Minnesota Bankruptcy Court Holds Pokagon Potawatomi Gaming Per Capita Payments are Not Part of Debtor’s Estate

Here are the materials in In re Musel (D. Minn. Bkrcy.):

10 Motion to Turnover

14 Response

22 Trustee Brief

23 Debtor Brief

25 Memorandum Decision and Order

An excerpt:

The Pokagon Band followed all of the requirements outlined in IGRA – a federal statute – to achieve federal approval for its Gaming Revenue Allocation Plan. Once that RAP was approved, the Band’s sovereignty ensured that it became the sole and exclusive authority for creating and defining property rights for payments it authorized. The RAP’s plain language prevented the creation of any vested property right or interest, and any intangible right to payment was unique to the individual tribal member. As a consequence, the debtor had no property interests that would be considered property of the estate under § 541(a). Additionally, even outside of the Pokagon Band’s sovereign authority to create and define property rights, the per capita payments are not property of the estate in policy, logic, or equity.