Richard S. Schmidt, Trustee of the Garcia Grain Chapter 11 Trust v. FCCI Insurance Company

Summary

The United States District Court for the Southern District of Texas adopted a bankruptcy judge’s report and recommendation concerning FCCI Insurance Company’s motion to withdraw the reference. The court overruled FCCI’s objections, held that FCCI waived its jury-trial right and consented to entry of final judgment by the Bankruptcy Court, denied the motion to withdraw, and directed that the adversary proceeding proceed to a bench trial.

Holdings

1. When a party makes a specific written objection to a bankruptcy judge's findings of fact or conclusions of law, the district court must review the objected-to portions de novo and may accept, reject, or modify the recommendation.
2. FCCI's motion to withdraw the reference was denied, and the bankruptcy reference remained in place.
3. FCCI consented to entry of a final judgment by the Bankruptcy Court and waived its right to a jury trial; the Bankruptcy Court was therefore directed to conduct a bench trial.

Questions Presented

1. Whether the district court should withdraw the reference of the adversary proceeding from the Bankruptcy Court.
2. Whether FCCI consented to entry of a final judgment by the Bankruptcy Court.
3. Whether FCCI waived its right to a jury trial.

Disposition

other