Whirlpool Corporation v. HHGreg, Inc. (In re HHGregg, Inc.)

(Bankr. S.D. Ind. Dec. 4, 2017)

The bankruptcy court grants the motion to dismiss, finding the defendant’s security interest in the debtor’s assets, including its inventory, has priority over the plaintiff’s reclamation rights. The plaintiff sold goods to the debtor up to the petition date and sought either return of the goods delivered within the reclamation period or recovery of the proceeds from the sale of such goods. Pursuant to 11 U.S.C. § 546(c), the Court finds the reclamation rights are subordinate and the complaint should be dismissed. Opinion below.

Judge: Jeffrey J. Graham

Attorneys for Plaintiff: Warner Norcross & Judd LLP, Robert Michael Azzi, Stephen B. Grow, Janet L. Ramsey; Rubin & Levin, P.C., Joshua W. Casselman, James E. Rossow, Jr.

Attorneys for Defendants: Ice Miller LLP, Adam Arceneaux, Sarah Lynn Fowler, Jeffrey A. Hokanson; Morgan Lewis & Bockius LLP, Andrew Joseph Gallo, Neil E. Herman; Choate Hall & Stewart LLP, Mark D. Cahill, Sean Monahan, John Ventola; Faegre Baker Daniels LLP, Terry E. Hall, Jay Jaffe; DLA Piper LLP, David E. Avraham, Stuart M. Brown, Jeffrey Scott Torosian

2017-12-04 – in re hhgregg

Author: Matt Lindblom

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