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Court Restricts Bankruptcy Court Jurisdiction in Stern v. Marshall

On June 23, 2011, the U.S. Supreme Court issued its decision in Stern v. Marshall, holding that bankruptcy courts may not constitutionally try to final adjudication many counterclaims by bankruptcy estate representatives, even against creditors asserting claims in the bankruptcy. In this article, recently published in The Bankruptcy Strategist, Loeb & Loeb partner William Hawkins examines the decision’s significant limitation of the bankruptcy court’s jurisdiction, and the broad implications for creditors, debtors and other parties involved in bankruptcy cases. 

William Hawkins is a partner in the Bankruptcy, Restructuring and Creditors' Rights Group and is based in the New York office of Loeb & Loeb. He can be reached at 212.407.4126.

This article was published in the August 2011, Volume 28, Number 10 edition of The Bankruptcy Strategist. This article also appeared in the New Jersey Institute for Continuing Legal Education's 2011 publication, Hot Topics in Bankruptcy. Permission for article reprint has been granted.