Third National Bank in Nashville v. Carpenter (In Re Carpenter)

MEMORANDUM

RUSSELL H. HIPPE, Jr., Bankruptcy Judge.

This adversary proceeding was initiated by the plaintiff bank filing a complaint seeking relief from the automatic stay of 11 U.S.C. § 362(a)(7) 1 in order that it might exercise an alleged right to setoff against a prepetition obligation of the debtors the sum of $318.35. The bank has prevented the debtors from withdrawing this sum from their checking account pending determination by the court of its setoff rights. The debtors have answered alleging that the action taken by the bank in preventing them from withdrawing this sum from their…