Stern v. Marshall

Stern v. Marshall
Argued January 18, 2011
Decided June 23, 2011
Full case nameHoward K. Stern, Executor of the Estate of Vickie Lynn Marshall, Petitioner v. Elaine T. Marshall, Executrix of the Estate of E. Pierce Marshall
Docket no.10-179
Citations564 U.S. 462 (more)
131 S. Ct. 2594; 180 L. Ed. 2d 475; 2011 U.S. LEXIS 4791; 79 U.S.L.W. 4564; Bankr. L. Rep. (CCH) ¶ 82,032; 65 Collier Bankr. Cas. 2d (MB) 827; 55 Bankr. Ct. Dec. 1; 22 Fla. L. Weekly Fed. S 1232
Case history
PriorMarshall v. Marshall (In re Marshall) 253 B.R. 550 (Bankr. C.D. Cal. 2001); affirmed in part, vacated and remanded, 264 B.R. 609 (C.D. Cal. 2000); 275 B.R. 5 (C.D. Cal. 2002); reversed and remanded with instructions 600 F.3d 1037 (9th Cir. 2010); cert. granted, 131 S. Ct. 2594 (2011)
Holding
The U.S. Bankruptcy Court lacked the constitutional authority to enter a final judgment on a state law counterclaim that is not resolved in the process of ruling on a creditor’s proof of claim, even though they are granted statutory authority under 28 U.S.C. §157 (b)2(C). Ninth Circuit Court of Appeals affirmed.
Court membership
Chief Justice
John Roberts
Associate Justices
Antonin Scalia · Anthony Kennedy
Clarence Thomas · Ruth Bader Ginsburg
Stephen Breyer · Samuel Alito
Sonia Sotomayor · Elena Kagan
Case opinions
MajorityRoberts, joined by Scalia, Kennedy, Thomas, Alito
ConcurrenceScalia
DissentBreyer, joined by Ginsburg, Sotomayor, Kagan
Laws applied
28 U.S.C. § 1331, 28 U.S.C. § 1334, 28 U.S.C. § 157

Stern v. Marshall, 564 U.S. 462 (2011), was a United States Supreme Court case in which the Court held that a bankruptcy court, as a non-Article III court (i.e. courts without full judicial independence) lacked constitutional authority under Article III of the United States Constitution to enter a final judgment on a state law counterclaim that is not resolved in the process of ruling on a creditor's proof of claim, even though Congress purported to grant such statutory authority under 28 U.S.C. § 157(b)2(C). The case drew an unusual amount of interest because the petitioner was the estate of former Playboy Playmate and celebrity Anna Nicole Smith (whose legal name was Vickie Lynn Marshall). Smith died in 2007, before the Court decided the case, which her estate lost.


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