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Supreme Court Again Skips Review of Bankruptcy Appeal Roadblock

Jan. 10, 2022, 2:38 PM

The U.S. Supreme Court turned down another request to examine “equitable mootness,” a judge-made doctrine that blocked a group of condominium owners from appealing the approval of their property manager’s bankruptcy plan.

The justices’ decision Monday not to grant the condo owners’ petition marks the fourth time this term that the high court declined to review the legal tool.

The equitable mootness doctrine reasons that undoing an approved restructuring plan would be difficult and unfair to the debtor and creditors once the plan goes into effect and repayments begin to flow.

A growing number of critics contend the doctrine has ...