Issue link: https://mbozikis.ufcontent.com/i/1422521
7 B. Jurisdiction and Venue 1. Jurisdiction As part of the Bankruptcy Reform Act of 1978, Congress originally attempted to impart bankruptcy judges with jurisdictional power equivalent to that provided to Article III judges, but without granting them Article III status. In Northern Pipeline Construction Co. v. Marathon Pipe Line Co., 458 U.S. 50 (1982), the U.S. Supreme Court held this to be unconstitutional on the basis that a non-tenured judge may not decide questions of State law (enter final orders) absent consent. Thereafter, as part of the 1984 Amendments, Congress developed the current jurisdictional scheme for bankruptcy courts, in which it narrowed the scope of the bankruptcy courts' power. Although most bankruptcy matters are heard by the bankruptcy courts, it is the district courts, not the bankruptcy courts, that are granted original jurisdiction over bankruptcy matters. 28 U.S.C. § 1334(a)–(b). In particular, district courts are granted original and exclusive jurisdiction over cases under title 11 and original, but not exclusive, jurisdiction over civil proceedings arising under title 11 or arising in or related to cases under title 11. Id. As part of the grant of exclusive jurisdiction over cases under title 11, the district court in which such a case is commenced is also granted exclusive jurisdiction over "all the property, wherever located, of the debtor as of the commencement of such case, and of property of the estate." 28 U.S.C. § 1334(e)(1). This has been interpreted to extend to property located worldwide, although the practical effectiveness of such broad jurisdiction depends upon the court's ability to exercise jurisdiction over the parties. See, e.g., Hong Kong & Shanghai Banking Corp. v. Simon (In re Simon), 153 F.3d 991, 996–97 (9th Cir. 1998); LaMonica v. North of England Protecting & Indem. Ass'n (In re Probulk, Inc.), 407 B.R. 56, 61 (Bankr. S.D.N.Y. 2009). Notwithstanding the original grant of jurisdiction to the district courts, the district courts are authorized (but not required) to refer