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IN RE KAISER STEEL CORP.

Civ. A. Nos. 89-K-635, 89-K-837, Bankruptcy No. 87 B 1552 E.

110 B.R. 20 (1990)

In re KAISER STEEL CORP., et al., Debtors. KAISER STEEL CORP., et al., Plaintiffs, v. Joseph A. FRATES, et al., Defendants. KAISER STEEL CORP., et al., Plaintiffs, v. Monty RIAL, et al., Defendants.

United States District Court, D. Colorado.

January 16, 1990.

Attorney(s) appearing for the Case

H. Thomas Coghill, David J. Richman, Coghill & Goodspeed, Denver, Colo., James P. McCarthy, Lindquist & Vennum, Minneapolis, Minn., for Kaiser Steel Corp.

Jeffrie L. Beattie, Denver, Colo.

Julia T. Waggener, Denver, Colo.

Paul F. Hultin, Parcel, Mauro, Hultin & Spaanstra, Denver, Colo., for Joseph A. Frates, Charles S. Holmes, Robert E. Merrick & Stan P. Doyle and Perma-Frates Joint Venture.

Douglas M. Schwab, Heller, Ehrman, White & McAuliffe, San Francisco, Cal., Darrell Waas, Otten, Johnson, Robinson, Ness & Ragonetti, Denver, Colo., for Richard N. Gary and Stephen A. Girard.

I. Thomas Bieging, Morrato, Bieging, Burris & Colantuno, Englewood, Colo., for Miles B. Yeagley.

Douglas M. Tisdale, Brownstein, Hyatt, Farber & Madden, Denver, Colo., Frank S. Mosley, Davis, Polk & Wardwell, New York City, Jerome G. Snider, Davis, Polk & Wardwell, Washington, D.C., for Donaldson, Lufkin & Jenrette.

Joseph Giroir, Little Rock, Ark.

Todd E. Gordinier, Paul, Hastings, Janofsky & Walker, Los Angeles, Cal., William G. Imig, Ireland, Stapleton, Pryor & Pascoe, Denver, Colo., for Dean Witter.

Theresa J. Collier, Holland & Hart, Denver, Colo., for Clifford V. Brokaw, III.

Richard P. Slivka, David L. Dain, Vinton, Slivka & Panasci, Denver, Colo., for Charles S. McNeil, Monty H. Rial and Perma-Frates Joint Venture.

Robert E. Darby, Reavis & McGrath, Los Angeles, Cal., and Ronald G. Rossi, Rossi, & Judd, Denver, Colo., for William R. Gould and Howard P. Allen.

Joseph M. Mole, Simon Harter, New Orleans, La.

William D. Treeby, Barry W. Ashe, Stone, Pigman, Walther, Wittmann & Hutchinson, New Orleans, La., and William H. Haring, Bostrom, Haring & Hitt, Denver, Colo., for Lloyd G. Hansen.

Robert M. Duitch, Duitch & Johnson, Colorado Springs, Colo.

J. Michael Morgan, Lohf, Shaiman & Ross, Denver, Colo.

Alan L. Bugg, Colorado Springs, Colo., for Calder & Co., et al., and Perma Pacific Properties.

Thomas English, English, Jones & Faulkner, Tulsa, Okl., Morton G. Rosen, Haight, Brown & Bonesteel, Santa Monica, Cal., John D. Phillips, Hall & Evans, Denver, Colo., for Charles H. Black.

MEMORANDUM OPINION AND ORDER

KANE, Senior District Judge.

The issue in this appeal is whether the bankruptcy court erred in severing the counterclaims of the Perma Group, the Frates Group and the Perma Frates Joint Venture (PFJV) in Kaiser Steel Corp. v. Frates, No. 87-E-135 (Bankr.D.Colo. Feb. 26, 1987) and Kaiser Steel Corp. v. Rial, No. 87-E-437 (Bankr.D.Colo. Jan. 15, 1987). The bankruptcy court...

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