317 A.3d 342
D.C.2024Background
- Luna Bell Porter filed a medical malpractice suit against Howard University after undergoing surgery in 2015.
- Porter filed for Chapter 7 bankruptcy but did not initially disclose her malpractice claim as an asset.
- After bankruptcy discharge, Howard University moved for summary judgment, arguing Porter lacked standing and should be judicially estopped due to nondisclosure of the claim.
- Porter subsequently reopened her bankruptcy case, disclosed the malpractice claim, and a trustee was appointed who sought to be substituted as the real party in interest.
- The trial court granted summary judgment for Howard University and denied the trustee's substitution, finding judicial estoppel applied.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether summary judgment was proper before ruling on trustee’s substitution | Trustee should be allowed to substitute in as real party in interest | Porter’s failure to disclose bars the suit and renders her not the real party in interest | Trial court erred by not considering trustee's motion; trustee should have been allowed to substitute as plaintiff |
| Applicability of judicial estoppel to the trustee | Judicial estoppel should not bar trustee’s claim | Failure to disclose and benefit from bankruptcy warrants estoppel | Judicial estoppel normally does not bar an innocent bankruptcy trustee from pursuing claims for the benefit of creditors |
| Timeliness of trustee’s motion to substitute | Trustee acted promptly upon appointment | Motion may have been untimely; should be remanded | Trustee’s motion to substitute was timely, given the circumstances and quick action after appointment |
| Standing/real party in interest post-bankruptcy | Trustee (not debtor) is the correct party after discharge | Porter lacked standing once bankruptcy was filed | Only trustee has standing to pursue the claim; Porter dismissed, trustee substituted |
Key Cases Cited
- New Hampshire v. Maine, 532 U.S. 742 (2001) (sets out judicial estoppel elements)
- Dennis v. Jackson, 258 A.3d 860 (D.C. 2021) (judicial estoppel in failure-to-disclose-claim context)
- Atkins v. 4940 Wisconsin, LLC, 93 A.3d 1286 (D.C. 2014) (real party in interest and trustee’s standing in bankruptcy)
- Ford v. Chartone, Inc., 908 A.2d 72 (D.C. 2006) (standard for reviewing abuse of discretion)