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Official Comm. of Unsecured Creditors of Schlotzskys Inc. v. Grant Thornton LLP (In re Schlotzskys Inc.)

Official Comm. of Unsecured Creditors of Schlotzskys Inc. v. Grant Thornton LLP (In re Schlotzskys Inc.)

Ruling
Bankruptcy court declined to abstain from hearing state law aspects of preference proceeding.
Procedural posture

Defendant accounting firm moved to abstain pursuant to 28 U.S.C. § 1334(c)(2) or in the alternative to dismiss for failure to state a claim pursuant to Fed. R. Civ. P. 12(b)(6) and Fed. R. Bankr. P. 7012 in a preference action brought by the creditors'committee for chapter 11 debtor, which asserted claims of negligence, breach of contract, aiding and abetting breaches of fiduciary duties, negligent misrepresentation, and gross negligence.

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opinion summary, case decided on August 30, 2006 , LexisNexis #1106-035