Bankruptcy Adversary Proceedings

The Bankruptcy Law Firm, PC is experienced in representing plaintiffs in bringing and litigating adversary proceedings in bankruptcy cases, through summary judgment, through trial, or if appropriate, through settlement. This includes that The Bankruptcy Law Firm, PC is experienced regarding nondischargeability adversary proceedings (11 USC § 523), and denial of discharge adversary proceedings (11 USC § 727).

The Bankruptcy Law Firm, PC is equally experienced in defending defendants, who are sued in adversary proceedings filed by adversary proceeding plaintiffs, through summary judgment, trial, and, if appropriate, through settlement. This includes Law Firm is experienced regarding defending nondischargeability adversary proceedings (11 USC § 523), and denial of discharge adversary proceedings (11 USC § 727). Law Firm can also be hired to defend preference adversary proceedings and fraudulent transfer adversary proceedings.

Don’t be confused by the rather strange name “adversary proceedings”. “Adversary proceedings” is just the name that the Bankruptcy Code, and Federal Rules of Bankruptcy Procedure (“FRBP”) give to lawsuits that are filed within bankruptcy cases. It would have been a more accurate name to call these lawsuits “lawsuits filed in bankruptcy cases”, instead of calling such lawsuits “adversary proceedings”.

Adversary proceedings in bankruptcy cases are very similar to lawsuits brought in state courts, or brought in U.S. District Courts, in that adversary proceedings are started by the plaintiff in the adversary proceeding filing an adversary proceeding Complaint, and then requesting the Bankruptcy Court Clerk’s Office to issue a Summons on the Complaint. Then the plaintiff serves the Summons and Complaint on the defendant in the adversary proceeding. Service of a bankruptcy adversary proceeding can be done by U.S. First Class mail, mailed to the correct address of the defendant(s). No need to send a process server to serve the defendant, in person, with the summons and complaint. After the Summons and Complaint are served, the adversary proceeding defendant must file and serve a timely Answer to the adversary proceeding, or “other timely Response.” The “other timely Response,” other than an Answer, would be for the Defendant to file and serve a FRCP Rule 12(b)(6) Motion to dismiss the adversary proceeding for various, but limited, reasons stated in FRCP rule 12(b)(6). In adversary proceedings, FRCP Rule 12(b)(6) is FRBP Rule 7012.

After the defendant files an Answer, then each side can take discovery from the other side (Interrogatories, Requests to Produce Documents, Requests for Admissions, Depositions, etc).

There are usually status conferences with the Court, then a pretrial conference with a pretrial conference order almost always being required.

Both sides can bring motions, including motions for summary adjudication and/or motions for summary judgment. The party opposing the Motion files an Opposition. The party bringing the Motion files a Reply. Then the Bankruptcy Court holds a hearing and rules on the Motion.

If the adversary proceeding is not resolved by a Motion, or by settlement, eventually there will be a trial, with live witnesses, presided over by the Bankruptcy Judge, who hears the witnesses, reads the exhibits, and then rules, to decide the adversary proceeding. Los Angeles Bankruptcy Attorney Kathleen P. March, Esq., former U.S. Bankruptcy Judge, presided over many adversary proceeding trials as a bankruptcy Judge. March has extensive experience trying lawsuits, including 4 years trying cases in U.S. District Court, as an assistant U.S. Attorney.

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