Opinion ID: 2978778
Heading Depth: 2
Heading Rank: 2

Heading: analysis

Text: In a bankruptcy appeal, we independently review the decision of the bankruptcy court that has been appealed to the BAP. Tidewater Fin. Co. v. Curry (In re Curry), 509 F.3d 735, 735 (6th Cir. 2007). The bankruptcy court’s findings of fact are reviewed under the clear-error standard, and its conclusions of law are reviewed de novo. Behlke v. Eisen (In re Behlke), 358 F.3d 429, 433 (6th Cir. 2004). We review the bankruptcy court’s imposition of sanctions using the abuse-ofdiscretion standard. Corzin v. Fordu (In re Fordu), 201 F.3d 693, 711 (6th Cir. 1999). An abuse of discretion occurs where the reviewing court has “a definite and firm conviction that the court below committed a clear error of judgment.” Barlow v. M.J. Waterman & Assocs., Inc. (In re M.J. Waterman & Assocs., Inc.), 227 F.3d 604, 607-08 (6th Cir. 2000) (citation, alterations, and internal quotation marks omitted). “The question is not how the reviewing court would have ruled, but rather whether a reasonable person could agree with the bankruptcy court’s decision; if reasonable persons could differ as to the issue, then there is no abuse of discretion.” Id. at 608.
We will first address the issue of mootness, which was the basis of the BAP’s decision to dismiss B-Line’s appeal. The BAP generally concluded that B-Line’s appeal was both moot and that B-Line was requesting an impermissible advisory opinion. We respectfully disagree with both conclusions. No. 08-4455 B-Line, LLC v. Wingerter et al. Page 6 To begin with, the BAP analyzed the potential mootness of B-Line’s appeal by splitting the bankruptcy court’s ruling into two parts—its holding that B-Line’s conduct violated Rule 9011(b) and was sanctionable, and its admonition that B-Line and other parties should not engage in similar activity in the future. No legal authority was cited in support of the BAP’s dual method of analysis, and we view its division of the bankruptcy court’s decision as unwarranted. The bankruptcy court’s warning to future parties simply extrapolated the holding of its opinion, saying the equivalent of “if any future party before this court engages in the exact same behavior as the present party, you should expect the same result.” Such an admonition is implied in any ruling, so simply including it in the present case does not create a two-tiered holding. Turning to the substance of the mootness issue, we find that the opinion of the