Martell v. Wellpath LLC

United States District Court, District of Nevada · February 11, 2025 · No. 2:24-cv-00159-GMN-MDC

Summary

This District Court order denies the plaintiff's motion for relief from an automatic bankruptcy stay. The court explains that under 11 U.S.C. § 362 and relevant circuit precedent, bankruptcy courts hold exclusive authority over requests to lift automatic stays. Consequently, the district court lacks jurisdiction to grant such relief and directs all future motions to be filed in bankruptcy court.

Court
United States District Court, District of Nevada
Writing for the Court
Gloria M. Navarro
Jurisdiction
United States District Court, District of Nevada
Decision date
February 11, 2025
Docket number
2:24-cv-00159-GMN-MDC
Procedural posture
Plaintiff filed a motion for relief from the automatic bankruptcy stay; defendants filed a response; the district court denied the motion.
Precedential value
unpublished
Disposition
other

Topics

automatic staybankruptcy

Practice areas

bankruptcy

Questions Presented

  1. Whether the United States District Court for the District of Nevada has authority to grant relief from an automatic bankruptcy stay.

Holdings

  1. The district court lacks authority to grant relief from an automatic bankruptcy stay; such relief must be sought in the bankruptcy court.

Key quotations

This Court does not have the authority to grant relief from the automatic bankruptcy stay. (at 1)
Based on the legislative history and policy considerations behind 11 U.S.C. § 362, the bankruptcy court has exclusive authority to grant relief from an automatic bankruptcy stay. (at 1)

Factual background

Plaintiff Leandre Martell sought relief from the automatic bankruptcy stay affecting his civil rights claim. Defendants, including Wellpath LLC, opposed the motion. The district court considered whether it possessed authority to grant such relief.

Procedural history

Plaintiff Leandre Martell filed a Motion Requesting Relief from Automatic Stay (ECF No. 20). Defendants Kyle Martineau, Ralph Aquino, and Wellpath LLC filed a response (ECF No. 24) joined by Maria L. Skelton (ECF No. 26). The district court issued an order denying the motion.

Court Document

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