Kohut v. Wells Fargo Bank, N.A. (In Re Pankey)

Opinion Regarding Motion for Summary Judgment

STEVEN W. RHODES, Chief Bankruptcy Judge.

Gene Kohut, the chapter 7 trustee, filed this adversary proceeding to avoid a mortgage on the debtors’ real property. He seeks to avoid the mortgage as a preferential transfer pursuant to 11 U.S.C. § 547(b), asserting that the mortgage was perfected during the 90 days prior to the debtors’ bankruptcy. Wells Fargo has filed a motion for summary judgment, asserting that the mortgage was recorded prior to the preference period and is therefore not avoidable.

The debtors refinanced their residential real property…