Skolnick v. Atlantic Gulf Communities Corp. (In Re General Development Corp.)

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• ruling that a debtor-in-possession becomes vested with the exclusive authority to pursue derivative suits upon a debtor’s filing bankruptcy
• including within the bankruptcy estate “any right of action the debtor corporation may have to recover damages for misconduct, mismanagement or neglect of duty by a corporate officer or director. The trustee in bankruptcy succeeds to that right”
• “To the extent the Appellants believe that GDC has not litigated the derivative claims because its counsel suffers from a conflict of interest . . . [the] Appellants should have petitioned the bankruptcy court pursuant to section 554(b) and Rule 6007(b
• derivative action brought prior to filing of petition

Source: CourtListener parenthetical corpus (CC0).