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Bullard filed a Chapter 13 bankruptcy petition. The next week he filed a proposed repayment plan. Blue Hills Bank, the holder of a mortgage on a property owned by Bullard, objected to the plan. The bankruptcy court denied confirmation of the plan, and Bullard was ordered to submit a new plan within 30 days. Bullard appealed. The Bankruptcy Appellate Panel exercised discretion to hear the appeal as an interlocutory appeal, and affirmed. The First Circuit Court of Appeals dismissed Bullard’s appeal for lack of jurisdiction.
An order denying confirmation of bankruptcy repayment plan is not final as long as it leaves the debtor free to propose another plan.
Bullard filed a Chapter 13 bankruptcy petition in federal bankruptcy court in Massachusetts. The next week he filed a proposed repayment plan. Blue Hills Bank, the holder of a mortgage on a property owned by Bullard, objected to the plan based on the plan’s proposed treatment for repayment of the mortgage debt. The bankruptcy court denied confirmation of the plan, agreeing with the bank the the plan’s proposed treatment of the mortgage debt was not allowed under bankruptcy law. The bankruptcy court ordered Bullard to submit an new plan within 30 days. Bullard appealed. The Bankruptcy Appellate Panel held that it did not have jurisdiction over an appeal because the bankruptcy court’s order denying plan confirmation was not a final order. However, the Bankruptcy Appellate Panel exercised discretion to hear the appeal as an interlocutory appeal, and affirmed. The First Circuit Court of Appeals dismissed Bullard’s appeal for lack of jurisdiction.
Was the order denying plan confirmation a final order subject to appellate review?
No. The Court of Appeals correctly determined that an order denying confirmation of a Chapter 13 repayment plan is not a final order.
In terms of finality of bankruptcy court orders on plan confirmation, the relevant proceeding is whole process of considering proposed plans that ends when a plan is confirmed or a case is dismissed.