Before dismissing an involuntary bankruptcy petition based solely on an inadequate number of petitioning creditors, the bankruptcy court must ensure that the debtor's creditors are given notice of...
Bankruptcy Court did not abuse its discretion in sua sponte dismissing a single creditor involuntary petition for cause, under 11 U.S.C. 707(a). Bankruptcy Court was being used as a collection...
Case No. 14-10458 (5th Cir. July 23, 2015) (not precedential)
Ruling:
AFFIRMED (in a 2-1 decision) the dismissal of a contested matter following the bankruptcy court's denial of a motion under section 303(i) for costs and fees, concluding that a contested matter is...
Judge(s):
Per Curiam (Dennis, Prado and Higginson), Dennis dissenting.
Wortley v. Chrispus Venture Capital, LLC (In re Global Energies, LLC), Case No. 13-11666 (11th Cir. Aug. 15, 2014) (unpublished) (per curiam).
Ruling:
The Eleventh Circuit held that the bankruptcy court abused its discretion and applied the incorrect legal standard in denying Joseph G. Wortley’s (“Wortley”) Rule 60(b)(2) motion to set aside...
Judge(s):
Fay, Circuit Judge, and Hodges and Huck, District Judges.
The Court of Appeals rejected debtors' objections that underlying settlement conceding involuntary bankruptcy was void under FRCP 60(b)(4) because requirements for involuntary bankruptcy under 11...
