On May 26, 2015, in Wellness International Network Ltd. v. Sharif, No. 13-935, 575 U.S. __ (2015) (the “Opinion”), the Supreme Court of the United States clarified bankruptcy courts’ ability to hear and decide issues related to bankruptcy cases, holding that (1) bankruptcy courts possess constitutional authority to adjudicate matters with the parties’ consent; and (2) such consent may be express or implied, so long as it is knowing and voluntary.
The Opinion aids bankruptcy courts and litigators by clarifying the scope of bankruptcy courts’ authority following Stern v. Marshall, 131 S. Ct. 2594 (2011), and Exec. Benefits Ins. Agency v. Arkison, 134 S. Ct. 2165 (2014), and by affirming bankruptcy courts’ ability to decide matters with the parties’ consent, acknowledged the key role that bankruptcy judges play in the administration of the federal courts.
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