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Tammy Cook, Dean Kohn, Frank Lunn IV, and Francis Rathbun

Case Nos. 23-70218, 23-70219, 23-70220, 23-90136

Motions for stay of related adversary proceedings pending appeals in bankruptcy cases granted in part. Movant appealed denial of stay relief to prosecute state court causes of action in California and asked for stay of adversary proceedings to determine dischargeability of potential liability in California case pending its appeals. The movant failed to meet its burden of showing likelihood of success on appeal, but, in the absence of objection from the debtors, the adversary proceedings were stayed for purposes of trial. The Court declined to stay discovery pending the appeals. Separately filed motions for permissive abstention that sought the same substantive relief as the motions for stay pending appeal were denied as moot.

 

Date: 
Monday, May 12, 2025