In Re: Juan Alberto Acevedo Hernandez v. St. Andrews Estates 26, LLC, et al.

CourtUnited States Bankruptcy Court, D. New Jersey
DecidedJune 5, 2026
Docket22-01241
StatusUnknown

This text of In Re: Juan Alberto Acevedo Hernandez v. St. Andrews Estates 26, LLC, et al. (In Re: Juan Alberto Acevedo Hernandez v. St. Andrews Estates 26, LLC, et al.) is published on Counsel Stack Legal Research, covering United States Bankruptcy Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re: Juan Alberto Acevedo Hernandez v. St. Andrews Estates 26, LLC, et al., (N.J. 2026).

Opinion

UNITED STATES BANKRUPTCY COURT DISTRICT OF NEW JERSEY

In Re:

Case No.: 22-14525-ABA Juan Alberto Acevedo Hernandez, Chapter: 7 Debtor.

Andrea Dobin, Chapter 7 Trustee,

Adv. No.: 22-01241-ABA

Plaintiff

Judge: Andrew B. Altenburg, Jr. v.

Hearing Date: April 7, 2026 St. Andrews Estates 26, LLC, et al.

Defendants

MEMORANDUM DECISION Before the court is the Motion of the Defendant/Counterclaim Plaintiff/Crossclaim Plaintiff Express Homebuyers Corp. (“EHC”) for: (A) Partial Summary Judgment against the Plaintiff Andrea Dobin, Chapter 7 Trustee (“Trustee”) and Default Judgment Against the Cross-Claim Defendants, St. Andrews Estates 26, LLC, Candor Capital, LLC, Schlomo Sinay, and Charles Wurzburger a/k/a/ Chaim Wurzberger (collectively, the “St. Andrews Defendants”); (B) For Relief from the Automatic Stay; and (C) Permitting Filing an Amended Pleading to Assert Cross Claims Against Candor Capital, LLC and Amend its Counterclaim Against the Plaintiff (the “Motion”), Doc. No.177, and related Cross Motion for Partial Summary Judgment as to the Seventh Count of the Complaint and as to Counts III, IV, and V of the Counter Claim for a Declaratory Judgment that Express Homebuyers Corp. does not have an interest in the Rent from the Property Prior to the Execution of the Deed by the Sheriff filed by the Trustee (the “Cross-Motion”). Doc. No. 181. After briefing and a hearing on the Motion and Cross-Motion, the court concludes there are no genuine issues of material fact as EHC, as equitable owner of certain property, because of a previously negotiated court order and because it merely had the rights accompanying a mortgagee, without more, EHC is not entitled to rents. Consequently, the court grants the Trustee’s Cross- Motion in full and denies EHC’s Motion. JURISDICTION This matter is a core proceeding pursuant to 28 U.S.C. §§ 157(b)(2)(A), (E), (H), (K) and (O), and the court has jurisdiction over this contested matter under 28 U.S.C. §§ 1334, 157(a), and the Standing Order of Reference issued by the United States District Court for the District of New Jersey on July 23, 1984, as amended on September 18, 2012 and June 6, 2025, referring all bankruptcy cases to the bankruptcy court. The following constitutes this court’s findings of fact and conclusions of law as required by Federal Rule of Bankruptcy Procedure 7052.

PROCEDURAL HISTORY Before the court is the adversary proceeding initiated by the Trustee against the St. Andrews Defendants, EHC, and others. Doc. No. 1, as amended, Doc. No. 13 (collectively, the “Complaint”). Currently before the court is the Motion and what appears to be a duplicative pleading in support of the Motion – Doc. No. 179 (collectively with the Motion, still the “Motion”), and the Cross-Motion. EHCfiled opposition to the Cross-Motion. Doc. No. 184. The St. Andrews Defendants filed opposition to the Motion. Doc. No. 185. The court conducted a hearing on the Motion on April 7, 2026. The hearing is concluded, and the record is closed. This matter is now ripe for disposition.

FACTS The Motion and Cross-Motion are related to a dispute over real property located at 26 St. Andrews Place, Brooklyn, New York (the "Property"), and in turn, the rental income that has accrued since the purchase agreement between Debtor Juan Alberto Acevedo Hernandez and EHC entered on September 7, 2011. See Doc. Nos. 71, p. 16, ¶ 15 and 105-5. The purchase price for the Property was $250,000.00 subject to a short sale. See Doc. Nos. 105-3, ¶ 14 – 15. As noted in its Amended Answer, Affirmative Defenses, Counterclaim and Crossclaim in this matter, EHC did not pay the purchase price for the Property. Doc. No. 71, p. 16, ¶ 15. Then, on February 23, 2012, EHC commenced an action against the Debtor for specific performance of the sale agreement in the Supreme Court of New York, County of Kings, Index No. 4343/2012 (the “NY Action”). On April 3, 2015, EHC filed an amended complaint in the NY Action adding St. Andrews Estates 26, LLC as a defendant. The NY Action was settled in 2019 by an order approved by the state court (the “2019 Order”). Doc. No. 105-8. The 2019 Order provided for specific enforcement of the sale contract entered into by the Debtor and EHC and voided the deed between the Debtor and St. Andrews Estates 26 upon fulfillment of certain conditions.1 The 2019 Order did not provide EHC with entitlement to rent.

On December 27, 2024, in decidingEHC’s prior Motion for Summary Judgment, Doc. No. 105, this court found, inter alia, that the parties were bound by the 2019 Order entered in the NY Action, conditions were not met, and therefore, granted stay relief for the parties to go back to 1 For the sake of brevity, the court’s previous opinion detailing the tortured history related to the Property is incorporated herein. See Doc. No. 163. New York state court and seek a final determination of the parties’ rights under the 2019 Order. See Doc. Nos. 127 and 134, Oral Opinion and Order Granting in part, and Staying in Part Motion for Summary Judgment filed by Express Homebuyers Corp.

After obtaining stay relief, EHC continued prosecution of the NY Action. The Trustee did not enter an appearance or seek any relief in the NY Action. Ultimately, the court in the NY Action entered an order on June 25, 2025, directing the Sheriff to convey the Property to EHC pursuant to the 2019 Order and voiding the transfer of the deed dated June 24, 2013 (the “2025 Order”). Doc. No. 177-3. The 2025 Order is silent as to any other relief to be afforded to EHC.2 On August 13, 2025, EHC finally received title to the Property via Sheriff’s Deed and has been collecting rents from the tenants since December 1, 2025. Doc. No. 177-1, ¶19 and Ex. B.

DISCUSSION

A court may grant summary judgment under Federal Rule of Civil Procedure 56(a), made applicable to adversary proceedings pursuant to Federal Rule of Bankruptcy Procedure 7056, when “the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed. R. Civ. P. 56(a). The court must construe facts and inferences in a light most favorable to the non-moving party. See e.g. Lemaire v. Hartford Life & Acc. Ins. Co., 69 F. App’x 88, 91 (3d Cir. 2003) (citing Celotex Corp. v. Catrett,477 U.S. 317, 322 (1986)).

Summary judgment is appropriate only when the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law. Fed. R. Civ. P. 56(c). The moving party bears the burden of proving that no genuine issue of material fact is in dispute. Celotex Corp. v. Catrett, 477 U.S. 317, 323 (1986).

Property interests, including ownership interests and a mortgagee’s rights to rents are defined by state law. Butner v.

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In Re: Juan Alberto Acevedo Hernandez v. St. Andrews Estates 26, LLC, et al., Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-juan-alberto-acevedo-hernandez-v-st-andrews-estates-26-llc-et-njb-2026.