Goodrich v. Lines

• Decision Date: 12 January 1961
• Docket Number: No. 16510.,16510.
• Citation: 284 F.2d 872
• Parties: Coy C. GOODRICH, Bankrupt, Appellant, v. Kal W. LINES, Trustee of the Estate of Coy C. Goodrich, Bankrupt, Appellee.
• Court: U.S. Court of Appeals — Ninth Circuit

284 F.2d 872 (1960)

Coy C. GOODRICH, Bankrupt, Appellant, v. Kal W. LINES, Trustee of the Estate of Coy C. Goodrich, Bankrupt, Appellee.

No. 16510.

United States Court of Appeals Ninth Circuit.

November 30, 1960.

Rehearing Denied January 12, 1961.

Christin & Davis, George Olshausen, Leonard Davis, San Francisco, Cal., for appellant.

Glicksberg, Glicksberg & Goldberg, San Francisco, Cal., Lawrence Goldberg, San Francisco, Cal., for appellee.

Before BARNES and HAMLIN, Circuit Judges, and MURRAY, District Judge.

HAMLIN, Circuit Judge.

This appeal, No. 16510, and the companion appeal, No. 16722, 284 F.2d 874, portray a long and involved series of proceedings in bankruptcy concerning the affairs of Coy C. Goodrich, appellant herein. Both the appellant and the appellee set out in their briefs detailed "statements of the case," and from these there is set out below a sufficient chronological report to enable one to understand the nature of these appeals.

On May 27, 1954, Coy C. Goodrich, appellant, filed a petition for an arrangement under the provisions of Chapter 11 of the Bankruptcy Act.¹ On June 29, 1954, he petitioned the District Court asking that the arrangement proceedings be dismissed. The District Court referred the matter to Burton J. Wyman, a referee in bankruptcy, and various hearings were held before the referee. On December 1, 1954, the referee denied appellant's motion to dismiss, and appellant filed a petition to review the order of the referee. On November 15, 1955, the District Court affirmed the order of the referee and ordered that the arrangement proceedings continue. Appellant appealed to this Court from the order of November 15, 1955. While this appeal was pending, the referee, on May 16, 1956, made an order adjudicating the appellant a bankrupt and directing that the bankruptcy be proceeded with. On December 3, 1956, the District Court affirmed the referee's order of adjudication, and the appellant appealed from this order. The appeals from the orders of November 15, 1955, and December 3, 1956, were consolidated by this Court and were determined in Goodrich v. England, 9 Cir., 1958, 262 F.2d 298.

On May 16, 1956, after the adjudication of appellant as a bankrupt, there was a meeting of appellant's creditors before the referee. At that meeting there was a contest for the office of trustee between John England and Kal W. Lines, appellee herein. The claims voted for Lines clearly constituted the majority both in number and in amount,² but the referee refused to count the claims voting for him solely on the ground that these claims had not been timely filed. The referee therefore appointed England as trustee. A petition for review was filed with the District Court, and after a hearing thereon the District Court on December 3, 1956, reversed the referee and held that the claims voting for Lines had been timely filed.³ The cause was remanded to the referee for further proceedings.

England appealed to this Court from the order of the District Court, and the appeal was decided in England v. Lines, 9 Cir., 1958, 262 F.2d 303, 307. This Court in its decision affirmed the order of the District Court saying, "Judge Goodman's opinion, 168 F.Supp. 940, seems an excellent, clearly reasoned treatment of the issues raised. The judgment is affirmed." Thereafter, the District Court made an order directing that "the referee shall appoint Kal W. Lines as trustee of the Bankrupt's estate." In accordance with the direction of the District Court, on January 21, 1959, the referee appointed Lines trustee of the bankrupt's estate. On February 27, 1959, appellant moved in the District Court for an order vacating the order of the referee which appointed Lines as trustee. On March 6,...