Caterpillar Financial Services Corporation v. Hi-Lo Farms, Inc. et al

Filing 5

ORDER granting #4 Motion to Stay Proceedings: Ordered that this case be administratively closed pending resolution of the bankruptcy action. Plaintiff is directed to move to lift the stay and reopen the case when the bankruptcy action is concluded. Nothing contained in this Order shall be considered a dismissal or disposition of this matter. Signed by Magistrate Judge John C. Gargiulo on 8/29/17. (RLW) .

IN THE UNITED STATES DISTRICT COURT
FOR THE SOUTHERN DISTRICT OF MISSISSIPPI
SOUTHERN DIVISION
CATERPILLAR FINANCIAL
SERVICES CORPORATION
v.

PLAINTIFF
CIVIL ACTION NO. 1:17-cv-222-HSO-JCG

HI-LO FARMS, INC. and MARTHA
COLE

DEFENDANTS

ORDER ADMINISTRATIVELY CLOSING THE CASE
BEFORE THE COURT is the Motion to Stay Proceedings and
Administratively Close the Case (ECF No. 4) filed ex parte by Plaintiff Caterpillar
Financial Services Corporation.1 Attached to the Motion as Exhibit A is the Chapter
11 bankruptcy petition of Defendant Hi-Lo Farms, Inc., filed June 23, 2017 in the
United States Bankruptcy Court for the Southern District of Mississippi. (ECF No.
4-1). Plaintiff states that Hi-Lo Farms knew of its indebtedness to Plaintiff at the
time Hi-Lo Farms initiated its bankruptcy, but did not list Plaintiff as a creditor in
its bankruptcy proceedings or otherwise notify Plaintiff of its bankruptcy filing.
(ECF No. 4, at 1). Because Plaintiff did not know about Hi-Lo Farms’ bankruptcy
filing, Plaintiff filed the instant suit. Id. Plaintiff now seeks to have the instant case
stayed and administratively closed “to avoid any argument that it has violated or is
violating the automatic stay” in the bankruptcy court. Id. at 2.
The Court finds that there appears to be no further reason to maintain the
file as an open one for statistical purposes. The case is therefore stayed pending the

Plaintiff has not yet returned proofs of service of process for either defendant, and neither
defendant has entered an appearance to date.
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bankruptcy action. Plaintiff is directed to move to lift the stay and reopen the case
when the bankruptcy action is concluded, so that appropriate action may be taken
in this case.
IT IS, THEREFORE, ORDERED that Plaintiff’s Motion to Stay
Proceedings and Administratively Close the Case (ECF No. 4) is GRANTED.
IT IS FURTHER ORDERED that this case be administratively closed
pending resolution of the bankruptcy action. Plaintiff is directed to move to lift the
stay and reopen the case when the bankruptcy action is concluded. Nothing
contained in this Order shall be considered a dismissal or disposition of this matter.
SO ORDERED, this the 29th day of August, 2017.

s/ John C. Gargiulo
JOHN C. GARGIULO
UNITED STATES MAGISTRATE JUDGE

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