DAUGHARTY et al v. FEDERAL DEPOSIT INSURANCE CORPORATION

Filing 4

ORDER granting 3 Motion to Stay. Ordered by Judge Hugh Lawson on 4/16/2012. (nbp)

IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF GEORGIA
VALDOSTA DIVISION
JANICE DAUGHARTY and SEWARD
DAUGHARTY,
Plaintiffs,
Civil Action No. 7:12-CV-49 (HL)
v.
FEDERAL DEPOSIT INSURANCE
CORPORATION AS RECEIVER FOR
PARK AVENUE BANK,
Defendant.

ORDER
Before the Court is Defendant Federal Deposit Insurance Corporation’s
(“FDIC”) Motion to Stay (Doc. 3). The FDIC has been appointed as a receiver in
this case for the original defendant, Park Avenue Bank. The Court finds that
there is good reason for a stay in this case and the Motion is granted.
The Eleventh Circuit has recognized that while the appointment of a
receiver does not divest a court of jurisdiction over a claim, jurisdiction in such a
case is dependent upon the completion of the administrative process with
respect to the claim. F.D.I.C. v. LaCentra Trucking, Inc., 157 F.3d 1292, 1308
(11th Cir. 1998). According to 12 U.S.C. §1821(12)(A),
After the appointment of a conservator or receiver for an insured
depository institution, the conservator or receiver may request a
stay for a period not to exceed –
(i)

45 days, in the case of any conservator; and

(ii)

90 days, in the case of any receiver,

in any judicial action or proceeding to which such institution is or
becomes a party.
Further, “upon receipt of a request by any conservator or receiver … for a stay of
any judicial action or proceeding in any court …, the court shall grant such stay
as to all parties.” 12 U.S.C. § 1821(12)(B).
Pursuant to 12 U.S.C. §§ 1821(A)-(B), the Court grants Defendant’s
request for a 90-day stay to allow time for the completion of administrative
procedures. The stay will be lifted on Monday, July 16, 2012 and the parties are
ordered to file a status update no later than Monday, July 23, 2012.
SO ORDERED, this 16th day of April, 2012.

s/ Hugh Lawson
HUGH LAWSON, SENIOR JUDGE
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