Maria Elizabeth Montero Leon v. Guillermo Montero

I. INTRODUCTION AND BACKGROUND

On December 2023, Maria Elizabeth Montero Leon (“Plaintiff”) filed a Chapter 11 Petition in the United States Bankruptcy Court for the Central District of California. On November 4, 2024, as a part of the bankruptcy proceedings, 631 N. Hillcrest Road, Beverly Hills, CA 90210 (“Hillcrest Property”) was sold. Guillermo Montero (“Defendant”) has since asserted a community property interest in the Hillcrest Property proceeds. In response to Defendant’s claims, on March 24, 2025, Plaintiff commenced an adversary proceeding (“Adversary Proceeding”), which remains pending, against Defendant to seek a judicial declaration that she is entitled to 100% of the Hilcrest Property sale proceeds and to quiet title in the sale proceeds. (Case No. 2:25-ap-01061-WB.) Presently before is Defendant’s Motion for Withdrawal of Reference as to the Adversary Proceeding (“Motion”). (ECF No. 1.) For the following reasons, the Court DENIES Defendant’s Motion.

II. JUDICIAL STANDARD

While district courts have original jurisdiction over “all civil proceedings” arising under the Bankruptcy Code and cases “related to cases” under the Bankruptcy Code, the jurisdiction is…