United States District Court, D. Colorado
In re: LU ANN RATZLAFF CRAIG, Debtor. DOUGLAS E. LARSON, Chapter 7 Trustee, Plaintiff-Appellee,
SWIFT ROCK FINANCIAL, INC., d/b/a WORLD LAW GROUP, d/b/a WORLD LAW DEBT; ORION PROCESSING, LLC, d/b/a WORLD LAW PROCESSING, Defendants, GLOBAL CLIENT SOLUTIONS, LLC, Defendant-Appellant Bankruptcy No. 14-14536-SBB - Chapter 7) Adversary No. 14-01507-SBB
December 9, 2015.
Global Client Solutions, LLC, Appellant: Richard Wayne
Epstein, LEAD ATTORNEY, John H. Pelzer, Greenspoon Marder,
P.A., Fort Lauderdale, FL.
Douglas E. Larson, as Chapter 7 Trustee, Appellee: Lars
Johnson, LEAD ATTORNEY, Lars Johnson & Associates LLC,
AFFIRMING THE ORDER OF THE UNITED STATES BANKRUPTCY
E. Blackburn, United States District Judge.
Global Client Solutions, LLC (GCS) filed a timely appeal of
an order of the United States Bankruptcy Court for the
District of Colorado. In that order, the bankruptcy court
motion to compel arbitration filed by GCS. As the appellant,
GCS filed an opening brief [#10] the appellee, Douglas E.
Larson as the Chapter 7 Trustee in the underlying bankruptcy
case, filed a response brief [#19], and GCS filed a reply
brief [#22]. I affirm the order of the bankruptcy court.
28 U.S.C. § 1334, United States District Courts have
original jurisdiction in all civil proceedings arising in
cases under Title 11, United states Code. I have jurisdiction
to adjudicate this bankruptcy appeal under 28 U.S.C. §
STANDARD OF REVIEW
bound by the bankruptcy court's findings of fact, unless
they are clearly erroneous. FED. R. BANKR. P. 8013; In re
Branding Iron Motel, Inc., 798 F.2d 396, 399 (10th Cir.
1986). A finding of fact is clearly erroneous only if the
appellate court has the definite and firm conviction that a
mistake has been committed. United States v. United
States Gypsum Co., 333 U.S. 364, 68 S.Ct. 525, 92 L.Ed.
746 (1948). It is the responsibility of an appellate court to
accept the ultimate factual determination of the fact finder,
i.e., the bankruptcy court, unless that determination either
(1) is completely devoid of minimum evidentiary support
displaying some hue of credibility, or (2) bears no rational
relationship to the supportive evidentiary data.
Jardine's Professional Collision Repair, Inc. v.
Gamble, 232 B.R. 799, *800 (D. Utah, 1999) (citing
Gillman v. Scientific Research Prods. (In re Mama
D'Angelo, Inc.), 55 F.3d 552, 555 (10th Cir.
1995)(internal citations omitted)); In re Diviney,
225 B.R. 762, *769 (10th Cir. BAP (Okla.), 1998) (internal
citations omitted). I review de novo conclusions of
law reached by the bankruptcy court. In re Mullet,
817 F.2d 677, 678 (10th Cir. 1987).
7, 2012, the debtor, Lu Ann Ratzlaff Craig, entered into a
contract with co-defendants Swift Rock Financial, Inc. d/b/a
World Law Group, d/b/a World Law Debt (WLD) and Orion
Processing LLC, d/b/a World Law Processing (WLP). Under the
contract, WLD and WLP would provide Ms. Craig with certain
debt resolution services. On the same date, Ms. Craig entered
into a second agreement with Global Client Solutions, LLC
(Global) for dedicated account services. Ms. Craig signed a
Dedicated Account Agreement & Application (DAAA)
requesting that Global establish and maintain a Dedicated
Account in connection with her debt resolution program with
WLD. Accordingly, Global established and maintained a
Dedicated Account for Ms. Craig. In the DAAA, Ms. Craig
acknowledged and agreed that Global is not a party to her
debt resolution program and that any dispute between Global
and Ms. Craig must be resolved in arbitration.
her contract with WLD and WLP, Ms. Craig paid WLD and WLP
9,154.89 dollars in fees. Using funds deposited in her
Dedicated Account, Ms. Craig paid 4,100.00 dollars to one of
her creditors in full or partial settlement of her debt to
that creditor. Ms. Craig paid a total of 179.60 dollars in
fees to Global, including a 5.00 dollar account set up fee, a
monthly service charge of 9.45 dollars, and 1.50 dollars for
each payment by phone. On November 18, 2013, Ms. Craig
withdrew the remaining $65.51 from her Dedicated
Account before closing the account and terminating her
relationship with Global. On April 18, 2014, Ms. Craig filed
for relief under ...