In Re Coastal Alaska Lines, Inc., Debtor. Zidell, Inc. v. Daniel E. Forsch, Esq., Trustee

Zidell, Inc. (“Zidell”) filed a late proof of claim in the Chapter 7 bankruptcy proceeding of Coastal Alaska Airlines, Inc. (“CAL”). The trustee objected to the late filing. The bankruptcy court sustained the trustee’s objection to Zidell’s claim and denied Zidell’s motion for enlargement of time to file its claim. The district court affirmed the bankruptcy court’s order, and Zidell appeals. We affirm.

STATEMENT OF FACTS

On April 18, 1986, the debtor, Coastal Alaska Lines, Inc. filed its Chapter 7 petition. CAL did not list Zidell as a creditor. On June 9,1986, the Clerk of the Bankruptcy Court sent a notice to CAL’s listed creditors which established a claims deadline of September 30, 1986. Since Zidell was not listed as a creditor, it did not receive notice.

In early August, 1986, Zidell learned that Coastal Hawaiian Lines, Inc. (“CHL”) had filed a Chapter 7 bankruptcy. CHL listed Zidell as a creditor. CHL is a subsidiary of CAL. Zidell’s general counsel, Mr. Bickler, contacted CHL’s attorneys, who were also CAL’s attorneys, about the status of CAL. CAL’s attorney informed Bickler that CAL had filed bankruptcy, but did not inform Bickler that any claims bar deadline had been…