Peyton v. First Citizens Corp. (In Re Veatch)

MEMORANDUM OPINION

MARTIN V.B. BOSTETTER, Jr., Bankruptcy Judge.

Today in this case which has a long and complicated history, we consider the defendants’ motion to dismiss this adversary proceeding on two theories; first that the property at issue is not property of the estate; and second, that the statute of limitations has run, thereby time barring the chapter 7 Trustee’s claim. The underlying facts are as follows.

Debtor and his brother were land developers during the 1980’s. Debtor, as trustee of a simple trust naming himself and his brother as beneficiaries, acquired 11.36 acres of land…