Crosby & Higgins LLP has successfully defeated a motion to settle and approve the final account of the assignee on behalf of its client, Empire Resources, Inc., in an assignment proceeding pending in Westchester County Supreme Court, Commercial Division. Crosby & Higgins LLP was retained to secure a judgment arising from assignor’s failure to complete the development of software for the client. In an attempt to avoid the sale of valuable intellectual property in satisfaction of that judgment, assignor commenced insolvency proceedings. Crosby & Higgins LLP vigorously opposed assignee’s numerous requests for court approval to wind down the estate and transfer the intellectual property back to assignor. The court agreed, holding that the “stated purpose of the Assignment was for the Assignee to take possession of TradePaq’s property and to convert it into money in order to distribute it among the creditors. Accordingly, the Assignee’s motion for a final accounting is denied, as the Court is not persuaded that TradePaq’s estate is ready to be closed.” Following this, Crosby & Higgins LLP moved to compel the sale of the remaining intellectual property assets. In granting the motion, Hon. Orazio Bellantoni agreed, holding that “Empire’s motion is granted to the extent that the Assignee is directed to expeditiously reduce to money the property of TradePaq in accordance with his duty under Section 14 of the Debtor and Creditor Law by selling the assets at public auction, after making an appraisal if deemed appropriate, or under Section 19 of the Debtor Creditor Law by selling the assets at private sale, after successful application to the Court.” The case is In the Matter of the General Assignment for the Benefit of Creditors of TradePaq TRM LLC to Douglas J. Pick, Index No.: 53713/14 and is presently pending approval of the public auction by the court.

Leave a Reply