McDougall v. Ag Country Farm Credit Services, No. 17-6028 (8th Cir. 2018)
Annotate this CaseThe Bankruptcy Appellate Panel held that it may not consider on appeal the merits of a matter for which there would not have been jurisdiction in the bankruptcy court and thus the panel did not consider the merits of the McDougalls' (defendants) arguments on appeal. In this case, the McDougalls did not bring a counterclaim or cross-claim and could not challenge a judgment in favor of defendant AgCountry and against debtors. The McDougalls only sought to determine whether they held title to a parcel of land free of AgCountry's lien and did not seek anything from the bankruptcy court on behalf of or from debtors or their estate. Therefore, the panel remanded with instruction to dismiss the claim regarding the validity of AgCountry's lien against the Home Quarter.
Court Description: Schermer, Author, with Nail and Dow, Bankruptcy Judges] Bankruptcy Appellate Panel. The McDougalls, defendants in this adversary proceeding, did not bring a counterclaim or cross-claim and could not challenge a judgment in favor of defendant AgCountry and against debtors; they seek only to determine whether they hold title to a parcel of land free of AcCountry's lien, and as they seek nothing from the bankruptcy court on behalf or from the debtors or their estate, the bankruptcy court lacked jurisdiction over the McDougalls' claim regarding the validity of its lien; on remand, the bankruptcy should dismiss the claim. [ July 06, 2018
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