Crestmark Bank & Crestmark Financial Corp. v. United States (In Re Spearing Tool & Manufacturing Co.)

ORDER REVERSING THE OPINION AND ORDER OF THE BANKRUPTCY COURT

EDMUNDS, District Judge.

Plaintiffs in this adversary action, Crest-mark Banks and Crestmark Financial Corp. (collectively, “Crestmark”), appeal a Bankruptcy Court order denying their motion for summary judgment and granting summary judgment sua sponte to the Internal Revenue Service. The Bankruptcy Court ruled that federal tax liens had priority over Crestmark’s, even though the federal liens did not identify the debtor by its name as registered with the State of Michigan. For the reasons fully explained below, the Court REVERSES…