Subject: PCA: Judge Denies Motion to Compel Arbitration
From: [email-masked]
To: [email-masked]
Cc: [email-masked], [email-masked]
Date: Tue, 12 Dec 2000 07:38:00 -0800 (PST)

As feared, the judge denied our motion to compel arbitration.  Liz said the
judge had read all the pleadings and the cases, and he seemed prepared to
rule before argument.  After listening to argument, the judge denied the
motion to compel arbitration because

--  12 other adversaries are pending dealing with similar issues
--  arbitration would interfere with efficient administration of the estate
--  a Discovery Mediator has been appointed to supervise cases
--  not convinced claims I and II are non-core proceedings
--  2 counts of the complaint would be left with him in any event
--  he has discretion.

Interestingly, from the bench, he did not rule that Claims I and II are
core matters, he simply stated that he was not convinced they were
non-core.  We have a right to an immediate appeal.  There are definitely
pros and cons to it.  I'd be happy to discuss them with you in person or do
an email for your consideration.  Let me know which way you'd like the
analysis.

We have only 10 days from the entry of the order to file a notice of
appeal.  I'm not certain whether the order denying the arbitration was
entered today, but if not, it probably will be entered tomorrow.   For
planning purposes, let's assume that our notice of appeal has to be filed
on December 22, which is next Friday.

Wish the results had gone the other way, but it's not over yet!

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