LexisNexis® Legal Newsroom
Judge Gargotta Writes Sweeping Opinion on Jurisdiction, Reverse Veil-piercing and Cayman Islands Law

In law school, students cope with concepts of subject matter jurisdiction, personal jurisdiction and stating a cause of action in civil procedure class. When they move on to bankruptcy class, they must try to make sense of the constitutionality of delegating jurisdiction to an Article I court when...

Fifth Circuit to Consider Impact of Stern v. Marshall on U.S. Magistrates

While the paparazzi followed every move of Anna Nicole Smith during her tragically shortened life, those of us of the legal paparazzi now stalk every new development in the case which bears her legal name, Stern v. Marshall . Some commentators have asked whether the newly emphasized limitations on...

National Conference of Bankruptcy Judges--10/14/11--Does the Bankruptcy World Need Another Talk on Stern v. Marshall?

Prof. Ralph Brubaker and Prof. Ken Klee spoke on "Not Again! Will Bankruptcy Courts Survive the Supreme Court's Second Look At Stern v. Marshall?" However, their panel could have been titled, "Does the Bankruptcy World Need Yet Another Talk on Stern v. Marshall?" Fortunately...

A Bankruptcy Court's Constitutional Ability to Enter Final Orders on Claims for Alleged Violation of Wisconsin Confidentiality Law

James M. Lawniczak considers, though the prism of a Seventh Circuit decision, the jurisdictional questions engendered by the Supreme Court's Stern v. Marshall decision. The Seventh Circuit ruled that a bankruptcy court does not have the constitutional power to enter final orders on claims that...

The Leif and Times of Judge Clark (Pt. Two)--The Consumer Opinions

Part Two of this post will focus on the consumer decisions of Judge Leif Clark. As a bankruptcy judge, Leif Clark dealt with the full parade of humanity. His opinions reveal a deep understanding of the human face of financial loss as well as the intricacies of the law. BAPCPA Like many judges...

Fifth Circuit Affirms Ruling That "The Loan Has Been Paid!!!;" Rejects Stern and Jurisdictional Defenses

The case of a creditor who did not want to acknowledge that its debt had really and truly been paid received little sympathy from the Fifth Circuit which rejected a panoply of defenses and affirmed the Bankruptcy Court ruling that "The Senior Loan Has Been PAID!!!" Fire Eagle, LLC v. Bischoff...

U.S. Supreme Court to Rule on Bankruptcy Judges’ Power in ‘Core’ Proceedings

WASHINGTON, D.C. - (Mealey's) The U.S. Supreme Court on June 24 granted certiorari in a case dealing with the questions of whether Article III of the U.S. Constitution permits the exercise of the judicial power of the United States by bankruptcy courts on the basis of litigant consent and whether...

Supreme Court to Consider Whether Stern Allows Waiver or Consent

The Supreme Court has set the stage to flesh out the practical impact of Stern v. Marshall [ an enhanced version of this opinion is available to lexis.com subscribers ]. On June 24, 2013, the Court granted the petition for cert filed by the defendant in a fraudulent conveyance suit brought by a trustee...

Whither the Bankruptcy Courts? Will They Wither? Supreme Court Again to Consider Constitutional Limits on Bankruptcy Court Jurisdiction

Two years ago in Stern v Marshall [ an enhanced version of this opinion is available to lexis.com subscribers ], the Supreme Court surprised many observers by placing constitutional limits on the jurisdiction of the United States Bankruptcy Courts. The Court, in limiting the ability of a bankruptcy court...

Fifth Circuit Nixes Consent in Stern Cases

A failed bid to reap a Beanie Baby bonanza, which resulted in a fifteen year legal odyssey for a chapter 13 debtor and his attorneys, will live on a while longer as a result of the Fifth Circuit’s recent interpretation of Stern v. Marshall . Unlike the adorable plush toys giving rise to the dispute...

Supreme Court Dodges Consent Issue in Bellingham But Signals No New Challenges to Bankruptcy Court Authority

In the follow-up to Stern v. Marshall , the Supreme Court concluded that it didn’t need to answer the primary questions addressed to it, leaving open (on the surface at least) the issue of whether parties can consent to final adjudication by a bankruptcy court in situations where the court could...

Supreme Court Decides Not to Destroy the Current Bankruptcy Court System

by Ben Feder The U.S. Supreme Court on June 9, in Executive Benefits Insurance Agency v. Arkinson [ an enhanced version of this opinion is available to lexis.com subscribers ], limited somewhat the ramifications of its landmark opinion two years ago in Stern v. Marshall [ enhanced version ]. The Court...

Supreme Court Prepares for Stern v. Marshall Round 3

When the Supreme Court struck down the Bankruptcy Reform Act's grant of authority to bankruptcy judges in 1982, it took it took them 29 years to return to the issue. This allowed bankruptcy law to develop and mature without constantly fretting about whether the whole system would collapse. However...

Still Trying to Close the Stern v. Marshall Can of Worms – The Supreme Court to Grapple Again With Thorny Questions of Bankruptcy Court Jurisdiction

by Ben Feder Three years ago, in Stern v. Marshall , a case that arose out of the endless litigation between Anna Nicole Smith and the son of her late husband, the Supreme Court stunned the commercial legal community by reopening what many had believed were long-settled questions regarding the...

Professor Kenneth N. Klee on the Supreme Court's Grant of Certiorari in Wellness

Excerpt: I. Introduction The Supreme Court granted certiorari in Wellness International Network, Ltd. v. Sharif , 727 F.3d 751 (7th Cir. 2013) [an enhanced version of this opinion is available to lexis.com subscribers] , cert. granted , 2014 U.S. LEXIS 4693 (July 1, 2014) (No. 13-935) (" Wellness...

Professor Kenneth N. Klee on the Supreme Court's Holding in Exec. Benefits Ins. Agency v. Arkison

Professor Kenneth Klee analyzes the Supreme Court holding in Executive Benefits Insurance Agency v. Arkison that while Article III of the Constitution prohibits a bankruptcy court from entering final judgment on a bankruptcy-related claim, the relevant statute nevertheless permits a bankruptcy court...

Fifth Circuit Provides Valuable Guidance on Bankruptcy Court Jurisdiction and Authority Post-Stern

Many cases deal with debtors who fraudulently convey away their assets before filing bankruptcy. But what about the situation where the debtor is the victim of a fraudulent conveyance rather than the perpetrator? In Galaz v. Galaz (In re Galaz) , No. 13-50781 (5th Cir. 8/25/14), which can be found here...

Wellness International Oral Argument: Supreme Court Justices Grapple With Implications of Narrowing Bankruptcy Court Powers

by Ben Feder There were nearly a million bankruptcy cases filed by individuals and businesses in 2014. It is safe to say that only the tiniest fraction of such debtors have any familiarity with the Supreme Court’s decision in Stern v. Marshall nearly four years ago [ an enhanced version of this...