Zimmerman

Zimmerman v. First Union National Bank (In re Silva)

Good Law
185 F.3d 992
United States Court of Appeals for the Ninth CircuitJuly 28, 1999No. 98-35956California1,061 words

Opinion

Lead Opinion

Goodwin, J.

First Union National Bank (“First Union”), successor in interest to defendant First Fidelity, N.A., New Jersey (“First Fidelity”), appeals the district court’s order affirming the order of the bankruptcy court, which denied First Union’s motion to set aside a default judgment entered in favor of the Chapter 7 Trustee (“Trustee”) and against First Fidelity. First Union contends that the default judgment is void because the bankruptcy court lacked subject matter jurisdiction over the adversary proceeding, for the original turnover complaint failed to establish that the property sought was owned by the individual debtors, David Silva and Sharon Selmasska (the “Debtors”). We disagree and affirm.

On August 13, 1993, the Debtors filed a joint Chapter 13 bankruptcy, which was voluntarily converted to a Chapter 7 on January 5, 1994. Soon after, Barry Zimmerman was appointed as Trustee, and he became aware of a “Dealer Reserve Bank Account” (“Account”) allegedly on deposit at First Fidelity in the name of Milano-Silva Inc., in which the bankruptcy estate (“Estate”) claimed an interest. After making several unsuccessful attempts to contact First Fidelity, the Trustee, on July 14, 1995,…

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