California Court Explains the Consequences of Failing to Comply With the Rules of Bankruptcy Procedure
A party in a bankruptcy matter has the right to file an appeal if they believe the court’s order demonstrates an error in judgment. It is critical for a party seeking an appeal to comply with the proper procedure, though otherwise, their arguments may be disregarded regardless of whether they have merit. This was demonstrated in a recent opinion issued by a California court, in a matter in which the court affirmed the dismissal of the debtor’s bankruptcy case, in part, due to his failure to abide by the procedural rules. If you are interested in seeking debt relief via bankruptcy, it is smart to meet with a seasoned California bankruptcy lawyer to discuss your rights.
The History of the Case
It is reported that the debtor filed a voluntary petition for Chapter 13 bankruptcy in January 2019. A Chapter 13 trustee was appointed in his case, and two financial institutions were named as creditors. Two years later, the trustee filed a motion to dismiss the debtor’s bankruptcy case. The creditors filed a joint reply, and the debtor filed a response in opposition to the motion. Prior to the hearing on the matter, the court issued a tentative ruling granting the motion and advising the parties that their appearances were required at the hearing. Allegedly, however, the debtor failed to appear. The court granted the motion, dismissing the debtor’s case. The debtor then appealed.
Consequences of Failing to Comply with the Rules of Bankruptcy Procedure
On appeal, the court affirmed the bankruptcy court ruling due to the debtor’s failure to provide an adequate record. The court explained that the Federal Rules of Bankruptcy Procedure (Bankruptcy Rules) dictate the procedure parties must follow on appeal from an order, decree, or judgment of a bankruptcy court or in a United States district court. Continue reading