Critical Case Comment

By Henry E. Hildebrand, III, Chapter 13 Trustee for the Middle District of Tennessee (Nashville)

It is appropriate for the court to extend the scope of the automatic stay to protect wholly owned, nondebtor business entities controlled by the debtor to assist the debtor’s Chapter 13 reorganization by halting the “alter ego” litigation against them.

Konstantinou v. Manchester CP, 2017 WL 83350 (Bankr. D. Vt. January 6, 2017) (Brown)

Case Summary

Manchester CP had initiated a lawsuit against Mr. Konstantinou and several companies that he owned for breach of a commercial lease. Mr. Konstantinou had . . .

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