Wiegand v. Tahquamenon Area Credit Union (In Re Wiegand)

OPINION

QUIST, District Judge.

This is an appeal of a final Order entered by the United States Bankruptcy Court on March 20, 1996. The debtors, Thomas and Melinda Wiegand (“Wiegands”), are requesting reversal of the Bankruptcy Court’s Order dismissing the Wiegands’ motion to hold Tah-quamenon Area Credit Union (“Credit Union”) in contempt for not turning over funds to the Wiegands held in a Credit Union account. The Bankruptcy Court held that Credit Union had a right of setoff against the Wiegands’ account despite the discharge of the Wiegands’ debt and despite the account’s exempt status.

Facts

T…