Spiegel v. Novoselsky et al

Filing 2

ORDER signed by Judge Rudolph T. Randa on 3/28/2016 DENYING 1 Spiegel's Motion to Withdraw Reference. (cc: all counsel) (cb)

UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF WISCONSIN
In re David Novoselsky,
Debtor,

Case No. 14-29136-GMH
(Chapter 7)

-----------------------------------------------MARSHALL SPIEGEL, individually
and on behalf of a class of similarly
Situated persons,
-vs-

Case No. 15-C-1472
Adv. Proc. No. 15-2505

DAVID NOVOSELSKY, et al.,
Defendants.
DECISION AND ORDER
On November 18, 2015, the plaintiff in the underlying adversary
proceeding, Marshall Spiegel, moved to withdraw the reference to the
district court. The debtor, David Novoselsky, along with the remaining
defendants in the adversary proceeding, object to the motion to withdraw.
Spiegel also moved to stay the adversary proceeding in bankruptcy
court pending this Court’s ruling on the motion to withdraw. The
bankruptcy court denied Spiegel’s motion, reasoning that Spiegel’s motion
to withdraw the reference “seems unlikely to succeed.” Order Denying
Plaintiff’s Motion to Stay Proceedings, at 4. The Court agrees with the

analysis set forth therein. None of the relevant factors suggest that the
Court should withdraw the reference in this case. See In re Neumann
Homes, Inc., 414 B.R. 383, 386 (N.D. Ill. 2009) (listing factors). Judicial
economy, in particular, strongly favors leaving this matter in the
bankruptcy court, especially since the bankruptcy court conducted further
proceedings after denying the motion to stay. The bankruptcy court now
appears poised to rule on a substantive motion to dismiss. It makes little
sense to take this case away from the bankruptcy court on the eve of such a
ruling.
Spiegel’s motion to withdraw the reference [ECF No. 1] is DENIED.
Dated at Milwaukee, Wisconsin, this 28th day of March, 2016.
SO ORDERED:
__________________________
HON. RUDOLPH T. RANDA
U.S. District Judge

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