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1 Elizabeth C. Wiggins, Assessing the Judicial Workload Associated with Mega Chapter 11 Cases in the Southern District of New York 1 (1996)

handle is hein.congcourts/aswomec0001 and id is 1 raw text is: ASSESSING THE JUDICIAL WORKLOAD ASSOCIATED WITH MEGA
CHAPTER 11 CASES IN THE SOUTHERN DISTRICT OF NEW YORK
Elizabeth C. Wiggins
Federal Judicial Center
December 16, 1996
The Bankruptcy Committee considers information in addition to a district's weighted
caseload when evaluating a judgeship request, including information about mega chapter 11
cases, when appropriate. At its June 1996 meeting, the Bankruptcy Committee adopted the
protocol set out in the Appendix for obtaining and evaluating the judicial workload
associated with mega chapter 11 cases. The protocol describes information to be obtained
prior to and during a survey trip to a court with a relatively high number ofvery large
chapter 11 cases, and provides some guidance for its interpretation. Below we adjust the
weighted caseload for the Southern District of New York in accordance with the protocol.
1. DEFINITION OF MEGA CASES
The Southern District of New York uses multiple criteria for identifying mega cases for
internal management purposes, but follows a definition developed by the Administrative
Office in counting the number of mega cases for assessing the resources needed in the
clerk's office.
According to the Administrative Office, a mega case is a single case or a set of jointly
administered or consolidated cases that involve one hundred million dollars or more, and
1000 or more creditors.
For internal management purposes in the Southern District of New York, a mega case
is a single case or a set of jointly administered or consolidated cases that meets some or
all of the following criteria:
* 100 million dollars or more in assets;
* 1000 or more entities that must be noticed;
*  the type of entities to be noticed imposes burdens on the clerk's office and judges;
and
*  high degree of public interest in the case.
The last two criteria are related to a host of others, e.g., sophistication of the creditors,
type and reputation of debtor, amount and type of pre-filing litigation, and presence of
non-bankruptcy issues such as environmental and employment issues.
According to the court, the level of assets, although certainly a relevant factor, should
not be determinative in the effort to differentiate mega cases from regular chapter 11 cases.
Cases in the $50 million to $99 million range often involve thousands of creditors and
sometimes media attention, two factors that can converge to greatly expand the judicial time
necessary to administer the case. Moreover, transnational cases, which may or may not
meet the Administrative Office's definition of mega, may consume high amounts ofjudicial
time because of the need for cross-border cooperation, or if there is none, the jurisdictional
battles that ensue.
Cases identified by the court as mega for internal management purposes are generally
handled by a special staff in the court's mega case room and are docketed using a separate

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