Legal Opinion
National Westminster Bank USA v. Century Healthcare Corp.
District Court, S.D. New York
Decided May 9, 1995No. 94 Civ. 3600 (MP)PublishedCited by 7 opinions
1Opinion of the Court
DECISION
MILTON POLLACK, Senior District Judge.
OPINION and FINDINGS (in pari)
NatWest loaned Century approximately $30 Million. The loans are in default. Century seeks to avoid repayment of and to invalidate the loan on a claim of lender liability by reason of alleged domination and control exercised by the bank over the debtor during the course of the loans, making it “a mere instrumentality” of the lender.
A lender is not obligated to sit idly by and watch its financial security erode. The issue is whether a creditor may monitor the debtor’s financial situation, make suggestions intended to…
2Cases cited11 opinions
- In Re Grant CompanyCourt of Appeals for the Second Circuit · 1983
- Krivo Industrial Supply Company and Morgan Precision Parts, Inc. v. National Distillers and Chemical CorporationCourt of Appeals for the Fifth Circuit · 1973
- Anaconda-Ericsson, Inc. v. Hessen (In Re Teltronics Services, Inc.)United States Bankruptcy Court, E.D. New York · 1983
- In Re Prima Co.Court of Appeals for the Seventh Circuit · 1938
- Badger Freightways, Inc. v. Continental Illinois National Bank & Trust Co. of Chicago (In Re Badger Freightways, Inc.)United States Bankruptcy Court, N.D. Illinois · 1989
6 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Official Committee of Unsecured Creditors of Grumman Olson Industries, Inc. v. McConnell (In Re Grumman Olson Industries, Inc.)United States Bankruptcy Court, S.D. New York · 2005
- Official Committee of Unsecured Creditors v. Austin Financial Services, Inc. (In Re KDI Holdings, Inc.)United States Bankruptcy Court, S.D. New York · 1999
- Commonwealth v. Citizens Alliance for Better Neighborhoods, Inc.Commonwealth Court of Pennsylvania · 2009
- Industrial Technology Ventures LP v. Pleasant T. Rowland Revocable TrustDistrict Court, W.D. New York · 2010
- WorldClass Processing, Inc. v. AT & T Capital Corp. (In re WorldClass Processing, Inc.)United States Bankruptcy Court, W.D. Pennsylvania · 2006
2 more not listed; retrieve them via the Exa API.