S.C. ยง 362." In re Klingberg Schools, 68 B.R. 173, 180 (N.D.Ill. 1986).

Defendant no longer opposes debtor's night care services claim. Therefore, the issues discussed by the district court in the section captioned "Soverign Immunity, " which begins at 68 B.R. 176 and continues through the bottom of 68 B.R. 177, are now moot. We accordingly do not reach those issues, but otherwise adopt the district court's opinion. In re Klingberg Schools, 68 B.R. 173 (N.D. Ill. 1986).

The district court's order is Affirmed.

19880113

© 1998 VersusLaw Inc.



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