American Gypsum Co. v. McDowell (In Re American Gypsum Co.)

MEMORANDUM OPINION

MARK B. McFEELEY, Bankruptcy Judge.

This matter came before the Court on the debtor’s complaint to determine secured status of the defendant creditors McDowell. The debtor alleges that in filing the involuntary petition, the McDowells waived their security by failing to mention it in the petition. The McDowells, along with two other creditors, filed an involuntary petition which stated that their claims in the aggregate were “in excess of the value of any lien held by them on the debtor’s property securing such claims, to at least $5,000.00.” Thereafter, in describing the…