IN RE SPEARING TOOL AND MFG. CO., INC.

No. 03-72070. Bankruptcy No. 02-49144-swr. Adversary No. 02-5201.

302 B.R. 351 (2003)

In the Matter of SPEARING TOOL AND MANUFACTURING CO., INC., Debtor. Crestmark Bank and Crestmark Financial Corporation, Plaintiffs, v. United States of America, Defendant.

United States District Court, E.D. Michigan, Southern Division.

November 5, 2003.


Attorney(s) appearing for the Case

Steven P. Ross, William R. Huffman, Shaheen, Jacobs, Detroit, MI, for Plaintiffs.

Thomas P. Cole, Department of Justice, Tax Division, Washington, DC, for Defendant.


ORDER REVERSING THE OPINION AND ORDER OF THE BANKRUPTCY COURT

EDMUNDS, District Judge.

Plaintiffs in this adversary action, Crestmark Banks and Crestmark Financial Corp. (collectively, "Crestmark"), appeal a Bankruptcy Court order denying their motion for summary judgment and granting summary judgment sua sponte to the Internal Revenue Service. The Bankruptcy Court ruled that federal tax liens had priority over Crestmark's, even though the federal...

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