Cases & Deals

Pittsburgh Interior Systems resolves debtor's challenge to secured status of judgment lien and settles adversary proceeding

Clients Pittsburgh Interior Systems, Inc.

Jones Day successfully represented Pittsburgh Interior Systems, Inc. ("Pittsburgh Interior") as a judgment creditor. Prior to the debtor filing for bankruptcy under chapter 11 of the Bankruptcy Code, Pittsburgh Interior had obtained a state court judgment against the debtor pursuant to The Pennsylvania Contractor and Subcontractor Payment Act. The debtor challenged Pittsburgh Interior's claim against the debtor's estate and the secured status of the judgment lien. The debtor also filed an adversary proceeding against Pittsburgh Interior seeking to avoid the judgment lien and recoup the limited payments that had been made on the judgment lien prior to the debtor filing bankruptcy. Prior to an evidentiary hearing, we negotiated a settlement under which the adversary proceeding was dismissed and the debtor agreed to pay Pittsburgh Interior out of future earnings.

In re Monroeville Tavern Company, Inc., No. 13-20307 (Bankr. W.D. Pa.); Monroeville Tavern Company, Inc. v. Business Financial Services, Inc., Adversary No. 13-2366 (Bankr. W.D. Pa.)

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