Rivet v. Regions Bank of Louisiana
United States Supreme Court
522 U.S. 470 (1998)
- Written by Heather Whittemore, JD
Facts
A partnership mortgaged its interest in a leasehold estate (the property) to Regions Bank of Louisiana (Regions) (defendant). Later, the partnership gave a second mortgage in the property to Rivet (plaintiff). The partnership filed for bankruptcy, and the bankruptcy court sold the property to Regions. Regions sold the property to a third party. Rivet filed a lawsuit in Louisiana state court alleging that the sale of the property violated state law because Rivet’s rights in the property had not been satisfied. Regions removed the suit to federal court. Regions argued that federal-question jurisdiction existed because Rivet’s claim was precluded by the bankruptcy court’s prior order, and that Rivet’s rights in the property had been terminated. Rivet filed a motion to remand the case to state court. The federal district court denied Rivet’s motion and granted summary judgment in favor of Regions. The United States Court of Appeals for the Fifth Circuit affirmed the district court. Rivet appealed.
Rule of Law
Issue
Holding and Reasoning (Ginsburg, J.)
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