Date of Decision:
February 27, 2014
Whether, under Fed.R.Bankr.P. 7015 and Fed.R.Civ.P. 15(a)(2), the trustee-plaintiff was entitled to file a second amended complaint adding two new counts to his first amended complaint?
Trustee-plaintiff’s request was denied because allowing the complaint to be further amended in the manner requested would be futile. The trustee-plaintiff did not have standing to pursue the new claims under 11 U.S.C. § 544(b) since he did not identify an actual creditor holding an allowable unsecured claim who could avoid the transfers under state law. The new causes of action are time-barred under 11 U.S.C. § 548 and the Minnesota Uniform Fraudulent Transfer Act.
Full Bankruptcy Court Decision: