In Re New Life Health Center Company, Debtor. New Life Health Center Company v. Internal Revenue Service
Opinion
Opinion
The bankruptcy court granted the Internal Revenue Service (“IRS”) an extension of time to file a proof of claim on the ground that the IRS’ failure to file on time was due to “excusable neglect.” The district court affirmed. We dismiss the appeal for lack of jurisdiction because the bankruptcy court’s order is not an appealable order.
The bankruptcy court’s order is not an appealable order because it does not decide the merits of the IRS’ claim. In other words, it does not determine that the IRS’ claim will be allowed; nor does it hold that Debtor’s plan of reorganization must provide for a payment of the IRS’ claim in full or in part. Instead, the order simply allows the IRS’ claim to proceed. It does not resolve and seriously affect substantive rights. See Frontier Properties, Inc. v. Four Seasons Properties, 979 F.2d 1368, 1363 (9th Cir.1992).
Although the question is one of first impression in this circuit, at least two district courts in other circuits have addressed the finality of a bankruptcy court order allowing the tardy filing of a proof of claim. Both held that such an order is not final, recognizing that the order could be reviewed after a determination on the…