DiCostanzo
DiCostanzo v. Zimmerman (In re DiCostanzo)
Opinion
Lead Opinion
MEMORANDUM *
After two hearings, the bankruptcy court entered an order granting trustee P.J. Zimmerman’s motion to approve a compromise settling the bankruptcy estate’s legal claim to a residence. Debbera DiCostanzo appeals the district court’s af-firmance of the order of the bankruptcy court. We review a bankruptcy court’s order approving a motion to compromise for an abuse of discretion, In re A & C Properties, 784 F.2d 1377, 1380 (9th Cir.1986), and we affirm.
Contrary to DiCostanzo’s argument, the bankruptcy court applied the correct legal standard to the trustee’s motion to approve a compromise under Fed. R. Bankr.P. 9019(a). Although the bankruptcy court’s statements were general and conclusory, the record reveals the court applied A & C Properties’s four-factor test to determine the fairness, reasonableness, and adequacy of the proposed compromise. Under this test, the bankruptcy court’s approval of the compromise was not an abuse of discretion.
We also hold the bankruptcy court did not err by further treating the trustee’s motion to approve the compromise as a motion to approve the sale of an asset under 11 U.S.C. § 363 . See In re Mickey Thompson Entm’t Group, Inc.,…