2009 Supreme Court term

WILLIAM G. SCHWAB v. NADEJDA REILLY.

Dockets 08-538Argued
AI-generated independent summary

This educational guide is based on the linked primary sources. It is not a Court publication, is not affiliated with the Court, and is not legal advice.

In brief

Overview

According to Petitioner (Craig G. Goldblatt), the case concerns a bankruptcy exemption claim for $10,718 of kitchen equipment claimed by the debtor.

According to Petitioner (Craig G. Goldblatt), the petitioner argues the exemption claim is proper and that the trustee did not object.

According to Mr. Brunstad, the respondent contends that trustees may object to valuation and must follow procedural rules.

Background and question before the Court

According to Petitioner (Craig G. Goldblatt), the debtor listed a $10,718 exempt interest in her kitchen equipment on Schedule C of the bankruptcy filing.

According to Petitioner (Craig G. Goldblatt), the trustee did not object to the exemption claim because it was deemed unobjectionable.

According to Mr. Brunstad, the Court must determine whether the exemption claim is valid given the valuation and whether the trustee may raise an objection.

What each side argues

Petitioner Position

According to Petitioner (Craig G. Goldblatt), the exemption claim for the kitchen equipment is fully proper.

According to Petitioner (Craig G. Goldblatt), schedule C’s third column shows the exempt interest amount.

According to Petitioner (Craig G. Goldblatt), the trustee did not object because the claim was unobjectionable.

Respondent Position

According to Mr. Brunstad, trustees may object to valuation if they have a good‑faith reason.

According to Mr. Brunstad, if the trustee objects, the objection must be based on valuation and presented at the creditors’ meeting.

According to Goldblatt, the deadline for liquidation work does not apply to the exemption claim.

What happened at oral argument

Justice Scalia asked whether the debtor indicated a 100 percent interest in the equipment in column 3.

According to Justice Sotomayor, justice Sotomayor inquired whether similar rules have been applied in the Sixth and Third Circuits.

According to Justice Kennedy, justice Kennedy questioned whether trustees have time to hold creditors’ meetings for every asset.

Justice Kennedy later asked about the ambiguity of the form and how it should be interpreted.

Chief Justice Roberts asked where to find information on extending the deadline.

What the Court decided

Pending This section will be added when the relevant Court material is available.

Why it matters

Source-limited The available primary sources do not support a complete explanation yet.

Terms to know

No glossary terms are available for this guide.

Primary sources

Read the source materials on the official site or open the immutable repository copy used for this guide.

  • 615698aa953fb6bcfe77-r1-5f4fc8985c68b766.pdforal argument transcript

Guide generated September 23, 2026. Automated validation accepted this version.