Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-azd-2_12-cv-00584/USCOURTS-azd-2_12-cv-00584-0/pdf.json

Nature of Suit Code: 423
Nature of Suit: Bankruptcy Withdrawal 28 USC 157
Cause of Action: 28:0157 Motion for Withdrawal of Reference

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IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

Brian J. Mullen, Trustee,

Plaintiff, 

vs.

Bethany Chapel, Trustee of the David J.

Glimcher 2008 Irrevocable Trust, 

Defendant. 

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No. CV 12-00584-PHX-FJM

 BK 12-15333-RJH

ORDER

We have before us the motion of defendant to withdraw bankruptcy reference (doc.

2) and plaintiff's response (doc. 3). Defendant did not file a reply.

Before filing for bankruptcy, debtor David J. Glimcher created the David J. Glimcher

2008 Irrevocable Trust and transferred over one million dollars in assets into it. The primary

beneficiary is Glimcher's ex-wife, Vicky Roberts. Plaintiff, chapter 7 trustee of Glimcher's

bankruptcy estate, filed this action to recover the trust's assets. He asserts claims for the

avoidance of certain transfers pursuant to 11 U.S.C. § 548(a)(1)(A) and A.R.S. §§ 44-

1004(A)(1) and 44-1005. Defendant seeks to withdraw the reference of this adversary

proceeding, asserting a right to jury trial. Defendant objects to a jury trial in bankruptcy

court, and contends it is more efficient for us to manage this case before trial.

We "may withdraw, in whole or in part, any case or proceeding referred under this

section, on [our] own motion or on timely motion of any party, for cause shown." 28 U.S.C.

§ 157(d). Factors to consider in determining whether cause exists include "the efficient use

Case 2:12-cv-00584-FJM Document 5 Filed 05/11/12 Page 1 of 2
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of judicial resources, delay and costs to the parties, uniformity of bankruptcy administration,

the prevention of forum shopping, and other related factors." Security Farms v. Int'l Bhd. of

Teamsters, Chauffeurs, Warehousemen & Helpers, 124 F.3d 999, 1008 (9th Cir. 1997). 

This case should remain in bankruptcy court for pre-trial proceedings. The

bankruptcy court may "retain jurisdiction over the action until trial is actually ready." In re

Healthcentral.com, 504 F.3d 775, 788 (9th Cir. 2007). Discovery matters, pre-trial

conferences, and routine motions may be handled by a bankruptcy court without abridging

a party's Seventh Amendment right to a jury trial. Id. at 787. In addition, the bankruptcy

system promotes judicial economy and efficiency, goals that would be subverted if an action

were required to be immediately transferred to district court because of a jury trial right. See

id. at 787-88.

IT IS ORDERED DENYING the motion of defendant to withdraw bankruptcy

reference (doc. 2).

DATED this 10th day of May, 2012.

Case 2:12-cv-00584-FJM Document 5 Filed 05/11/12 Page 2 of 2