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Garlock Sealing Technologies LLC and Union Carbide Corporation v. Oscar Torres and Dora Torres

Citation: Not availableDocket: 13-10-00325-CV

Court: Court of Appeals of Texas; June 18, 2018; Texas; State Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

In the appellate case involving Garlock Sealing Technologies LLC and Union Carbide Corporation as appellants against Oscar Torres and Dora Torres, the proceedings stemmed from the 107th District Court of Cameron County, Texas. The case was abated in June 2010 under the automatic stay provisions of 11 U.S.C. 362 due to one party's bankruptcy, halting all appellate actions. Despite the filing of necessary records, a subsequent motion to sever and reinstate the appeal was denied in August 2012. By 2017, the parties confirmed the ongoing status of the bankruptcy stay and requested continued abatement. As of June 18, 2018, with no further developments, the Court mandated the submission of a status advisory within fourteen days, including a recommendation on whether to reinstate or dismiss the appeal. Failure to comply with this directive would result in the case's reinstatement and dismissal for lack of prosecution according to Texas Rules of Appellate Procedure 42.3(b) and (c). This situation underscores the procedural implications of bankruptcy on appellate proceedings and the Court's authority to enforce actions for case management and prosecution timeliness.

Legal Issues Addressed

Abatement of Appeal Proceedings

Application: The appeal proceedings were put on hold and have remained inactive due to the ongoing bankruptcy stay.

Reasoning: In mid-2017, the parties notified the Court that the bankruptcy stay remained active and requested continued abatement.

Automatic Stay under 11 U.S.C. 362

Application: The appeal was abated due to the bankruptcy of one party, invoking the automatic stay provisions, which halted proceedings.

Reasoning: The appeal was abated on June 17, 2010, due to the bankruptcy of one party, invoking the automatic stay provisions under 11 U.S.C. 362 and Texas Rule of Appellate Procedure 8.

Dismissal for Lack of Prosecution

Application: The Court warned that failure to comply with its order would result in the reinstatement and dismissal of the appeal due to inactivity.

Reasoning: Non-compliance will lead to reinstatement and dismissal of the appeal for lack of prosecution, as per Texas Rules of Appellate Procedure 42.3(b) and (c).

Severance and Reinstatement of Appeal

Application: A motion to sever and reinstate the appeal was reviewed and denied by the Court.

Reasoning: A motion to sever and reinstate the appeal was denied on August 17, 2012.