Lewis v. HealthTrio LLC et al

Filing 8

ORDER granting 3 Asma Hasan's Motion for Withdraw [sic] of Reference. Final Pretrial Conference set for 4/15/2016 10:30 AM in Courtroom A1001 before Judge Robert E. Blackburn. Fifteen (15) day Jury Trial set for 5/2/2016 08:30 AM in Courtr oom A1001 before Judge Robert E. Blackburn. Trial Preparation Conference set for 4/15/2015 at 10:30 AM in Courtroom A1001 before Judge Robert E. Blackburn. By Judge Robert E. Blackburn on 9/14/2015. (Attachments: # 1 TRIAL PREPARATION CONFERENCE ORDER)(mlace, )

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF COLORADO
Judge Robert E. Blackburn
Civil Action No. 15-cv-00354-REB
(Bankruptcy Case No. 09-34404 HRT (Chapter 7),
Adversary Proceeding No. 14-01215 HRT)
In re:
HEALTHTRIO, INC.,
Debtor.

DAVID E. LEWIS, CHAPTER 7 TRUSTEE,
Plaintiff,
v.
GLEN W. MERRICK,
G.W. MERRICK & ASSOCIATES, LLC,
ASMA GULL HASAN,
Defendants.

ORDER
Blackburn, J.
This matter is before me on Asma Hasan’s Motion for Withdraw [sic] of
Reference [#3],1 filed February 20, 2015. The plaintiff, the Chapter 7 Trustee, filed a
limited objection [#6] to the motion. Asma Hasan filed a reply [#5]. I grant the motion.
The parties agree that the reference must be withdrawn to the extent this case
involves claims on which any party is entitled to a trial by jury. Ms. Hasan contends the

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“[#3]” is an example of the convention I use to identify the docket number assigned to a specific
paper by the court’s case management and electronic case filing system (CM/ECF). I use this convention
throughout this order.

reference to the bankruptcy court should be withdrawn for all purposes, including
pretrial proceedings. The Chapter 7 Trustee contends the reference should not be
withdrawn immediately. Rather, the trustee contends the bankruptcy court should
handle pretrial proceedings. Previously, the Chapter 7 Trustee filed a motion to
withdraw the reference in this case. The motion of the Chapter 7 Trustee was docketed
in this court under Civil Action No. 15-cv-00455-REB-MEH and was granted.
As noted in my order in 15-cv-00455-REB-MEH, under 28 U.S.C. § 157(d), a
district court may withdraw its reference of a case to the bankruptcy court for cause
shown. This case concerns claims asserted by the Chapter 7 Trustee against
defendants as to which both the Trustee and Ms. Hasan have demanded trial to a jury.
The bankruptcy court may conduct a jury trial only when certain specific prerequisites
have been satisfied. 28 U.S.C. § 157(e). Those prerequisites are not satisfied in this
case.
However, in withdrawing the reference I am not precluded from referring pretrial
matters to the bankruptcy court. In re M & L Business Machine Co., 159 B.R. 932,
935 (D. Colo. 1993). I find and conclude that the bankruptcy court is in the best position
to efficiently manage discovery and pretrial matters in this case.
THEREFORE IT IS ORDERED as follows:
1. That Asma Hasan’s Motion for Withdraw [sic] of Reference [#3] filed
February 20, 2015, is granted on the terms stated in this order;
2. That as to this case, the automatic referral entered under D.C.COLO.LCivR
84.1(d) is withdrawn, consistent with my previous order in 15-cv-00455-REB-MEH; and

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3. That trial shall of this matter shall proceed on the schedule stated in the Trial
Preparation Conference Order [#11] entered in Civil Action No. 15-cv-00455-REBMEH.
Dated September 14, 2015, at Denver, Colorado.
BY THE COURT:

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