07/09/2009
The Ninth Circuit Holds That the Bankruptcy Court Has Inherent Authority to Suspend a Lawyer
In the Matter of Lehtinen, 564 F.3d 1052 (9th Cir 2009)
Brief Summary
The United States Court of Appeals for the Ninth Circuit affirmed an order of the Ninth Circuit Bankruptcy Appeals Panel that would permit the U.S. Bankruptcy Court to suspend a lawyer from practice in that court. In a case of first impression in the Ninth Circuit, the court of appeals concluded that the Bankruptcy Court possesses the inherent authority to suspend and sanction a lawyer for acting in bad faith and with willful misconduct, although its authority should be exercised with restraint.
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