Atlantic Casualty Insurance Company v. Red Brick Courtyard, LLC et al

Filing 9

Magistrate Judge David H. Hennessy: ORDER entered, Case stayed. "Atlantic shall file a status report with this Court on January 2, 2015 on the status of the Red Brick bankruptcy proceedings if Red Brick has yet to be discharged from bankruptcy."(Belpedio, Lisa)

UNITED STATES DISTRICT COURT
DISTRICT OF MASSACHUSETTS

ATLANTIC CASUALTY INSURANCE CO.,
Plaintiff,

v.
RED BRICK COURTYARD, LLC,
SELIM LAHOUD, and GERARD SAULNIER,
Defendants.

)
)
)
)
)
)
)
)
)
)
)

CIVIL ACTION
NO. 13-12528-DHH

ORDER
July 22, 2014
Hennessy, M.J.
On October 8, 2013, Atlantic Casualty Insurance Company (“Atlantic”) filed a
declaratory judgment action against defendants Red Brick Courtyard, LLC (“Red Brick”), Selim
Lahoud, and Gerard Saulnier seeking to determine Atlantic’s rights and obligations under a
policy of liability insurance issued to Red Brick. (Docket #1). The underlying dispute giving
rise to the claim for liability insurance is a bodily injury lawsuit filed by Saulnier against Red
Brick and Lahoud in Worcester Superior Court that is presently stayed due to Red Brick’s
bankruptcy. (Dockets #1, 8). (Id.). On March 5, 2014, there being no return to the Court of
proof of service of the summons and complaint as required by Local Rule 4.1(b) and Federal
Rule of Civil Procedure 4(m), this Court issued an order stating that the action would be
dismissed without prejudice within twenty-one days unless a proof of service was filed in the
interim or good cause was shown as to why service had not been made. (Docket #6). On March
25, 2014, Atlantic filed a status report stating that it had been unable to complete service on the

defendants because Red Brick was the subject of a pending bankruptcy proceeding and all
defendants had declined to accept service or were not sufficiently operational to do so. (Docket
#8). In the status report, Atlantic requests that the Court stay the present action. (Id.).
The Court hereby stays the present action.

Atlantic shall effect service on the

defendants within thirty days of Red Brick’s discharge from bankruptcy. While the Court could
allow the action to proceed against Lahoud and Saulnier, Atlantic has not requested and the
Court will not order bifurcation. Atlantic shall file a status report with this Court on January 2,
2015 on the status of the Red Brick bankruptcy proceedings if Red Brick has yet to be
discharged from bankruptcy.

/S/ David H. Hennessy
David H. Hennessy
UNITED STATES MAGISTRATE JUDGE

2