IN RE OPEN MEDICINE INSTITUTE, INC.

BAP No. NC-21-1233-FBS Bk. No. 20-51678 BAP No. NC-21-1234-FBS Bk. No. 21-50203.

639 B.R. 169 (2022)

IN RE: OPEN MEDICINE INSTITUTE, INC., Debtor. Spark Factor Design, Inc.; Working Dirt R2, LLC, Appellants, v. Fred S. Hjelmeset, Chapter 7 Trustee, Appellee. In re: ANDREAS M. KOGELNIK, Debtor. Spark Factor Design, Inc.; Working Dirt R2, LLC, Appellants, v. Andreas M. Kogelnik, Appellee.

United States Bankruptcy Appellate Panel of the Ninth Circuit.

Filed May 26, 2022.


Attorney(s) appearing for the Case

Gary M. Kaplan of Farella Braun & Martel LLP, San Francisco, argued for appellants;

Gregg S. Kleiner of Rincon Law, LLP argued for appellee Fred S. Hjelmeset;

Matthew G. Kleiner of Gordon Rees Scully Mansukhani, LLP, San Diego, argued for appellee Andreas M. Kogelnik.

Before: FARIS, BRAND, and SPRAKER, Bankruptcy Judges.


OPINION

INTRODUCTION

This appeal arises out of "business divorce" litigation among Open Medicine Institute, Inc. ("OMI"), its founder and former principal, Dr. Andreas M. Kogelnik, and its current principals and creditors, Spark Factor Design, Inc. ("Spark Factor") and Working Dirt R2, LLC ("Working Dirt...

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