Subscribe to our newsletter to receive more information and regular updates, click here to subscribe

Home New Cases Broadband Properties Sues Ally Finance Corporation For Avoidance of Lien

Broadband Properties Sues Ally Finance Corporation For Avoidance of Lien

2
0

October 20, 2021, Western District of Tennessee – Plaintiff Debtor Broadband Properties, LLC brings an action against Defendant Ally Finance Corporation for the avoidance of lien and to seek a temporary restraining order and a temporary injunction enjoining Ally from attempting to vote Plaintiff’s membership interest in Rural Connect, LLC pending resolution of the adversary proceeding.

Specifically, Plaintiff argues that Ally did not hold a perfected security interest in any collateral covered by either an assignment, pledge, and security agreement between the parties as of the Debtor’s petition date. Plaintiff urges the Court to enter a judgment holding that Ally foreclosed on Plaintiff’s membership interest in Rural Connect, LLC and that such foreclosure constituted a transfer of an interest of the Debtor, which is avoidable according to 11 USC § 547. Plaintiff argues that the alleged transfer and any lien created by such transfer is preserved for the benefit of the estate according to 11 USC § 551. Thus, Plaintiff requests the Court to enter a judgment holding that any lien of Defendant on Plaintiff’s membership interest is unenforceable and subordinate to the Debtor’s rights according to 11 USC § 544.

(2)

Jones & Associates

Course Registration Form

Enter your email and press subscribe

Enter your email and press subscribe