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MATTER OF YALE EXP. SYSTEM, INC.

Bankruptcy Nos. 79 B 908, 79 B 919.

11 B.R. 495 (1981)

In the Matter of YALE EXPRESS SYSTEM, INC., Secon Service System, Inc., Debtors-in-Possession. YALE EXPRESS SYSTEM, INC., and Secon Service System, Inc., Plaintiffs, v. BUDD LEASING CORP., John Gavin, Patrick J. Heaney, Edwin J. Doyle, Walter J. Barilari, Memb Associates, a partnership, and Secon Holding Corp., Defendants.

United States Bankruptcy Court, S.D. New York.

June 8, 1981.

Attorney(s) appearing for the Case

Wisehart & Friou, New York City, for debtor-in-possession.

Warren J. Kaps, Hackensack, N.J., for defendant John Gavin.

Donovan, Leisure, Newton & Irvine, New York City, for third party defendant U.S. Trucking Corp. of New York.

Warshavsky, Hoffman & Cohen, New York City, for defendant Walter J. Barilari.

Hartmann, Brooks & Fraioli, Hasbrouck Heights, N.J., for defendant Patrick J. Heaney.

Gross & Novak, East Brunswick, N.J., for Budd Leasing Corp.

DeRose & Rinaldi, East Orange, N.J., for Edwin J. Doyle.

JOHN J. GALGAY, Bankruptcy Judge.

On May 21 and 22, 1979 respectively, Yale Express System, Inc. ("Yale") and Secon Service System, Inc. ("Secon"), its wholly owned subsidiary, (the Debtors) filed petitions for arrangements under Chapter XI of the Bankruptcy Act. On June 26, 1979 Yale and Secon ("plaintiffs"), as debtors in possession, instituted this proceeding alleging two causes of action. Both actions arise out of contracts which Yale/Secon entered into before...

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