- Citation:
- unreported
- Tag(s):
-
- Ruling:
- The BAP first found the appeal of the adversary proceeding was not moot even though the Debtor's main case had previously been dismissed. The BAP moreover found that whereas the completed foreclosure pending appeal mooted Debtor's declaratory relief cause of action, Debtor's FDCPA action remained, and so the appeal was likewise not moot. Considering whether the Bankruptcy Court abused its discretion in sua sponte dismissing the adversary proceeding and denying the motion for reconsideration, the BAP concluded the lower court had considered all the relevant factors, and so it did not abuse its discretion.
- Procedural context:
- After adversary proceeding was filed, Debtor's Chapter 13 main case was dismissed for failure to file schedules. Homeowners association nonetheless failed to timely answer the complaint in the adversary proceeding, and Debtor obtained a default judgment. Homeowners association sought to reopen default, and at a status conference on the adversary proceeding, Court sua sponte dismissed the case based on the lack of nexus to bankruptcy law and because the case was far from trial. The bankruptcy court also denied a motion for reconsideration. While the appeal was pending, homeowners association foreclosed on Debtor's house.
- Facts:
- Debtor Sitanggang filed an adversary proceeding against homeowners association, including FDCPA and declaratory relief claims, to avoid foreclosure of her home.
- Judge(s):
- Taylor, Pappas, Kirscher
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