9th Cir. Published - Court determined that BK Court can award money damages in objection to discharge proceeding

The panel adopted the BAP’s opinion as its own. The BAP held that, even after Stern v. Marshall, 131 S.Ct. 2594 (2011), the bankruptcy court had the constitutional authority to enter a final judgment determining both the amount of the Fords’ damage claims against the debtor Shawn Deitz, and determining that those claims were excepted from discharge. The BAP also held that the bankruptcy court did not err in concluding that the debt owed by Deitz to the Fords was nondischargeable under 11 U.S.C. §§ 523(a)(2)(A), (a)(4), and (a)(6).


The panel noted that dischargeability actions are central to federal bankruptcy proceedings and are necessarily resolved during the process of allowing or disallowing claims against the state, and that the dischargeability determination therefore constitutes a public rights dispute that the bankruptcy courts may decide.








In re Deitz (9th Cir. 2014)

9th Cir. BAP - In re Blixseth - Denial of Motion to Abstain is Not a Final Order

The 9th Cir. BAP in an unpublished decision held that the denial of a motion to abstain is not a final order under 28 USC 1334(c) as it does not "end the litigation on the merits".  Accordingly, the Court did not have jurisdiction to entertain the appeal.  As such, the appeal was dismissed.

In re Blixseth - 8-28-13 - 9th Cir. BAP

The Refusal to Confirm a Reorganization Plan Create a Final Appealable Order? No - 6th Cir.

"Jurisdiction takes absolute priority over all merits questions in a case".  The parties to a Sixth  Circuit Appeal were hoping that the Court would determine if the absolute priority rule remains in full force for individual Chapter 11 cases.  However, the Court determined a different priority...jurisdiction. 

The Court joined the Ninth Circuit and three other circuits in determining that a party may appeal under 158(d)(1) because there is final decision confirming the plan or under 158(d)(2) because the court or parties successfully seek certification of a decision refusing to confirm a plan.

As this was not done, the Sixth Circuit determined that it did not have jurisdiction to hear the appeal.

In re Lindsey - 6th Circuit - 8-13-13