Chapter 7 Debtor Lacks Standing to File Suit Because She was not a party in interest (6th Cir. Unpublished)

As a Chapter 7 Bankruptcy Trustee I have always believed that a Debtor does not have standing to file suit to challenge a proof of claim (unless a successful prosecution would bring enough assets into the estate so that there would be a distribution to the Debtor).  I have seen numerous cases filed in Las Vegas by the Debtor but have never seen a successful challenge by a creditor in getting the case dismissed (or quite frankly the issue has never been raised).  However, in an unpublished decision in the 6th Circuit, the Court was faced with this particular issue and determined that the Debtor did not have standing to file suit and dismissed the case.  Although the case is unpublished it certainly provides creditors and debtors with the arguments which could make or break their case (as it applies to standing).

In re Khan 13a0941n-06 6th Circuit Unpublished