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IN RE MORTGAGES LTD.

Nos. 12-15234, 12-15459.

771 F.3d 1211 (2014)

In the Matter of MORTGAGES LTD., Debtor, Rev Op Group; Sternberg Enterprises Profit Sharing Plan, Appellants, v. ML Manager LLC, Appellee. Rev Op Group, Appellant, v. ML Manager LLC, Appellee.

United States Court of Appeals, Ninth Circuit.

Filed November 12, 2014.

Attorney(s) appearing for the Case

Bryce A. Suzuki (argued), Robert J. Miller , and Justin A. Sabin , Bryan Cave LLP, Phoenix, AZ, for Appellants.

Cathy L. Reece (argued), Fennemore Craig, P.C., Phoenix, AZ; Keith L. Hendricks and Joshua T. Greer , Moyes Sellers & Hendricks, Phoenix, AZ, for Appellee.

Before: J. CLIFFORD WALLACE and JAY S. BYBEE, Circuit Judges, and ROBERT W. GETTLEMAN, Senior District Judge.

OPINION

WALLACE, Senior Circuit Judge:

Mortgages Ltd. was a private lender for certain real estate investments in Arizona. Mortgages Ltd. raised money from investors to extend loans to real estate purchasers, secured by the purchased real estate, and acted as servicing agent for the loans and properties. The investors received "pass-through" fractional interests in the real estate that secured the loans and the resulting loan payments. The pass-through investors...

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