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§ 1334(c)

Rydell v. Astorino (In re Baron Capital Props. L.P.)

Ruling
Motion for abstention was denied since case could not be timely adjudicated in state court.
Procedural posture

Plaintiff bankruptcy trustee sued defendants, a former employee of bankruptcy debtors and a limited liability company, alleging business tort claims in state court. Defendants removed the action to the bankruptcy court which was adjudicating the debtors'bankruptcy, and the trustee moved for the bankruptcy court to abstain from hearing the matter.

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opinion summary, case decided on May 05, 2006 , LexisNexis #0706-069

Nickless v. Aaronson (In re Katz)

Ruling
Court abstained on ruling on trustee's efforts to obtain a winding up and accounting of a partnership in favor of a state court action.
Procedural posture

Plaintiff bankruptcy trustee brought an adversary proceeding against defendant partners in a partnership in which the debtor was also a partner, seeking a wind up of the partnership and a sale of partnership assets. The partners moved to dismiss the complaint for lack of subject matter jurisdiction.

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opinion summary, case decided on May 01, 2006 , LexisNexis #0606-067

Culley Septic Serv. V. Culley Excavation & Septic Serv. (In re Culley)

Ruling
Court abstained from adjucating the matter and granted motion to remand the case to state court since the case involved intrastate commerce matters only.
Procedural posture

Plaintiff filed an action in state court against defendant company that was a "doing business as" of the debtor. The debtor removed the lawsuit to the court. The court granted plaintiff's emergency motion for a remand, and then granted the debtor's motion for reconsideration. Upon reconsideration, the court issued findings of fact and conclusions of law.

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opinion summary, case decided on March 31, 2006 , LexisNexis #0506-066

Gregory v. Lyman (In re Gregory Rock House Ranch LLC)

Ruling
Remand was proper since elements of mandatory abstention were met.
Procedural posture

Plaintiff family members and their chapter 11 debtor ranch removed an action pending before the Fifth Judicial District Court, State of New Mexico, County of Dona Ana, against defendant alleged water rights converters and defendant state engineer. The alleged converters filed a motion to remand under 28 U.S.C. § 1452(b).

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opinion summary, case decided on March 15, 2006 , LexisNexis #0706-070

In re Thermoview Indus.

Ruling
Court abstained from hearing the proceeding since state law issues predominated over bankruptcy issues and the administration of the estate was nearly complete.
Procedural posture

Plaintiff, a guarantor on a loan made to defendant debtor, filed suit in state court seeking reimbursement and/or indemnity from the debtor. The debtor removed the action to the bankruptcy court. The guarantor moved for remand to state court.

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opinion summary, case decided on March 14, 2006 , LexisNexis #0406-031

D.E. Frey Group Inc. v. FAS Holdings Inc. (In re D.E. Frey Group Inc.)

Ruling
Claimant's motion for dismissal or abstension was denied since the claimant's filing of a proof of claim and the obvious efficiencies of having the court adjudicate the debtor's related counterclaims weighed heavily against the court exercising its discre
Procedural posture

Plaintiff debtor filed an adversary proceeding against defendant claimant, a party which filed a proof of claim. Debtor asserted eight claims for relief — breach of agreement, breach of implied covenants, interference with prospective economic advantage, fraud, breach of fiduciary duty, conversion, turnover, and determination of validity, priority and extent of liens. Pending was the claimant's motion to dismiss or abstain.

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opinion summary, case decided on February 01, 2006 , LexisNexis #0306-068

Osting v. Blockberger (In re Osting)

Ruling
Court abstained from hearing the debtor's transfer avoidance action since the action was directed at undoing the domestic relations court's decision for the ex-spouse.
Procedural posture

Plaintiff debtor commenced an adversary proceeding seeking to avoid, as a preferential transfer under 11 U.S.C. § 547 and as a fraudulent transfer under 11 U.S.C. § 548, a judgment lien and subsequent transfer of property accomplished for the benefit of defendants, his ex-spouse, et al. The cause was before the court on the motion of his ex-spouse to dismiss the complaint.

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opinion summary, case decided on November 07, 2005 , LexisNexis #0206-084