In re Holmes (Ch. 11 Case No. 02-52793 Adv. No. 03-05208)

The defendants moved to transfer the adversary proceeding to the Southern District of New York for consolidation and coordination with a pending multidistrict class action litigation. The Court held that it did not have authority to transfer the adversary proceeding for coordinated or consolidated pretrial hearings under the multidisitrct litigation statute. 28 U.S.C.A. § 1407.

The Court also held that the defendants had not carried their burden of showing that transfer would be in the interest of justice or for the convenience of the parties. 28 U.S.C.A. § 1412. The Court held that mere allegations that witnesses and records were located in another district were insufficient to satisfy the defendants' burden.

Thursday, February 5, 2004