Litigation is often interrupted when one of the parties – usually the party expecting to lose the case – files a bankruptcy petition. If the new debtor does not remove the litigation to the Bankruptcy Court, non-debtor counsel is faced with leaving the case in limbo, petitioning the Bankruptcy Court to lift the “automatic stay” to continue the litigation in state court, or removing the case to the Bankruptcy Court entirely.
David Richardson, senior counsel with SulmeyerKupetz, presented a complimentary CLE-accredited webinar, “When Bankruptcy Interrupts Litigation: Why Removal to Bankruptcy Court Might Be Your Best Strategy” on Tuesday, August 25. Mr. Richardson discussed the pros and cons of removing a case to the Bankruptcy Court, as well as jury trial waivers, timing for removal, and out-of-state witness issues.
