District court's holding that a creditor's garnishment of funds was avoidable under 11 U.S.C. section 547(b) affirmed
In re Net-Valazquez, 09-1816, concerned a challenge to the district court's affirmance of a bankruptcy court's judgment in favor of a bankruptcy trustee, holding that a creditor's garnishment of funds was a preferential transfer of estate property avoidable under 11 U.S.C. section 547(b).
In affirming the judgment, the court held that, because the creditor neglected to squarely raise its arguments before the bankruptcy court, it has waived them. Further, having identified and weighed the criteria deemed most relevant to the creditor's request to have its arguments heard for the first time on appeal, the equities do not heavily preponderate in favor of allowing the new arguments.
- Read First Circuit's Decision in In re Net-Valazquez, 09-1816