Section 2.12 Discretionary

• Library: Bankruptcy Practice (2007 Ed. + 2015 Cum Supp)

b. (§2.12) Discretionary

The 1984 Amendments also allow a district court to abstain from hearing any matter “in the interest of justice, or in the interest of comity with State courts or respect for State law.” 28 U.S.C. § 1334(c)(1). To determine whether discretionary abstention is appropriate in bankruptcy proceedings, a court may consider numerous factors, including the:

· extent to which the proceeding involves difficult or unsettled issues of state law;

· extent to which state law or other esoteric and technical issues predominate;

· effect of abstention on efficient administration of the bankruptcy proceeding;

· presence of a pending state law action in which the matter may be determined;

· degree of relatedness to the main bankruptcy proceeding;

· burden on the bankruptcy court’s docket;

· likelihood that one of the parties is forum shopping;

· presence or necessity of nondebtor parties;

· existence of a jurisdictional basis apart from the debtor’s bankruptcy filing;

·...