Cuddy & Feder Obtains Expansive Discovery Rights for Bankruptcy Creditor

Cuddy & Feder’s litigation team, led by Kempshall McAndrew and working with counsel from Reich, Reich & Reich PC, successfully moved the Southern District Bankruptcy Court to compel debtors to comply with our client’s (a sole creditor) discovery demands.  Initially, and as is typical in most bankruptcy matters, the Court limited the amount and subject matter of the discovery our client could seek from debtors. The debtors, however, failed to timely comply and eventually provided deficient responses. Our litigation team aggressively advocated that the debtors’ evasive conduct warranted an expansion of discovery rights. The Court agreed and greatly expanded the scope of this discovery. Our client is now permitted not only to obtain banking and account transfer documents, but also to depose a principal from the debtors regarding this information.  The right to expanded discovery materially enhances our client’s position in the bankruptcy proceedings.