Case No. 02-13533 (AJG), (Jointly Administered)United States Bankruptcy Court, S.D. New York.
January 10, 2003.
ORDER RESOLVING MOTION OF INTELNET INTERNATIONAL CORPORATION FOR RELIEF FROM THE AUTOMATIC STAY
ARTHUR J. GONZALEZ, United States Bankruptcy Judge
Upon consideration of the motion, dated October 15, 2002, of Intelnet International Corporation, Associated Business Telephone Systems Corporation, Dominic A. Dalia, and Michael Dalia (collectively, “Movants”) for Relief from the Automatic Stay (the “Motion”), the objection thereto filed by the Debtors, the joinder in the Debtors’ objection filed by the Official Committee of Unsecured Creditors, the Movants’ reply to the Debtors’ objection, the joinder in the Motion filed by The Zeron Group, Inc., and the argument of counsel at a hearing on the Motion held on December 3, 2002, and for the reasons stated on the record on December 17, 2002, it is hereby
ORDERED that the Motion is granted in part as set forth herein; and it is further
ORDERED that the automatic stay arising in these chapter 11 cases, pursuant to section 362(a) of title 11, United States Code, is modified to permit the Movants to litigate their counterclaims against the Debtors in the action captioned WorldCom Technologies, Inc. v. Intelnet International Corp., No. 00-CV-2284 (E.D. Pa) (the “Pennsylvania Action”); and it is further
ORDERED that the automatic stay arising in these chapter 11 cases, pursuant to section 362(a) of title 11, United States Code, is modified to permit all parties to litigate their claims against the Debtors in the three actions consolidated before the New Jersey Superior Court under the caption INNtraport International, Inc. v. WorldCom Technologies, Inc., No. L-2400-99 (N.J.Super.Ct., Camden Cty.) (the “New Jersey Action”); and it is further
ORDERED that the automatic stay is modified solely to permit all parties that previously asserted claims against the Debtors in the Pennsylvania Action and the New Jersey Action to liquidate the amount of such claims; and it is further
ORDERED that nothing herein shall authorize any party to the Pennsylvania Action or the New Jersey Action to enforce any judgments that may be awarded on their claims against the Debtors, or to exercise any rights of setoff as to such claims, without further order of this Court; and it is further
ORDERED that, in all respects not covered by this Order, the Motion is denied.