Shirley E. Simon v. 99 Cents Only Stores, LLC ( 2024 )

1 UNITED STATES DISTRICT COURT 2 DISTRICT OF NEVADA 3 Case No.: 2:23-cv-00379-JAD-MDC Shirley E. Simon, 4 Plaintiff Order Staying and Administratively 5 v. Closing Case 6 99 Cents Only Stores, LLC, [ECF No. 22] 7 Defendant 8 In April 2024, defendant 99 Cents Only Stores, LLC, filed a notice that it has filed for 9 Chapter 11 bankruptcy in the United States Bankruptcy Court for the District of Delaware.1 The 10 filing of a petition for relief under the Bankruptcy Code commences a bankruptcy case and 11 creates a bankruptcy estate that “is protected by an automatic stay of actions by all entities to 12 collect or recover on claims.”2 “The automatic stay is self-executing, effective upon the filing of 13 the bankruptcy petition.”3 “The scope of the stay is quite broad.”4 “It applies to almost any type 14 of formal or informal action against the debtor or property of the estate.”5 “The automatic stay is 15 an injunction issuing from the authority of the bankruptcy court, and bankruptcy court orders are 16 not subject to collateral attack in other courts.”6 “That is so not only because of the 17 ‘comprehensive jurisdiction’ vested in the bankruptcy courts, but also because ‘persons subject 18 to an injunctive order issued by a court with jurisdiction are expected to obey that decree until it 19 20 1 ECF No. 22. 21 2 Burton v. Infinity Cap. Mgmt., 862 F.3d 740, 746 (9th Cir. 2017) (citing 11 U.S.C. § 362(a)). 3 Id. (quotation omitted). 22 4 Id. (brackets and quotation omitted). 23 5 Id. at 746–47 (quotation omitted). 6 In re Gruntz, 202 F.3d 1074, 1082 (9th Cir. 2000). modified or reversed, even if they have proper grounds to object to the order.’”’ The automatic stay of judicial actions against the bankrupt party expires at “the earliest of” the time that the bankruptcy “case is closed . . . or dismissed” or, in cases under chapters 9, 11, 12, or 13 All of the Bankruptcy Code, “the time [that] a discharge is granted or denied.”® 5 Conclusion 6 Accordingly, IT IS THEREFORE ORDERED that this case is automatically STAYED due to 99 Cents Only Stores, LLC’s bankruptcy proceedings. The Clerk of Court is directed to 8] ADMINISTRATIVELY CLOSE this case. 9 U.S.D Judge lef Dorsey 11 Wy 25, 2024 12 13 14 15 16 17 18 19 20 21 22 2317 Id. (quoting Celotex Corp. v. Edwards, 514 U.S. 300, 306, 313 (1995)). 811 U.S.C. § 362(c)(2)(A){C).