Keypath Education, Inc. v. Vatterott Educational Centers, Inc.

Filing 14

MEMORANDUM AND ORDER granting 11 Motion to Stay Case. The proceedings in this matter are stayed through August 28, 2017. Signed by Magistrate Judge Gerald L. Rushfelt on 8/9/2017. (hl)

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF KANSAS
KEYPATH EDUCATION, INC.,
Plaintiff,
v.

Case No. 17-CV-2319-JTM-GLR

VATTEROTT EDUCATIONAL CENTERS,
INC., d/b/a VATTEROTT COLLEGE,
Defendant.

MEMORANDUM AND ORDER
This matter comes before the Court on Defendant Vatterott Educational Centers, Inc.’s
(“Vatterott”) Motion to Temporarily Stay Proceedings (ECF 11). The Missouri Circuit Court for
the County of St. Louis appointed Howard S. Samuels as a general receiver over the assets of
Vatterott pursuant to the Missouri Commercial Receivership Act (“MCRA”).1 Pursuant to the
MCRA, “[t]he entry of an order appointing a general receiver shall operate as a stay, applicable
to all persons, of (1) The commencement or continuing . . . of a judicial, administrative, or other
action or proceeding against the debtor that was or could have been commenced before the entry
of the order of appointment.”2 In Alexander v. BF Labs Inc., this Court granted a motion for
temporary stay of proceedings following the appointment of a receiver by the United States
District Court for the Western District of Missouri “to achieve the purposes of the receivership
and to prevent interference with his responsibilities to handle the administration of the
receivership estate.”3 Similarly, the Court here finds that a temporary stay will “serve[] both
judicial economy and efficiency to briefly stay this matter while [the receiver] complies with his
1

ECF 9-1.

2

Mo. Rev. Stat. § 515.575(1).

3

No. 14-2159-KHV, 2014 WL 5406890, at *3 (D. Kan. Oct. 22, 2014).

duties.”4 Furthermore, Plaintiff does not oppose Defendant’s motion. For these reasons, the
Court finds good cause to grant Defendant’s motion to temporarily stay proceedings.
IT IS THEREFORE ORDERED BY THE COURT that Defendant Vatterott
Educational Centers, Inc.’s Motion to Temporarily Stay Proceedings (ECF 11) is granted. The
proceedings in this matter are stayed through August 28, 2017.
IT IS SO ORDERED.
Dated: August 9, 2017

s/Gerald L. Rushfelt
Gerald L. Rushfelt
U. S. Magistrate Judge

4

Id.

2