Fu v. Yan et al
Filing
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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**
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IN THE UNITED STATES DISTRICT COURT
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FOR THE NORTHERN DISTRICT OF CALIFORNIA
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SAN FRANCISCO DIVISION
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For the Northern District of California
United States District Court
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IN RE DEMAS WAI YAN,
No. C 11-3071 RS
Debtor.
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Bankruptcy No. 04-33526 TEC
Adversary Proceeding No. 10-3152 TEC
DEMAS YAN,
ORDER AFFIRMING SANCTIONS
AWARD OF BANKRUPTCY COURT
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Appellant,
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v.
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TONY FU,
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Appellee.
____________________________________/
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Demas Yan appeals a decision of the Bankruptcy Court imposing $3000 in sanctions against
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him for filing and pursuing a frivolous motion that sought reconsideration of the dismissal of his
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cross-complaint, with leave to amend. Yan contends he did not act with an “improper purpose” in
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seeking reconsideration, because he was only attempting to avoid the necessity of an appeal.1
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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.
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Although seeking relief from the trial court prior to pursuing an appeal is appropriate in
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limited circumstances, and is sometimes even a prerequisite to appellate review, that does not
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excuse compliance with the rules applicable to motions for reconsideration. The judicial efficiency
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that Yan contends would result from avoiding in some instances the necessity of appeal would pale
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in comparison to the burdens imposed on trial courts in having to rule on every motion twice, were
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the limits on seeking reconsideration not observed.
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Yan has shown no error in the bankruptcy court’s assessment that the underlying motion
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merely repeated his prior arguments, without any cognizable basis for seeking reconsideration.
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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
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For the Northern District of California
United States District Court
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any abuse of discretion in the sanctions award, the order of the bankruptcy court is affirmed.
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IT IS SO ORDERED.
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Dated: 12/28/11
RICHARD SEEBORG
UNITED STATES DISTRICT JUDGE
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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
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/s/ Chambers Staff
Chambers of Judge Richard Seeborg
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For the Northern District of California
United States District Court
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DATED: 12/28/11
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