DEEP SOUTH VEGETABLES INC v. BENSON HILL HOLDINGS INC
ORDER the parties are to state their positions on what impact (if any) the automatic stay has on the counterclaims asserted against Plaintiffs no later than Tuesday, November 28, 2023 re 22 Notice of Bankruptcy filed by DEEP SOUTH VEGETABLES INC. Ordered by US DISTRICT JUDGE W LOUIS SANDS on 11/14/2023. (ksl)
IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF GEORGIA
DEEP SOUTH VEGTABLES, INC.,
BENSON HILL HOLDINGS, INC.,
CASE NO.: 7:23-CV-69 (WLS)
On November 9, 2023 the Court received a Notice (Doc. 22) from Plaintiff/CounterDefendant, Deep South Vegetables Inc., (“Plaintiff”), that it had filed for Chapter 12
bankruptcy protection in the Untied States Bankruptcy Court for the Middle District of
Georgia, Case No. 7:23-BK-71134.
A bankruptcy filing typically operates as an automatic stay of all proceedings against
the debtor. 11 U.S.C. § 362(a). When the debtor is the plaintiff the automatic stay usually does
not apply to that plaintiff’s claims. Crosby v. Monroe Cnty., 394 F.3d 1328, 1331 n. 2 (11th Cir.
2004) (citing 11 U.S.C. § 362(a)). But a stay would usually apply to Defendants’ counterclaims,
because those claims are against the debtor. Koolik v. Markowitz, 40 F.3d 567, 568 (2d Cir.
1994). The Court, therefore, ORDERS the parties to state their positions on what impact (if
any) the automatic stay has on the counterclaims asserted against Plaintiffs no later than
Tuesday, November 28, 2023.
SO ORDERED, this 14th day of November, 2023.
/s/ W. Louis Sands
W. LOUIS SANDS, SR. JUDGE
UNITED STATES DISTRICT COURT
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