Hart Systems, Inc. v. Arvee Systems, Inc.
Opinion of the Court
—In an action to recover damages for breach of contract and breach of warranty, the plaintiff appeals from an order of the Supreme Court, Nassau County (Adams, J.), dated June 11, 1996, which granted the defendant’s motion to dismiss the complaint.
Ordered that the order is affirmed, with costs.
The plaintiff’s causes of action against the defendant should have been listed as an asset of the bankruptcy estate in connection with the previous chapter 11 proceeding in which the plaintiff obtained discharge from its debts (see, 11 USC § 541 [a] [1], [7]; Bromley v Fleet Bank, 240 AD2d 611; Cafferty v Thompson, 223 AD2d 99). The plaintiff did not offer to prosecute this cause of action under the supervision of the Bankruptcy Court, so as to guarantee that any judgment would be subject to the claims of the plaintiff’s creditors, and did not request a stay of this action so as to permit it to petition the
Case-law data current through December 31, 2025. Source: CourtListener bulk data.