Bankruptcy
May 11, 2026
9th Circuit narrows bankruptcy trustee immunity in en banc ruling
The 9th U.S. Circuit Court of Appeals ruled that a Chapter 7 trustee accused of failing to preserve estate assets is not automatically shielded by quasi-judicial immunity, clarifying the limits of bankruptcy trustee protections in a closely watched en banc decision.
The 9th U.S. Circuit Court of Appeals sharply limited the scope of immunity available to bankruptcy trustees, ruling in an en banc decision that a Chapter 7 trustee accused of failing to preserve estate assets could face personal liability.
In Thursday's opinion written by Judge Jacqueline H. Nguyen, the court reversed a Central District judge's ruling that bankruptcy trustee Amy L. Goldman was immune from claims brought by creditor Tammy R. Phillips over the handling of r...
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