9th Cir. B.A.P.;
16-1227

The Bankruptcy Appellate Panel affirmed a judgment. The court held that the expiration of a debtor's right to redeem tax-defaulted property did not divest it of equitable and legal interests in the property, which became part of its bankruptcy estate.

RW Meridian failed to make tax payments on real property it owned in Imperial County. On February 5, 2016, its right to redeem certain tax-defaulted property expired. On February 6, the county treasurer-tax collector scheduled a tax sale of the property. On February 8, Meridian filed a Chapter 7 bankruptcy petition. Despite being aware of the filing, the county went ahead with the scheduled auction on February 9. The county then moved for a comfort order, asserting that the automatic stay was not applicable to its postpetition acts because Meridian's right to redeem the property lapsed prior to its bankruptcy filing.