CourtAlert - Tip of the Week

Quiz of the Month & Bankruptcy Court Procedure

October 2, 2008

Subject: Quiz of the Month & Bankruptcy Court Procedure

The bankruptcy filing of Lehman Brothers, Washington Mutual and other corporations has generated the bankruptcy activity we have expected during this economy. Some of our clients who have never filed papers in bankruptcy court have recently contacted us and asked if we can do a basic refresher on filing an adversary procedure. Companies like Lehman and Washington Mutual will generate a large number of adversarial matters from their debtor cases. Please find below a general overview of what procedure you should be aware of.

Adversarial actions are commenced by filing electronically through the courts CM/ECF system. This procedure is similar to the New York State filing system for commencing a case (http://www.courts.state.ny.us/supctmanh/E-Filing.htm). As you commence the case electronically you will also create the courts docket sheet by adding party names along with any other information that's required. Please keep in mind that an attorney working on the case should be present at the time of opening the case. The ECF system will ask certain questions about the case which is similar to a district courts civil cover sheet. As you already know, it is the responsibility of the attorney to fill out that form. Please make sure they are present or have already supplied you with the information to answer the questions. Once the filing has taken place you should automatically receive a filing receipt for the payment rendered. If you were unable to make the payment at the time of filing an indication will appear on the docket as being not paid. The user should immediately send someone down to court to pay the fee. If the fee can't be paid that day you should contact the cashier’s office to explain why.

Once the fee has been paid and the judge has been assigned the court will issue the summons. Please make sure you do two things as soon as you commence the action. First, add e notification for everyone involved with the case. Second, check the docket sheet for the issued summons so you can effect service. Aside from issuing the summons the clerk will also schedule a pre-trial conference date which will appear on the summons. A filer seeking a second summons must docket the request using a docketing event called Request for a Second Summons. The purpose of this event is to provide the Clerk's Office with an efficient method to track and respond to any request for subsequent summonses. This event does not require a PDF file to be attached during the docketing. Please also remember that in order for the clerk to issue a summons in an involuntary case or Section 304 ancillary proceeding, the filer must still submit to the Clerk's Office a prepared summons via e-mail to msummonsnysb@nysb.uscourts.gov. Please find below the following forms to be used in three divisional offices for issuing a summons:

<<Manhattan_summons.pdf>> <<Poughkeepsie_summons.pdf>> <<White_Plains_summons.pdf>>

Once you have your issued summons please make sure you check the service requirements found under Rule 7004 of the Bankruptcy Rules (http://www.law.cornell.edu/rules/frbp/). We suggest you also look at the following rules before commencing the action in relation to an adversarial action:

        7003:   Commencement of Adversarial Proceedings

        7004:   Process

        7007.1  Corporate Ownership Statement

        7008:   General Rules of Pleadings

        7010:   Form of Pleadings

 

        General Order Authorizing Electronic Filing Procedures <<General Order for ECF.pdf>>

        Revised Electronic Filing Procedures (Revised 8/23/01) <<Revised ECF Rules.pdf>>

 

Coming soon to your CourtAlert web site; a new way to manage CourtAlert user profiles:

 

a. Allow the addition of user profiles for users in the firm that are not authorized to add cases to watch lists.

 

b. Allow for one administrator to add and remove case for multiple users’ watch lists. CourtAlert does not charge an additional fee if the same case is watched by more than one user in the firm. The new programs allow for a simple way to remove a case from all watch lists so unnecessary cost will not occur.

 

This announcement is an addition for upcoming features to the Business Development Alert and Tools, please be on the alert for these enhancements.

 

Enhancement to the Quiz of the Month: A Starbuck's gift card to anyone who answers quickly:

 

It is amazing to see how quickly and how many members of the CourtAlert community answer the quiz of the month. Typically the winner is only few minutes or even seconds ahead of the others. CourtAlert will now send a Starbuck’s gift card to anyone who sends the correct answers within a reasonable time after the winning answer is received and prior to the result is being posted on the web site.

 

Quiz of the Month

 

*As soon as we have received the correct answers we will post them on the Tip of The Week for that day. We will accept individual responses from other members of your staff or firm, but the winning submission can only come from one person and not a combination of answers from the same firm. Responses by e mail will only be accepted. Please email your answers to Support@CourtAlert.com or reply to this email.

 

Quiz Topic: Since today's topic is bankruptcy court let's focus our attention there.

 

1. What is the fee for filing an adversarial case? $250

 

2. In the event your check does not clear what is the bad check fee? $45

 

3. Can you serve a complaint by First Class Mail? If so, what rule allows you? Rule 7004(b)

We are committed to remain the best!

Thank You,

 

Izzy Schiller, President

CourtAlert

               

 

 

 

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