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In re S & R Construction Co. (Case No. 09-70710) 04/13/09

Shareholder in the Debtor filed a motion for Rule 2004 Examination. Debtor’s counsel contends that the motion was premature because it was filed the same day as the petition was filed. The Court held that such examinations may not be appropriate in chapter 7 liquidations of corporate entities in which there is no issue of the debtor’s discharge, when the desire to conduct them stems from motivations other than benefit to the estate, and when the possibility that they will provide additional valuable information appears slight and is outweighed by the burden they may impose upon the Debtor and/or other parties in interest.

Date: 
Monday, April 13, 2009
Category: 
Rule 2004 Examination
Chapter: 
7