Mortgage Servicers argued that the bankruptcy court was limited to submitting proposed findings of fact and conclusions of law to the district court for de novo review unless the parties consent to the bankruptcy court hearing and determining the matter The bankruptcy court rejected the argument and held that claims under 11 U.S.C. §§ 105, 524, and 362 as well as Bankruptcy Rule 3002.1(i) for violation of the discharge injunction, violation of the automatic stay, and violation of Bankruptcy were core proceedings pursuant to 28 U.S.C. §157(b)(2)(A), which the court has authority to hear and determine pursuant to 11 U.S.C. § 157(b)(1).
At hearing the bankruptcy court also denied the Motion to Dismiss by the mortgage servicers, with that opinion expected shortly.
For a copy of the opinion, please click here: