Order Denying Motion for Entry of Order Tolling the Statute of Limitations. The Liquidation Trustee moved for entry of an order extending by 120 days the statutory deadline to file chapter 5 causes of action against certain of the Debtors’ healthcare providers. The Liquidation Trustee requested to equitably toll the pertinent limitations periods under 11 U.S.C. §§ 108 and 546 and extend the filing deadlines to allow additional time to commence avoidance actions. The Bankruptcy Administrator objected, alleging that the requested extension was not supported by the Federal Rules of Bankruptcy Procedure and that any equitable tolling of the pertinent statutes of limitations would be premature as no adversary proceedings had yet been filed.
     The Court denied the Liquidation Trustee’s motion, first finding that Federal Rule of Bankruptcy Procedure 9006(b) may not be used to extend statutory deadlines such as those established under §§ 108 and 546. While acknowledging that the limitations periods contained in those sections are subject to equitable tolling, the Court found that the preemptive finding the Liquidation Trustee sought was premature given there were no identified defendants and no adversary proceedings filed. Given that procedural posture, the Court found a trustee “cannot win the argument of whether equitable tolling applies in advance and without notice and opportunity for the defendant to resist application of the doctrine.” In re Cramer, 636 B.R. 830 (Bankr. C.D. Cal. 2022). The Court denied the motion without prejudice and without making findings on the applicability of equitable tolling.