In re: Wade

Federal 7th Circuit Court
Civil Court
Appellate Procedure
Case Number: 
No. 18-2564
Decision Date: 
June 14, 2019
Federal District: 
N.D. Ill., E. Div.
Appeal dismissed

Ct. of Appeals dismissed debtor’s interlocutory appeal from Bankruptcy Ct. order that denied their motion for sanctions against law firm that had filed lien on their home during pendency of their Chapter 13 bankruptcy petition, where debtors alleged that filing of said lien violated automatic stay provisions of 11 USC section 362(a). Record showed that: (1) debtors had filed similar bankruptcy petition that they voluntarily dismissed two months prior to filing instant bankruptcy petition; and (2) Bankruptcy Ct. denied sanctions request, since, under 11 USC section 362(c)(3), automatic stay terminated 30 days after filing of instant bankruptcy petition, where debtors’ prior petition had been pending within preceding year. Moreover, although Bankruptcy Ct had granted debtors’ request to certify Bankruptcy Ct.'s order for direct appeal to Ct. of Appeals under 11 USC section 158(d)(2)(A), instant appeal required dismissal because debtors had failed to file petition for permission to appeal said order under Rule 8006(g) of Federal Rules of Bankruptcy Procedure, which was “mandatory” claim-processing rule that had to be enforced when invoked by instant creditor.