| ABI

December 10, 2024

A Magistrate Judge Refuses to Enforce an Order Staying Actions Against Nondebtors

A magistrate judge decided that a bankruptcy court’s order from another district halting suits against nondebtors was unenforceable because it was not an ‘injunction’ made under Section 105(a).

Lorem ipsum dolor sit amet consectetur, adipisicing elit. Soluta dolorem consequuntur corporis pariatur rem aliquam similique animi fugiat iure explicabo eius omnis minima labore natus, repellat aut odio fuga vero. Lorem ipsum dolor sit amet consectetur, adipisicing elit. Soluta dolorem consequuntur corporis pariatur rem aliquam similique animi fugiat iure explicabo eius omnis minima labore natus, repellat aut odio fuga vero.

Lorem ipsum dolor sit amet consectetur, adipisicing elit. Soluta dolorem consequuntur corporis pariatur remaliquam similique animi fugiat iure explicabo eius omnis minima labore natus, repellat aut odio fuga vero. Lorem ipsum dolor sit amet consectetur, adipisicing elit. Soluta dolorem consequuntur corporis pariatur remaliquam similique animi fugiat iure explicabo eius omnis minima labore natus, repellat aut odio fuga vero.

ABI MEMBERS ONLY

ABI Membership is required to access the full summary. Please Sign in using your ABI Member credentials.

Not a Member yet? Try Us Out!

Sign up to receive Rochelle's Daily Wire and try out our membership for 30 days. When you do — you'll see why our members "Think ABI First."

Learn More

Opinion Link

View Opinion

https://abi-opinions.s3.us-east-1.amazonaws.com/Levitan.pdf

Case Details

Case Citation

Levitan v. Maclean, 23-12439 (E.D. Mich. Dec. 4, 2024)

Case Name

Levitan v. Maclean

Case Type

Business

Court

6th Circuit

Michigan

Michigan Eastern District

Bankruptcy Tags

Automatic Stay

Practice and Procedure

Business Reorganization

Comments

Submitted by Douglas Tabachnik on December 10, 2024

This is simply negligence in preparation and drafting of the proposed order. As I was reading this and before I even got to the punchline referencing 105(a), I was thinking the same thing. Beyond that, I can't fault the court for searching for factors that would support the order, such as findings of fact and conclusions of law that would support the order. The bankruptcy judge should have similarly found these failings of the proposed order before signing it. This looks like a fairly common example of, and learning lesson for the typical measures that a bankruptcy lawyer needs to consider when taking a bankruptcy matter before a non-bankruptcy judge.

Submitted by Robin Phelan on December 10, 2024

The magistrate was saying that the order was void.