Homestead Holdings, Inc. v. Wellington (In Re PTI Holding Corp.)

Amended Opinion on Motion for Preliminary Injunction

BRUCE A. MARKELL, Bankruptcy Judge.

I. Introduction

In 2004, brothers Steven and David Greenstein acquired control of Homestead Holdings, Inc., the debtor and debtor in possession in this case. As part of that acquisition, Homestead bought assets from the defendant, Broome & Wellington. The Greensteins guaranteed the deferred portion of the price paid for the assets.

Soon after Homestead filed its chapter 11 case in March 2006, Broome and Wellington filed a proof of claim in an amount just slightly in excess of $7 million in Homestead’s ease.…