RHITA BERCY V. CITY OF PHOENIX, ET AL
- Summarized by Laura Coordes , Arizona State University, Sandra Day O'Connor College of Law
- 1 year 9 months ago
- Case Type:
- Consumer
- Case Status:
- Affirmed
- Citation:
- 22-16463 (9th Circuit, May 30,2024) Published
- Tag(s):
-
- Ruling:
- District court's grant of summary judgment to the City of Phoenix affirmed. Debtor-plaintiff's claim against the City could have been brought at the time of her bankruptcy petition, and any subsequent damages were sufficiently rooted in prebankruptcy incidents. Thus, the entire claim belongs to the bankruptcy estate, and only the bankruptcy trustee had standing to sue on the claim.
- Procedural context:
- Appeal from the U.S. District Court for the District of Arizona, which granted summary judgment for the City of Phoenix on the grounds that the debtor lacked standing to pursue her claim against the City. Reviewed de novo.
- Facts:
- Debtor experienced harassment from a coworker while working for the City of Phoenix's Housing Department. Debtor subsequently filed for chapter 7 bankruptcy, answering "no" on her petition as to whether she had claims against third parties, including employment disputes or rights to sue. After receiving a discharge, debtor sued the City, alleging a hostile work environment that began before she had filed for bankruptcy. After the City learned of debtor's bankruptcy filing, it moved for summary judgment on the grounds that debtor's claim belonged to the bankruptcy estate. The bankruptcy trustee subsequently moved to reopen the bankruptcy case and agreed to settle the debtor's claim against the City, contingent on the district court dismissing debtor's suit against the City with prejudice.
- Judge(s):
- Berzon, Hurwitz, Johnstone
ABI Membership is required to access the full summary. Please Sign In using your ABI Member credentials. Not a Member yet? Join ABI now - it is absolutely worth it!
