Jasper Stevens v. Robert Whitmore

FOR PUBLICATION

UNITED STATES COURT OF APPEALS

FOR THE NINTH CIRCUIT

IN RE JASPER STEVENS and BRENDA No. 20-60044

LOUISE MURRAY STEVENS,

Debtors, BAP No. 19-1325

JASPER STEVENS; BRENDA LOUISE

MURRAY STEVENS, OPINION

Appellants,

v.

ROBERT S. WHITMORE, Chapter 7 Trustee, Appellee.

Appeal from the Ninth Circuit Bankruptcy Appellate Panel Taylor, Faris, and Lafferty III, Bankruptcy Judges, Presiding

Agued and Submitted September 2, 2021 Pasadena, California

Filed October 19, 2021 IN RE STEVENS

Before: Sandra S. Ikuta, Mark J. Bennett, and Ryan D. Nelson, Circuit Judges

Opinion by Judge R. Nelson

SUMMARY *

Bankruptcy

The panel affirmed the Bankruptcy Appellate Panel’s decision affirming the bankruptcy court’s approval of a settlement of a state court lawsuit filed by debtors against their mortgage servicing company.

While the state suit was pending, debtors filed for bankruptcy. On a schedule that asked about claims against third parties, they stated they had none. They listed the mortgage servicing company as a non-priority creditor, and they disclosed the state lawsuit in their Statement of…