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Michigan Tractor v. Red Top Rentals Inc. (In re Red Top Rentals Inc.)

Michigan Tractor v. Red Top Rentals Inc. (In re Red Top Rentals Inc.)

Ruling
Removal of creditor's prepetition action by guarantor, debtor's president, was proper.
Procedural posture

Creditor brought a pre-petition suit in state court against defendants, the debtor and its guarantor, who had executed a guaranty of the debtor's obligations to the creditor securing financed equipment as collateral. The defendants removed the case after filing the chapter 11 petition under 28 U.S.C.S. § 1452. The issue was whether the president's removal was timely under the 90 day term of Fed. R. Bankr. P. 9027(a)(2).

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Commercial opinion summary, case decided on January 11, 2010 , LexisNexis #0410-064