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8737319.1
C. Order Approving Sale
On December 3, 2025, the Virginia Circuit Court entered an Order Approving Amended
Motion For Authorization For Receiver To Sell Property And Granting Motion Seeking
Authority To Dispose Of Former Tenants’ Personal Property (“Order Approving Sale”).
LEGAL ARGUMENT
A. FourLeaf And The Receiver Should Be Excused From The Provisions Of 11
U.S.C. §543(a) And (b) Under The Rooker-Feldman Doctrine And The Doctrines Of Res
Judicata, Collateral Estoppel And Comity
Debtor’s bankruptcy petition, the Goldwasser Declaration and Debtor’s stated objective to
re-market the Property for sale together constitute a collateral attack on the Order Approving
Sale which is not permitted under the Rooker-Feldman doctrine. See Rooker v. Fidelity Trust
Co., 263 U.S. 413, 414–415, 44 S.Ct. 149, 68 L.Ed. 362 (1923); D.C. Court of Appeals v.
Feldman, 460 U.S. 462, 476, 103 S.Ct. 1303, 75 L.Ed.2d 206 (1983). In effect, that doctrine
prevents lower federal courts from reviewing orders and decisions issued by state courts if, in
doing so, that review would result in a reversal or modification of that state court order or
decision. In McKitchen v. Brown, the Second Circuit identified four elements that must be
satisfied in order for Rooker-Feldman to apply:
First, the federal court plaintiff must have lost in state court.
Case 25-23251-MEH Doc 18-20 Filed 12/22/25 Entered 12/22/25 20:08:18 Desc
Memorandum of Law Page 8 of 20
ANN public copy | complete ECF 18-20 | combined source PDF 463/478
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