Cuzco Development U.S.A., LLC v. JCCHO Hawaii, LLC (In re Cuzco Development U.S.A., LLC)

MEMORANDUM OF DECISION ON MOTION FOR SUMMARY JUDGMENT

Robert J. Faris, United States Bankruptcy Judge

Cuzco Development U.S.A, LLC (“Cuzco”) has filed a motion for summary judgment that presents the question whether a chapter 11 debtor in possession may avoid a lease that was not filed in the Land Court. The lessee, JCCHO Hawaii, LLC (“JCCHO”), acknowledges that the lease was not filed, but claims that a notice of pendency of action filed by a mortgagee in a foreclosure action protects its interest. For the reasons that follow, I will grant Cuzco’s motion.

I. FACTS

Cuzco’s primary asset is a 3.5…