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IN RE MARSHLAND DEVELOPMENT, INC.

Bankruptcy Nos. 590-01570-JRG, 590-01571-JRG, Adv. Nos. 900222, 900223.

129 B.R. 626 (1991)

In re MARSHLAND DEVELOPMENT, INC., and David B. Hoxie, Debtors. LESLIE SALT COMPANY, Plaintiff, v. MARSHLAND DEVELOPMENT, INC., David Hoxie, and Does 1 through 20, Defendants.

United States Bankruptcy Court, N.D. California.

July 15, 1991.

Attorney(s) appearing for the Case

Ernest Robles, San Jose, Cal., U.S. Trustee.

Heinz Binder, Binder & Malter, Kenneth C. Bryant, Little & Bryant, San Jose, Cal., for debtors.

Bryan J. Wilson, Morrison & Foerster, Palo Alto, Cal., Adam A. Lewis, Morrison & Foerster, San Francisco, Cal., for plaintiff.

OPINION

JAMES R. GRUBE, Bankruptcy Judge.

I. INTRODUCTION.

Plaintiff Leslie Salt Company ("Plaintiff") filed a complaint against Defendants Marshland Development, Inc. and David B. Hoxie ("Defendants") in state court on August 22, 1988, seeking $4,280,000.00 for environmental damage to Plaintiff's real property. Defendants filed their Chapter 11 petitions on April 5, 1990, eighteen days before the state court case was scheduled to go to trial. Defendants...

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