In re E-Z Convenience Stores, INC.

Avoidance - Surety was "creditor" of Chapter 11 debtor at the time of prepetition transfer of collateral.

A surety was a "creditor" of a Chapter 11 debtor at the time of a prepetition transfer of collateral to the surety for purposes of the trustee's preference avoidance claim. The surety was obligated to pay any claims made by obligees under the bonds as the debtor's surety, and the debtor was in turn obligated to indemnify the surety for any such payments. Thus, the surety had a contingent claim against the debtor for reimbursement that became fixed if, and when, a claim was made against a bond.

In re Tarangelo -

Avoidance - Transferee's encumbrance of property following fraudulent transfer supported money judgment against her.

An appropriate remedy, in a strong-arm fraudulent transfer avoidance proceeding in which the relative to whom a Chapter 7 debtor fraudulently transferred her residence took out a second deed of trust on the residence following the transfer, thereby stripping the property of the $50,000 equity that debtor possessed at the time of transfer, was entry of money judgment against relative for this lost equity, but after first crediting the relative for any portion of the deed of trust proceeds that the relative could establish were used for the debtor's benefit