486 B.R. 574
1st Cir. BAP2013Background
- In January 2012, Rivera filed a third Chapter 13 petition in Puerto Rico, after two prior dismissals for failure to pay child support.
- ASUME filed a proof of claim for $46,155 as a domestic support obligation and opposed confirmation due to post-petition DSO payments.
- The trustee required tardy tax returns, amended schedules, and post-petition payments; Rivera did not comply, leading to a motion to dismiss.
- The bankruptcy court dismissed the case with an 18-month bar to refiling based on Rivera's conduct and lack of post-petition diligence; Rivera did not appeal.
- Rivera sought Rule 60(b)(1) and (6) relief after the deadline; ASUME opposed, citing poor payment history and lack of good faith.
- The court denied Rule 60(b) relief without a hearing; Rivera appealed the denial, while ASUME supported both orders.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the appeal is jurisdictionally proper. | Rivera; timeliness of appeal from dismissal. | ASUME; jurisdiction to review only denial of Rule 60(b) relief. | We lack jurisdiction to review the dismissal order. |
| Standard of review for Rule 60(b) motions. | Rivera argues abuse of discretion in denial. | ASUME contends applicable abuse standard; deference to bankruptcy court. | Denial reviewed for abuse of discretion. |
| Whether Rivera showed excusable neglect under Rule 60(b)(1). | Rivera asserts excusable neglect due to minor delays and misunderstanding. | ASUME argues delays were not excusable and showed lack of good faith. | No excusable neglect; no basis for relief. |
| Whether Rule 60(b)(6) relief was warranted. | Rivera contends extraordinary circumstances exist. | ASUME asserts no extraordinary circumstances and fault on Rivera. | No extraordinary circumstances; relief denied. |
Key Cases Cited
- Graphic Commc’ns Int’l Union v. Quebecor Printing Providence, Inc., 270 F.3d 1 (1st Cir. 2001) (factors for excusable neglect include prejudice, delay, and good faith)
- EnvisaNet Computer Servs., Inc. v. ECS Funding LLC, 288 B.R. 163 (D. Me. 2002) (delay reason and control of movant matter to excusable neglect)
- Karak v. Bursaw Oil Corp., 288 F.3d 15 (1st Cir. 2002) (extraordinary nature of Rule 60(b) relief; sparing use)
- In re Garcia Matos, 478 B.R. 506 (1st Cir. BAP 2012) (abuse of discretion standard in Rule 60(b) context)
- In re Vazquez, 471 B.R. 752 (1st Cir. BAP 2012) (finality and timing considerations in appellate review)
- Aguiar v. Interbay Funding, LLC (In re Aguiar), 311 B.R. 129 (1st Cir. AP 2004) (jurisdictional aspects of final orders and notices of appeal)
