Cite as: 514 U. S. 300 (1995)
Stevens, J., dissenting
jurisdiction. See ante, at 304-305, n. 4, 311, n. 8. Those two footnotes require a brief response.
In footnote 4 of its opinion, the Court refers to two different claims advanced by Celotex in the bankruptcy proceedings: a claim that "the bonded judgment creditors should not be able to execute on their bonds because, by virtue of the collateralization of the bonds, the bonded judgment creditors are beneficiaries of Celotex asset transfers that are voidable as preferences and fraudulent transfers"; and a claim that "the punitive damages portions of the judgments can be voided or subordinated." There is little doubt that those claims are properly characterized as ones "arising under" Title 11 within the meaning of 28 U. S. C. § 1334(b); 13 however, it does not necessarily follow from that characterization that the Bankruptcy Judge had jurisdiction to issue the injunction in support of the prosecution of those claims. Celotex's complaint was not filed until months after the Bankruptcy Judge's injunction issued. The claims raised in that complaint cannot retroactively provide a jurisdictional basis for the Bankruptcy Judge's injunction.
Moreover, Celotex's attempts to set aside the Edwards' supersedeas bond are patently meritless. It strains credu-13 "[W]hen a cause of action is one which is created by title 11, then that civil proceeding is one 'arising under title 11.' " 1 Collier ¶ 3.01[1] [c][iii], at 3-26. A perusal of the complaint reveals that Celotex seeks relief under causes of action created by the Bankruptcy Code. See, e. g., Count I (11 U. S. C. § 547(b) (seeking to avoid preferential transfers)); Count III (11 U. S. C. § 548(a)(2)(A) (seeking to avoid constructively fraudulent transfers)); Count IV (11 U. S. C. § 544 (seeking to avoid transactions that would constitute constructively fraudulent transfers under state law)); Count VII (11 U. S. C. § 502 (seeking to disallow punitive damages awards); Count VII (11 U. S. C. § 510(c)(1) (seeking equitable subordination of pending punitive damages awards to the claims of unsecured creditors)). Cf., e. g., 1 Collier ¶ 3.01[1][c][iii], at 3-27 ("[C]ourts interpreting this language have held that 'arising under title 11' includes causes of action to recover fraudulent conveyances"). My acknowledgment of these claims, of course, is not intended as a suggestion that they have merit.
325
Page: Index Previous 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 NextLast modified: October 4, 2007