Summary:
Diggs Restaurant Group and other creditors argued that Oasis Cigar Club's Chapter 7 filing was unauthorized, as they claimed the company’s members had not voted to approve the filing. Oasis Cigar Club responded that its board of directors had authorized the filing, providing relevant documentation, though the movants questioned the legitimacy of the board’s authority and claimed judicial estoppel should prevent the company from asserting that the board had authority.