Ownership as a Basis for Summary Jurisdiction in Chapter XI Arrangements

Noting the importance of determining whether a bankruptcy court has summary jurisdiction, the authors point out that, absent consent, the factors necessary to make this determination are uncertain. This paper examines the controversy as to whether possession of disputed property by the debtor is the only sufficient basis to give summary jurisdiction or whether ownership, apart from possession, will also suffice. The authors examine the commentators-Collier and Remington-as well as the case law and pending legislation on the issue. In conclusion, they recommend the adoption of a "substantial proprietary interest" test as a standard for summary jurisdiction.