If a lower court buys an argument that’s clearly wrong, is the argument nonetheless ‘objectively reasonable?’ And does Taggart apply to an automatic stay violation?
Disagreeing with the Tenth and D.C. Circuits and siding with four other circuits, the Seventh Circuit rules that passively holding estate property violates the automatic stay.
Overruling its own precedent, the Seventh Circuit dismissed an appeal when the appellant had not filed a motion in the appeals court for permission to undertake a direct appeal, even though the bankruptcy court had certified the question to the circuit.