The creditor’s line belonged to the Bankruptcy Court, 3rd Circ. Said

By Jeannie O’Sullivan (March 23, 2022, 4:10 p.m. EDT) — A Mitsubishi finance arm on Wednesday urged the Third Circuit to overturn a $1.5 million judgment awarded to a finance company co-creditor in bankruptcy, arguing the matter should have been filed in the same place as the company’s Chapter 11 case.

During oral argument, an attorney for Hitachi Capital America Corp. said the New Jersey federal district court never had jurisdiction over co-creditor CoFund II LLC’s lawsuit stemming from the parties’ agreement setting out the relative priority of their collateral interests in the bankrupt company. .

There was a substantial “overlap” of issues in the breach lawsuit of CoFund and one of the creditors…

Stay one step ahead

In the legal profession, information is the key to success. You need to know what’s going on with customers, competitors, practice areas and industries. Law360 provides the intelligence you need to stay an expert and beat the competition.

  • Access to case data in articles (numbers, filings, courts, nature of lawsuits, etc.)
  • Access to attached documents such as briefs, motions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and more!



Comments are closed.