Fu v. Yan et al

Filing 7

ORDER AFFIRMING SANCTIONS AWARD OF BANKRUPTCY COURT. Signed by Judge Richard Seeborg on 12/28/11. (cl, COURT STAFF) (Filed on 12/28/2011)

**E-filed 12/28/11**

1
2
3
4
5
6
7

IN THE UNITED STATES DISTRICT COURT

8

FOR THE NORTHERN DISTRICT OF CALIFORNIA

9

SAN FRANCISCO DIVISION

11
For the Northern District of California

United States District Court

10

12
13
14

IN RE DEMAS WAI YAN,

No. C 11-3071 RS

Debtor.
___________________________________

Bankruptcy No. 04-33526 TEC
Adversary Proceeding No. 10-3152 TEC

DEMAS YAN,

ORDER AFFIRMING SANCTIONS
AWARD OF BANKRUPTCY COURT

15
16

Appellant,

17

v.

18
TONY FU,
19
20

Appellee.
____________________________________/

21
Demas Yan appeals a decision of the Bankruptcy Court imposing $3000 in sanctions against

22
23

him for filing and pursuing a frivolous motion that sought reconsideration of the dismissal of his

24

cross-complaint, with leave to amend. Yan contends he did not act with an “improper purpose” in

25

seeking reconsideration, because he was only attempting to avoid the necessity of an appeal.1

26
27
28

1

Upon denial of reconsideration, Yan appealed the underlying dismissal of his cross-complaint.
That appeal was decided against Yan on December 28, 2011, Case No. C 11-1814 RS.

1

Although seeking relief from the trial court prior to pursuing an appeal is appropriate in

2

limited circumstances, and is sometimes even a prerequisite to appellate review, that does not

3

excuse compliance with the rules applicable to motions for reconsideration. The judicial efficiency

4

that Yan contends would result from avoiding in some instances the necessity of appeal would pale

5

in comparison to the burdens imposed on trial courts in having to rule on every motion twice, were

6

the limits on seeking reconsideration not observed.

7

Yan has shown no error in the bankruptcy court’s assessment that the underlying motion

8

merely repeated his prior arguments, without any cognizable basis for seeking reconsideration.

9

Yan’s insistence that he acted in subjective good faith is insufficient to undermine the bankruptcy
court’s conclusion that the motion was frivolous and sanctionable. As Yan has not otherwise shown

11
For the Northern District of California

United States District Court

10

any abuse of discretion in the sanctions award, the order of the bankruptcy court is affirmed.

12
13

IT IS SO ORDERED.

14
15
16

Dated: 12/28/11
RICHARD SEEBORG
UNITED STATES DISTRICT JUDGE

17
18
19
20
21
22
23
24
25
26
27
28

2

1
2
3
4
5
6

THIS IS TO CERTIFY THAT A HARD COPY OF THIS DOCUMENT WAS MAILED TO:
Tony Fu
5813 Geary Blvd.
PMB 188
San Francisco, CA 94121
Demas Wai Yan
595 Market St No. 1350
San Francisco, CA 94105

7
8
9

/s/ Chambers Staff
Chambers of Judge Richard Seeborg

11
For the Northern District of California

United States District Court

10

DATED: 12/28/11

12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

3