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IN RE OGA CHARTERS, L.L.C.

No. 17-40920.

901 F.3d 599 (2018)

IN RE: OGA CHARTERS, L.L.C., Debtor. Myra Lynn Martinez, Individually and as Representative of the Estate of Maricela Vega Lopez, Deceased; Jorge Lopez, Individually and as Representative of the Estate of Maricela Vega Lopez, Deceased; Elizabeth Navarro, Individually and as surviving child of Jaime Navarro, Sr., Deceased; Jaime Navarro, Individually and as surviving child of Jaime Navarro, Sr., Deceased; Jesus Navarro, Individually and as surviving child of Jaime Navarro, Sr., Deceased; Maria Del Rosario Navarro, Individually and on behalf of the Estate of Jaime Navarro, Sr., Deceased; Maria Elva Cantu; Maria Eugenia Martinez, Individually and as surviving child of Dora N. Gonzalez, Deceased; Maribel Campa, Individually and as surviving child of Dora N. Gonzalez, Deceased; Yvette Aguilar, Individually and as surviving child of Altagracia Torres, Deceased; George Garza; Olga Garza; Odella Rickard, Individually and on behalf of the Estate of Emma R. Samudio; Suzanne Hughes; Beatrice Garcia, Appellants v. OGA Charters, L.L.C; Imelda Guerrero Ochoa, as Representative of the Estate of Francisca Guerrero, Deceased; Marta Villareal; Idolina Rivera; Mario Alberto Zuniga; Lizbeth Rangel; Thelma Hernandez; Manuel Salinas; Carlota Salinas; Jaime Garza, on behalf of the Estate of Adelfa Garza; Hortencia Robles; Natalie Alaniz; Guadalupe Carrillo; Elizabeth Cristina Carrillo; Jose Cardenas; Irma Cardenas; Dora Pena; Jomara Weatherby, on behalf of the Estate of Maria de Jesus Musquiz, Deceased; New York Marine and General Insurance Company; Lisa Garza; Michael B. Schmidt, Trustee, Appellees.

United States Court of Appeals, Fifth Circuit.

Filed August 24, 2018.

Attorney(s) appearing for the Case

Eric B. Terry , San Antonio, TX, for Appellants.

Tracy Spillman , Kittleman Thomas, P.L.L.C., Michael A. McGurk , Walsh McGurk Cordova Nixon, P.L.L.C., McAllen, TX, for Beatrice Garcia.

Michael B. Schmidt, Pro Se.

Kay B. Walker , Law Office of Kay B. Walker, Corpus Christi, TX, for Michael B. Schmidt.

Shelby Arthur Jordan , Nathaniel Peter Holzer , Jordan, Hyden, Womble, Culbreth & Holzer, P.C., Corpus Christi, TX, for Marta Villareal, Idolina Rivera, Mario Alberto Zuniga, Lizbeth Rangel, Thelma Hernandez, Manuel Salinas, Carlota Salinas, Guadalupe Carrillo, Elizabeth Cristina Carrillo, Jose Cardenas, Irma Cardenas, Dora Pena, Imelda Guerrero Ochoa, Hortencia Robles, Natalie Alaniz, Jaime Garza, Jomara Weatherby, and Lisa Garza.

Before REAVLEY, GRAVES, and COSTA, Circuit Judges.

This is a direct appeal from the bankruptcy court. The primary issue is whether proceeds of the debtor's liability policy are property of the bankruptcy estate. The bankruptcy court found the proceeds were property of the estate. We AFFIRM.

I.

The facts of this case are tragic yet uncomplicated. In May 2016...

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