United States Code (Last Updated: May 24, 2014) |
AppendixAA 11a. BANKRUPTCY RULES |
Level FEDERAL RULES OF BANKRUPTCY PROCEDURE |
CourtRules BANKRUPTCY RULES |
Part VII. ADVERSARY PROCEEDINGS |
CourtRule 7041. Dismissal of Adversary Proceedings
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Rule 41 F.R.Civ.P. applies in adversary proceedings, except that a complaint objecting to the debtor’s discharge shall not be dismissed at the plaintiff’s instance without notice to the trustee, the United States trustee, and such other persons as the court may direct, and only on order of the court containing terms and conditions which the court deems proper.
Miscellaneous
Dismissal of a complaint objecting to a discharge raises special concerns because the plaintiff may have been induced to dismiss by an advantage given or promised by the debtor or someone acting in his interest. Some courts by local rule or order have required the debtor and his attorney or the plaintiff to file an affidavit that nothing has been promised to the plaintiff in consideration of the withdrawal of the objection. By specifically authorizing the court to impose conditions in the order of dismissal this rule permits the continuation of this salutary practice.
Rule 41 F.R.Civ.P. refers to Rule 19 F.R.Civ.P. Pursuant to Rule 7002 that reference is to Rule 19 F.R.Civ.P. as incorporated and modified by Rule 7019.
The United States trustee has standing to object to the debtor’s discharge pursuant to § 727(c) and may have refrained from commencing an adversary proceeding objecting to discharge within the time limits provided in Rule 4004 only because another party commenced such a proceeding. The United States trustee may oppose dismissal of the original proceeding.
The rule is also amended to clarify that the court may direct that other persons receive notice of a plaintiff’s motion to dismiss a complaint objecting to discharge.
References In Text
The Federal Rules of Civil Procedure, referred to in text, are set out in the Appendix to Title 28, Judiciary and Judicial Procedure.