In re Phelps (02-52995)

Under Eleventh Circuit’s Parker case, judicial estoppel can never be a defense to a cause of action omitted from the debtor’s bankruptcy schedules. Therefore, the Court allowed Debtor to reopen his case to add the cause of action so a trustee could administer the asset. His creditors stood to benefit from any recovery, and Debtor would receive no special benefit.

Sunday, March 29, 2009