Agricredit Acceptance, LLC v. UAP Northwest

MEMORANDUM **

Plaintiff-Appellant Agricredit Acceptance LLC (“Agricredit”) appeals the district court’s decision that a clause in a confirmed- Chapter 12 bankruptcy plan, which expressly allowed Agricredit to appeal “hen priorities,” did not allow Agricredit to contest the timing of payments that it received under the plan on the ground that payment to a creditor with subordinated debt before Agricredit was fully paid would be inconsistent with Agricredit’s “hen priority.” In the alternative, Agricredit argues that this appeal is moot because of the dismissal of the underlying plan following the bankruptcy court’s judgment. We conclude (1) that this case is not moot and (2) that no plausible interpretation of the clause, when viewed with other language in the Chapter 12 plan as a whole, precludes Agricredit from contesting the timing of payments that it would receive under the plan if asserted to violate its hen priority.

I

Mootness is a question of law reviewed de novo. See Biodiversity Legal Found, v. Badgley, 309 F.3d 1166 , 1173 (9th Cir. 2002). The burden is on the movant to demonstrate that the appeal is moot. Matter of the Brickyard, 735 F.2d 1154, 1159 (9th…