In re: MTE Holdings LLC, et al.

Filing 5

RECOMMENDATION RE: Mandatory Mediation. Objections due by 2/10/2022. Signed by Judge Mary Pat Thynge on 1/27/2022. (Taylor, Daniel)

Case 1:21-cv-01846-LPS Document 5 Filed 01/27/22 Page 1 of 4 PageID #: 91

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF DELAWARE
In re:

:
:
MTE HOLDINGS LLC, et al.,
:
:
Debtors.
:
__________________________________ :
:
CHENAULT-VAUGHAN FAMILY
:
PARTNERSHIP, LTD.,
:
:
Appellant,
:
:
v.
:
:
CENTENNIAL RESOURCE
:
PRODUCTION LLC,
:
:
Appellee.
:
__________________________________ :

Chapter 11
Bankruptcy Case No. 19-12269 (CTG)

C.A. No. 21-1846-LPS
Bankr. BAP No. 21-93

RECOMMENDATION
At Wilmington this 27th day of January, 2022.
WHEREAS, pursuant to paragraph 2(a) of the Procedures to Govern Mediation
of Appeals from the United States Bankruptcy Court for this District dated September
11, 2012, the court conducted an initial review, which included information from
counsel, 1 to determine the appropriateness of mediation in this matter. The parties'
joint submission was due and received on January 26, 2022;

Written information was provided by counsel for the parties which is not made part of the
court record because it relates to mediation.
1

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WHEREAS, as a result of the above screening process, mediation at this stage
would not be a productive exercise, a worthwhile use of judicial resources nor warrant
the expense of the process.
In this appeal, Appellant challenges a December 17, 2021 Memorandum
Opinion and Order on Cross-Motions for Summary Judgment and on a Motion to
Dismiss for lack of Subject Matter Jurisdiction. In the Bankruptcy Court, Appellant
explained that its Motions were filed out of abundance of caution to ensure that the
appellate deadlines were not missed. Appellant noted that if the Memorandum
Opinion and Order on
Cross-Motions for Summary Judgment are considered final and appealable,
the deadline for an appeal is fourteen (14) days thereafter . If the Opinion and Order
are interlocutory, the deadline to file an application for leave to file an interlocutory
appeal is governed by Rule 8004. Rule 8004(e) provides that if a motion to certify
meets the interlocutory standard, an application for interlocutory appeal must be filed
within 10 days after the decision because it is governed by 28 U.S.C. §1292(b).
At the January 10, 2022 Status Conference, the Bankruptcy Court entered a
briefing schedule to facilitate a final, appealable order on the Cross-Motions for
Summary Judgment and advised of its preference for a single order addressing the
entire matter to avoid piecemeal appeals.
The Bankruptcy Court denied Appellant's Motion for Entry of Final Judgment,
for Certification of Interlocutory Appeal, and for Certification of Direct Appeal. As a
result, the December 27, 2021 Notice of Appeal was premature as to the summary
judgment order. Appellant plans to file an amended notice of appeal after the final
2

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order is entered.
After conferring in response to this judge's Oral Order of January 4, 2022, the
parties agree that mediation of the issues in this appeal is likely to be unproductive.
The parties previously discussed settlement without success and believe mediation
would not result in a resolution. The parties intend to have another discussion
regarding briefing schedules after any amended notice of appeal is filed, and agree
that no proposed briefing schedule would be appropriate at this time.
As of the date of this Recommendation, no amended notice of appeal is filed.
Appellant further requests that any briefing on the appeal of the Order Denying
Motion to Dismiss for Lack of Subject Matter Jurisdiction be deferred so the issues
may be brief as part of the appeal of the Order on Cross-Motions for Summary
Judgment because the matters involve common issues of law and fact, and the
Bankruptcy Court addressed the issues in the same Order.
The Parties also request that an Order be entered extending the time within
which they may provide an Amended Joint Submission on Mandatory Mediation and
Proposed Briefing Schedule until 14 days after Appellant files an Amended Notice of
Appeal in this case.
THEREFORE, IT IS RECOMMENDED that, pursuant to paragraph 2(a)
Procedures to Govern Mediation of Appeals from the United States Bankruptcy
Court for this District and 28 U.S.C. § 636(b),
1. At present no action be taken regarding whether this matter should be
withdrawn from mandatory mediation.
2. Appellant be required to file an Amended Notice of Appeal on or before,
3

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Thursday, February 17, 2022.
3. The parties provide an Amended Joint Submission on Mandatory
Mediation and Proposed Briefing Schedule on or before Thursday, March 3,
2022.
The parties are advised through this Recommendation of their right to file
objections to it pursuant to 28 U.S.C. § 636(b)(1)(8), Fed. R. Civ. P. 72(a) and D.
Del. LR 72.1.
Local counsel are obligated to inform out-of-state counsel of this Order.

Isl Mary Pat Thynge
Chief U.S. Magistrate Judge Mary Pat
Thynge

4