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S.D.N.Y.Procedural orderFiled Dec. 20, 2022

In Re: Tronox Incorporated

Judge
John Cronan
Docket
1:21-cv-07785
Court
U.S. District Court · Southern District of New York
Pages
5
BankruptcyCivil ProcedureMotion to Dismiss
In one sentence

In re: Tronox Incorporated: Judge Cronan dismissed seven bankruptcy appeals because their notices arrived after the filing deadline.

Who this affects

The seven appellants—Brenda Williams, Otis Williams, Loria Porter, Freddie Porter, Lash, Cotton, and Morris—whose appeals were dismissed, and Garretson Resolution Group, Inc., doing business as Epiq Mass Tort, as trustee of The Tronox Incorporated Tort Claims Trust.

What happened

In re: Tronox Incorporated involved seven appeals from a bankruptcy court’s rejection of motions to file future tort claims against the Tronox Tort Claims Trust. The Trust asked the district court to dismiss the appeals for lack of jurisdiction.

The bankruptcy court entered its claim-rejection orders on July 16, 2021, making July 30 the deadline for appeals. The seven appellants filed their notices on August 2, 2021. The district court explained that an appeal is filed when the bankruptcy clerk receives the notice, not when it is mailed.

Judge Cronan granted the Trust’s motion to dismiss the seven appeals as untimely. He ruled that the late filings deprived the court of jurisdiction, and the court dismissed and terminated the seven appeals without deciding the underlying claims.

The detailed version

For law students, journalists, and other readers who want the full reasoning

Case
In Re: Tronox Incorporated · No. 1:21-cv-07785
Judge
John Cronan
Date
Dec. 20, 2022

Background

Tronox Incorporated began a Chapter 11 bankruptcy proceeding in 2009. The confirmed reorganization plan created a Tort Claims Trust to pay certain tort claims. The bankruptcy court later established standards for deciding whether claims qualified as “future” tort claims, including claims involving exposure, injury, or disease occurring after the August 12, 2009 deadline for filing proofs of claim.

After litigation produced more than $600 million for the Trust, many additional people sought payments from it. The bankruptcy court’s March 10, 2021 decision addressed more than 4,000 purported future tort claims, including the seven appellants’ motions. The bankruptcy court denied those motions and entered final orders rejecting the claims on July 16, 2021. The court and the Trust notified the appellants that July 30, 2021 was the deadline for filing notices of appeal. Each appellant filed a notice on August 2, 2021.

Jurisdiction and Timeliness

Federal Rule of Bankruptcy Procedure 8002(a)(1) requires a notice of appeal to be filed within 14 days after entry of the order being appealed. The court stated that this deadline is jurisdictional, meaning that missing it deprives the district court of authority to consider the appeal. The filing date is the date the bankruptcy clerk receives the notice, rather than the date the appellant signs or mails it. The court stated that this rule also applies to people representing themselves, although the opinion does not identify the representation status of each appellant.

Because the bankruptcy court entered its orders on July 16, the deadline was July 30. The notices were received on August 2, three days late. The district court therefore concluded that it lacked jurisdiction to consider the appeals’ merits.

Disposition

Judge John P. Cronan granted Garretson Resolution Group, Inc., doing business as Epiq Mass Tort, in its capacity as trustee of The Tronox Incorporated Tort Claims Trust, the motion to dismiss the seven appeals as untimely. The court dismissed the appeals and directed the Clerk of Court to enter the order in and terminate the seven related actions: Brenda Williams v. Tronox Incorporated; Otis Williams v. Tronox Incorporated; Loria Porter v. Tronox Incorporated; Freddie Porter v. Tronox Incorporated; Lash v. Tronox Incorporated; Cotton v. Tronox Incorporated; and Morris v. Tronox Incorporated. The court did not decide whether the underlying future tort claims were valid.

The authoritative version

Read the full 5-page opinion on CourtListener, the free public archive maintained by the Free Law Project.

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