Case Summary:
The Debtor sued her insurance company in state court seeking payment for damage to her house under a homeowners insurance policy. Eighteen months after the state court action commenced, the Debtor filed her bankruptcy petition. Four months later, she sought to remove the case to the Bankruptcy Court. The insurance company filed a motion for abstention or remand. After analyzing the impact of removal and remand on the state court action and the bankruptcy case in light of a fourteen-item list of factors, the Bankruptcy Court concluded that "permissive" abstention was appropriate under 28 U.S.C. § 1334(c)(1).
Statute/Rule References:
28 U.S.C. § 1334 -- Abstention
Key Terms:
Abstention
File:
Date:
Thursday, June 6, 2013