United States District Court, D. Alaska
DAVID M. DECKER and MARILYN L. DECKER, Appellants,
OFFICE OF THE UNITED STATES TRUSTEE, Appellee
Case No. A14-00065-GS.
David M. Decker, Marilyn L. Decker, Appellants: Robert P.
Crowther, LEAD ATTORNEY, Law Office of Robert Crowther,
U.S. Trustee's Office, Appellee: Thomas A Buford, III,
LEAD ATTORNEY, United States Trustee Program, Seattle, WA.
Larry D. Compton, Trustee: Larry D. Compton, LEAD ATTORNEY,
Office of the Trustee, Anchorage, AK.
L. Gleason, UNITED STATES DISTRICT JUDGE.
the Court is an appeal from the United States Bankruptcy
the District of Alaska of an Order Granting Motion to Convert
Case to Chapter 11 entered in the bankruptcy case of
Appellants David M. Decker and Marilyn L.
Decker. The bankruptcy court's order
converted the Deckers' Chapter 7 case to a Chapter 11
proceeding without the Deckers' consent. It is undisputed
that the Deckers' debt is not primarily consumer debt.
Oral argument on appeal was not requested, and the Court
finds it was not necessary to the determination of this
appeal. This Court has jurisdiction pursuant to 28 U.S.C.
§ 158(a)(1), which authorizes a district court to hear
appeals from final judgments, orders, and decrees issued by
the bankruptcy court. For the reasons discussed below, the
bankruptcy court's determination will be affirmed.
Deckers present three main challenges to the bankruptcy
court's conversion order.
the Deckers contend that the bankruptcy court erred when it
held that 11 U.S.C. § 706(b) authorized it to convert
the Deckers' Chapter 7 proceeding to a Chapter 11
proceeding without the Deckers' consent. As this is a
legal determination, this Court reviews the bankruptcy
court's conclusion de novo.
Where, as here, the resolution of a question of federal law
turns on a statute and the intention of Congress, we look
first to the statutory language and then to the legislative
history if the statutory language is unclear."
Section 706, titled Conversion, provides:
(a) The debtor may convert a case under this chapter to a
case under chapter 11, 12, or 13 of this title at any time,
if the case has not been converted under section 1112, 1208,
or 1307 of this title. Any waiver of the right to convert a
case under this subsection is unenforceable.
(b) On request of a party in interest and after notice and a
hearing, the court may convert a case under this chapter to a
case under ...