IN RE HOME HEALTH CORP. OF AMERICA, INC.

Bankruptcy Nos. 99-347 (MFW), 99-381(MFW). Adversary No. A-00-9 (MFW).

267 B.R. 687 (2001)

In re HOME HEALTH CORPORATION OF AMERICA, INC., et al., Debtors. HHCA Texas Health Services, L.P., Plaintiff, First Union National Bank, as Agent for the Secured Lenders for, Home Health Corporation of America, Inc., and its Affiliates, Third-Party Plaintiff, v. LHS Holdings, Inc.; Liberty Health Services, Inc.; Nurses Today M/C, Inc. and Mark H. O'Brien, Defendants.

United States Bankruptcy Court, D. Delaware.

October 4, 2001.


Attorney(s) appearing for the Case

Barry D. Kleban, Gary D. Bressler, Alan I. Moldoff, Adelman, Lavine, Gold & Levin, PC, Philadelphia, PA, for debtors/plaintiffs.

Charlene D. Davis, The Bayard Firm, Wilmington, DE, for debtors/plaintiffs.

Claudia Z. Springer, William K. Harrington, Duane, Morris & Heckscher, LLP, Philadelphia, PA, for third-party plaintiffs.

Michael R. Lastowski, Duane Morris & Heckscher, LLP, Wilmington, DE, for third-party plaintiffs.

Karen Lee Turner, Eckert Seamans Cherin & Mellott, LLC, Philadelphia, PA, for defendants.

Thomas S. Neuberger, Thomas S. Neuberger, P.A., Wilmington, DE, for defendants.

Neal D. Colton, Cozen & O'Connor, The Atrium, Philadelphia, PA, for the official committee of unsecured creditors.


OPINION1

MARY F. WALRATH, Bankruptcy Judge.

Before the Court is the Defendants' Motion to Dismiss the Amended Third Party Complaint filed by First Union National Bank ("First Union"). For the reasons set forth below, we deny the Motion to Dismiss.

I. FACTUAL AND PROCEDURAL BACKGROUND2

On February 18, 1999, Home Health Care of America ("HHCA") and its affiliates...

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