Does the bankruptcy court abuse its discretion when it fails to identify and apply the correct legal rule to the relief requested?

federal, United States of America

The following excerpt is from Paulson v. Go Global, Inc. (In re Go Global, Inc.), Adv. No. 10-01334-BAM, BAP No. NV-12-1596-JuKiKu, Bk. No. 10- 14456-BAM, Bk. No. 10-14804-BAM, Bk. No. 11- 27226-BAM (B.A.P. 9th Cir. 2014):

The bankruptcy court abuses its discretion when it fails to identify and apply "the correct legal rule to the relief requested," United States v. Hinkson, 585 F.3d 1247, 1263 (9th Cir. 2009) (en banc), or if its application of the correct legal standard was "(1) 'illogical,' (2) 'implausible,' or (3) without 'support in inferences that may be drawn from the facts in the record,'" id. at 1262.

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