Patrick A. Casey, PA v. Joel S. Hochman, MD

963 F.2d 1347 (1992)

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Patrick A. Casey, PA v. Joel S. Hochman, MD

United States Court of Appeals for the Tenth Circuit
963 F.2d 1347 (1992)

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Facts

Joel S. Hochman, MD (defendant) and his wife filed for Chapter 11 bankruptcy in 1982. In 1984, after motions by some of Hochman’s creditors, the bankruptcy court converted the proceeding to a Chapter 7 bankruptcy case. In 1983, while the Chapter 11 case was proceeding, Hochman invented a medical device and filed a patent application. In 1984, Hochman entered into two licensing agreements relating to his device, giving the licensees the right to license, manufacture, use, sell, and commercialize the device for an initial license fee, plus ongoing royalties. Hochman obtained a patent in May 1985, after the bankruptcy case had transitioned to a proceeding under Chapter 7. The bankruptcy court ruled that the device, patent, and income from the licensing agreement were part of the bankruptcy estate based on the date the proceedings began under Chapter 7. Hochman appealed, arguing that only those assets in existence at the time he initially filed for bankruptcy under Chapter 11 in 1982 were part of the bankruptcy estate.

Rule of Law

Issue

Holding and Reasoning (Holloway, J.)

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