Opinion ID: 694345
Heading Depth: 2
Heading Rank: 2

Heading: Personal Property Secured by Stinson on His Own

Text: Initiative 19 On March 1, 1993, acting without direction from the trustee, Stinson placed a utility trailer that was on the leasehold premises in a locked storage locker. 6 Salzer had claimed the trailer as exempt, and he charges that Stinson's actions violated the automatic stay. Salzer's claim is meritless. 20 Under the Bankruptcy Code, an entity in possession, custody, or control of property that the trustee is entitled to possess, including property that the debtor may exempt, must turn that property over to the trustee. 11 U.S.C. Sec. 542(a). 7 Salzer asserts that he had a key to the leasehold premises and complete access to it through April 1, 1993. From this, Salzer deduces, without citation to any authority, that Stinson was not in possession of the trailer at the time he put it in the locker. (App.Br. at 10-11). This argument is waived. See Varhol v. National R.R. Passenger Corp., 909 F.2d 1557, 1566 (7th Cir.1990) (holding that a claim is waived on appeal when not supported by citation to relevant authority). 21 Notwithstanding the waiver, when Salzer's bankruptcy was converted to a Chapter 7 on September 29, 1992, the trustee took no action to accept or reject the lease within sixty days. At that point, the lease was rejected and the leasehold surrendered to Stinson. This terminated the automatic stay. 11 U.S.C. Sec. 365(d)(4); In re James Wilson Assoc., 965 F.2d 160, 164 (7th Cir.1992). Furthermore, even if that provision had not terminated the stay, the oral month-to-month lease with rent payable in advance was terminated as a matter of Indiana law when Salzer failed to pay rent in November 1992. Ind.Code Sec. 32-7-1-7; In re Depoy, 29 B.R. 466, 469 (Bankr.N.D.Ind.1983). The lease having been terminated, the leasehold premises was no longer subject to the automatic stay. 11 U.S.C. Sec. 362(b)(10). 22 Because the lease and the stay both had terminated, Salzer had no rights in the leasehold premises on March 1, 1993. That Stinson gratuitously allowed Salzer access to the premises did not give him a right to be on the property. See Wallace v. Rogier, 182 Ind.App. 303, 395 N.E.2d 297, 299 (1st Dist.1979); Ind.Code Sec. 32-7-1-7. Therefore, Stinson was in possession, custody, or control of the leasehold premises and the trailer on March 1, 1993, when he placed it in the storage locker. Because neither the estate nor Salzer had any rights in the real estate where the trailer was located, and because it was property subject to turnover under 11 U.S.C. Sec. 542(a), Stinson's actions in placing it in a storage locker did not violate the automatic stay.