In re Croatan Surf Club LLC

Creditors secured by a bankruptcy debtor's condominium building entered into an agreement which subordinated a second lien creditor's security interest to a first lien creditor's interest, and provided that the first lien creditor could vote the subordinate debt in the event of the debtor's bankruptcy. Both the first and second lien creditors voted the subordinate debt, and the first lien creditor moved for authority to vote the subordinate debt.