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753 F.3d 954
9th Cir.
2014
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Background

  • Burton was injured in a bicycle–automobile collision and retained Koch to file suit; liens were placed on Burton’s claim by Valley Hospital, which Infinity later acquired the right to collect from Burton’s settlement.
  • Koch settled Burton’s claim for $185,000; settlement funds were placed in Koch’s client trust and Koch paid himself fees and costs.
  • Bankruptcy proceedings were initiated; Infinity urged interpleader in state court, and Burton and Koch were not named as parties.
  • Judge Israel held a status hearing; Gugino appeared for Infinity; the court questioned why funds were not fully interpled and considered a potential order to show cause.
  • Gugino prepared a proposed order to show cause at the court’s direction; Koch objected on the basis of the automatic stay under 11 U.S.C. § 362.
  • Judge Israel directed the preparation of an order; the draft was never filed and communications followed, culminating in Koch submitting a federal complaint alleging violations of the automatic stay.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether drafting an order for a judge grants absolute quasi-judicial immunity Koch argues Gugino acted within judicial function and should have immunity. Gugino argues immunity should not attach because the drafting was not a discretionary judicial act, even if at a judge’s direction. No; Gugino is not entitled to absolute quasi-judicial immunity.

Key Cases Cited

  • In re Castillo, 297 F.3d 940 (9th Cir. 2002) (immunity extends to nonjudicial officers when performing judicial-function-like discretionary duties)
  • Antoine v. Byers & Anderson, Inc., 508 U.S. 429 (Supreme Court 1993) (discretionary judgment required for immunity; not all judicial-related acts are protected)
  • Mullis v. United States Bankruptcy Court for Dist. of Nev., 828 F.2d 1385 (9th Cir. 1987) (immunity for court officials acting under judicial direction where appropriate)
  • Ferri v. Ackerman, 444 U.S. 193 (Supreme Court 1979) (attorneys acting as prosecutors or court officers are treated with special immunity limits)
  • Moore v. Brewster, 96 F.3d 1240 (9th Cir. 1996) (law clerks can have immunity for duties intimately connected to judicial function)
  • Kincaid v. Vail, 969 F.2d 594 (7th Cir. 1992) (officials acting at the behest of a judge may receive absolute immunity)
  • Kalina v. Fletcher, 522 U.S. 118 (Supreme Court 1997) (focus on protecting the proper functioning of the judiciary, not the individual)
  • Burns v. Reed, 500 U.S. 478 (Supreme Court 1991) (immunity extends to individuals when acting in judicial capacity to protect process)
  • Forrester v. White, 484 U.S. 219 (Supreme Court 1988) (immunity limited to discretionary acts in judicial context)
  • Castillo v. Castillo, 297 F.3d 940 (9th Cir. 2002) (functional approach to immunity: focus on function, not label)
Read the full case

Case Details

Case Name: Freddy Burton v. Infinity Capital Management
Court Name: Court of Appeals for the Ninth Circuit
Date Published: Jun 4, 2014
Citations: 753 F.3d 954; 2017 U.S. App. LEXIS 12309; 2017 WL 2960021; 862 F.3d 740; 64 Bankr. Ct. Dec. (CRR) 93; 12-15618
Docket Number: 12-15618
Court Abbreviation: 9th Cir.
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    Freddy Burton v. Infinity Capital Management, 753 F.3d 954