IN RE SUCCESSOR BORROWER SERVICES, LLC

Bankruptcy No. 09-13505 B. Adversary No. 10-1115 B.

489 B.R. 336 (2013)

In re SUCCESSOR BORROWER SERVICES, LLC, Debtor. Marianne T. O'Toole, as Chapter 11 Trustee of Successor Borrower Services, LLC, Plaintiff v. Moscone, Emblidge & Quadra, LLP, Defendant.

United States Bankruptcy Court, W.D. New York.

March 19, 2013.


Attorney(s) appearing for the Case

SilvermanAcampora LLP, Lon J. Seidman, Esq. , of counsel, Jerricho, NY, for Plaintiff Marianne T. O'Toole Chapter 11 Trustee.

Pinnacle Law Group LLP, Matthew J. Shier, Esq. , of counsel, Kevin F. Rooney, Esq. , of counsel, San Francisco, CA, for Defendant Moscone, Emblidge & Quadra, LLP.


DECISION & ORDER

CARL L. BUCKI, Bankruptcy Judge.

In this Chapter 11 case, the trustee commenced an adversary proceeding to avoid a lien that the debtor had given to secure payment of legal fees that would arise in the defense of ongoing litigation in state court. A resolution of the present dispute requires that we examine the circumstances under which a security interest for legal fees will constitute a fraudulent conveyance. Further, we must...

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