Opinion ID: 864170
Heading Depth: 2
Heading Rank: 1

Heading: glen eavenson

Text: A. WHETHER THE CIRCUIT COURT ERRED IN HOLDING THAT GLEN EAVENSON'S DEBT TO THE BANK WAS DISCHARGED BY THE BANKRUPTCY PROCEEDING, THEREBY CAUSING EAVENSON TO BE DISMISSED AS A DEFENDANT IN THIS CASE. ¶30. Eavenson had filed an answer and cross-complaint against Greenline and Perma Septic in the case, sub judice. The trial court ruled that absent evidence of Eavenson's reaffirmation of his debt to the Bank, Eavenson should be dismissed as a party, with the dismissal including any cross-claims asserted by Eavenson. It is Eavenson's position that the pleading of a discharge in bankruptcy is an affirmative defense and a personal defense. He concludes that he did not raise this affirmative defense, and further admitted that he owed the Bank, and consequently, the circuit judge erred in dismissing him from this case. We disagree. ¶31. Eavenson filed for bankruptcy after the conversion; therefore, Eavenson's cause of action became property of the bankruptcy estate. Accordingly, the bankruptcy trustee, and not Eavenson, was the only party who could pursue the claims. Notwithstanding Eavenson's assertions to the contrary, there is simply no evidence presented of a reaffirmation of the debt. Additionally, under bankruptcy law, when a petition for bankruptcy is filed, that petition creates an estate. 11 U.S.C. § 541. Under § 541, all property of the debtor becomes a part of the estate, including causes of action belonging to the debtor at the time the case is commenced. 11 U.S.C. § 541.10; Billingham v. Wynn & Wynn, P.C., (In re Rothwell), 159 B.R. 374, 377 (Bankr. D. Mass. 1993); see 4 Collier on Bankruptcy, at 74-3, 74-4 (2002). Eavenson had no standing to pursue this action on his own behalf. Consequently, this assignment of error is without merit. B. WHETHER THE CIRCUIT COURT ERRED IN HOLDING THAT GLEN EAVENSON CANNOT MAINTAIN A SUIT AGAINST GREENLINE AND PERMA SEPTIC BECAUSE HE WAS REQUIRED TO FILE A COMPULSORY COUNTERCLAIM PURSUANT TO MISS. R. CIV. P. 13(A) AT THE TIME HE FILED HIS MOTION TO SET ASIDE THE DEFAULT JUDGMENT. ¶32. Because of the ruling in Section III.A., above, the Court determines that there is no reason to address this assignment of error.