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420 F. App'x 194
3d Cir.
2011
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Background

  • Fleurantin obtained a discharge under Chapter 7 in 2000; in 2006 he filed a Chapter 13 petition to delay foreclosure on his Brooklyn commercial property.
  • Creditors asserting debt exceeded Chapter 13 eligibility moved to dismiss under 11 U.S.C. § 109(e); Fleurantin conceded ineligibility but sought conversion to Chapter 11.
  • Bankruptcy Court converted the case to Chapter 7 on February 20, 2007 and appointed a Chapter 7 trustee; Fleurantin did not appeal the conversion order.
  • Trustee administered the estate, recovering about $380,000 through asset liquidation, including Fleurantin’s property; Fleurantin interfered with administration and filed motions.
  • Fleurantin moved to unconditionally dismiss; trustee cross-moved to dismiss with conditions; Bankruptcy Court dismissed with prejudice on December 1, 2008 and approved $252,433.57 in fees on December 29, 2008.
  • Fleurantin appealed the December 1 and 29 orders; district court denied a motion to vacate the February 20, 2007 order, which this court affirms.
  • Fleurantin asserts ineffective assistance of counsel; the court notes such claims do not provide relief from civil orders.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether the February 20, 2007 conversion order was reviewable on appeal. Fleurantin contends the conversion order should be reviewable. The district court lacked jurisdiction due to untimely appeal under Rule 8002. District court lacked jurisdiction to review the conversion order.
Whether the district court properly reviewed the November-December 2008 dismissal and fee orders. Fleurantin challenges the conditional dismissal and fee awards. Trustee's structured dismissal with conditions was permissible; fees awarded were within court discretion. Bankruptcy Court did not abuse discretion; dismissal with conditions and fee awards affirmed.
Whether Fleurantin is entitled relief due to ineffective assistance of counsel. Ineffective assistance warrants relief from orders. Ineffective assistance claims do not provide relief from civil orders. No relief based on ineffective assistance of counsel; claims rejected.

Key Cases Cited

  • In re Rosson, 545 F.3d 764 (9th Cir. 2008) (bankruptcy order converting to Chapter 7 is final and appealable)
  • In re Christian, 804 F.2d 46 (3d Cir. 1986) (immediate appealability of denial of dismissal of Chapter 7 petition under practical finality)
  • Shareholders v. Sound Radio, Inc., 109 F.3d 873 (3d Cir. 1997) (timeliness governs appellate review of orders)
  • In re Myers, 491 F.3d 120 (3d Cir. 2007) (standard of review for bankruptcy decisions and fee awards)
  • In re Engel, 124 F.3d 567 (3d Cir. 1997) (review of fee awards in bankruptcy)
  • In re Kaiser Aluminum Corp., 456 F.3d 328 (3d Cir. 2006) (bankruptcy courts’ broad authority to prevent injustice)
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Case Details

Case Name: Ruben Fleurantin v.
Court Name: Court of Appeals for the Third Circuit
Date Published: Mar 28, 2011
Citations: 420 F. App'x 194; 09-4376
Docket Number: 09-4376
Court Abbreviation: 3d Cir.
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    Ruben Fleurantin v., 420 F. App'x 194