This column is a follow-up to my last one for the NLJ relating to the Stern v. Marshall case, which was under consideration by the U.S. Supreme Court at the time, oral argument having been heard on Jan. 18. Of primary importance for bankruptcy practitioners is whether a bankruptcy court had the statutory and constitutional authority to render a final decision on a compulsory counterclaim brought by a bankrupt debtor against a creditor that filed a proof of claim in the bankruptcy case.
Controversy relating to the jurisdiction of the federal bankruptcy courts is nothing new. However, Stern v. Marshall added a new level of intrigue — bankruptcy court power and the saga of Anna Nicole Smith (a/k/a Vickie Lynn Marshall) all in one important Supreme Court case. 79 U.S.L.W. 4564.
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