ILNews

7th Circuit finds remand to be unreviewable

Back to TopCommentsE-mailPrintBookmark and Share

The 7th Circuit Court of Appeals looked at the issues of removal and remand in the context of bankruptcy in a case July 21 and found the bankruptcy court’s decision to remand a case to state court is unreviewable.  

In the 19-page decision authored by Judge Richard Posner, the federal appellate court looked at Judicial Code (Title 28) sections 1446(a) and 1447, and federal cases, which included Carlsbad Technology Inc. v. HIF Bio Inc., 129 S. Ct. 1862 (2009), to determine whether a company could appeal a bankruptcy judge’s order that an action originally filed in state court and removed to bankruptcy court should be sent back to the state court.

Alan Brill owned several radio stations that eventually went into Chapter 11 bankruptcy. The successful bidder on those at auction was Regent Communications, now known as Townsquare Media, who had at one point discussed with Brill the possibility of buying the media companies prior to bankruptcy. Brill filed suit in state court claiming the creditors of the debtors and some of the debtors’ lawyers and other professional advisors misused confidential information and encouraged Regent to violate two confidentiality agreements it had previously made with Brill. All his claims were based on Indiana law.

The case was moved to bankruptcy court after pre-bankruptcy creditors named as defendants asked the bankruptcy judge to take the case to enforce compliance with a previous order. The bankruptcy court took the case, but Brill later amended the case to only include Regent as a defendant in the alleged violations of the confidentiality agreement claims.

The bankruptcy judge ruled the amended complaint was unrelated to the bankruptcy, so the court had no jurisdiction over it. The judge ordered the suit remanded to the state court, which Regent appealed. The District Court affirmed, saying once the bankruptcy court found it had no jurisdiction, no action could be taken but to remand the case.

“The word ‘jurisdiction’ is a chameleon, judges do not always use it with precision, and the distinction between relinquishing and disavowing jurisdiction is a fine one. Had Regent argued supplemental jurisdiction to the bankruptcy judge, we might interpret what the judge did as relinquishment rather than disavowal,” wrote Judge Posner in Townsquare Media Inc., f/k/a Regent Communications Inc. v. Alan R. Brill, et al., Nos. 10-3017, 10-3018.

“But as no one mentioned supplemental jurisdiction, it hardly seems likely that the judge, in holding that he lacked jurisdiction, meant that he had jurisdiction but was relinquishing it. Such a characterization of his ruling would not be ‘colorable.’ So the remand was indeed unreviewable, and Regent’s appeal must therefore be – we conclude at long last – dismissed.”

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Not enough copperheads here to care anymore, is my guess. Otherwise, a totally pointless gesture. ... Oh wait: was this done because somebody want to avoid bad press - or was it that some weak kneed officials cravenly fear "protest" violence by "urban youths.."

  2. Should be beat this rap, I would not recommend lion hunting in Zimbabwe to celebrate.

  3. No second amendment, pro life, pro traditional marriage, reagan or trump tshirts will be sold either. And you cannot draw Mohammed even in your own notebook. And you must wear a helmet at all times while at the fair. And no lawyer jokes can be told except in the designated protest area. And next year no crucifixes, since they are uber offensive to all but Catholics. Have a nice bland day here in the Lego movie. Remember ... Everything is awesome comrades.

  4. Thank you for this post . I just bought a LG External DVD It came with Cyber pwr 2 go . It would not play on Lenovo Idea pad w/8.1 . Your recommended free VLC worked great .

  5. All these sites putting up all the crap they do making Brent Look like A Monster like he's not a good person . First off th fight actually started not because of Brent but because of one of his friends then when the fight popped off his friend ran like a coward which left Brent to fend for himself .It IS NOT a crime to defend yourself 3 of them and 1 of him . just so happened he was a better fighter. I'm Brent s wife so I know him personally and up close . He's a very caring kind loving man . He's not abusive in any way . He is a loving father and really shouldn't be where he is not for self defense . Now because of one of his stupid friends trying to show off and turning out to be nothing but a coward and leaving Brent to be jumped by 3 men not only is Brent suffering but Me his wife , his kids abd step kidshis mom and brother his family is left to live without him abd suffering in more ways then one . that man was and still is my smile ....he's the one real thing I've ever had in my life .....f@#@ You Lafayette court system . Learn to do your jobs right he maybe should have gotten that year for misdemeanor battery but that s it . not one person can stand to me and tell me if u we're in a fight facing 3 men and u just by yourself u wouldn't fight back that you wouldn't do everything u could to walk away to ur family ur kids That's what Brent is guilty of trying to defend himself against 3 men he wanted to go home tohisfamily worse then they did he just happened to be a better fighter and he got the best of th others . what would you do ? Stand there lay there and be stomped and beaten or would u give it everything u got and fight back ? I'd of done the same only I'm so smallid of probably shot or stabbed or picked up something to use as a weapon . if it was me or them I'd do everything I could to make sure I was going to live that I would make it hone to see my kids and husband . I Love You Brent Anthony Forever & Always .....Soul 1 baby

ADVERTISEMENT