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IN RE DBSI, INC.

Case No. 08-12687(PJW) Jointly Administered Adv. Proc. No. 10-54648(PJW).

501 B.R. 37 (2013)

IN RE DBSI, INC., et al., Debtors. James R. Zazzali, as Trustee for the Debtors' Jointly-Administered Chapter 11 Estates and/or as Litigation Trustee for the DBSI Estate Litigation Trust, Plaintiff, v. 1031 Exchange Group LLC, et al., Defendants. Allan J. Cutler, Defendant/Third Party Plaintiff, v. Martha Walker, Third Party Defendant.

United States Bankruptcy Court, D. Delaware.

October 24, 2013.

Attorney(s) appearing for the Case

Joanne P. Pinckney, Kevin M. Capuzzi, Pinckney, Harris & Weidinger, LLC, 1220 North Market Street, Suite 950, Wilmington, DE 19801, Counsel to Third Party Defendant Martha Walker.

Michael J. Joyce, Kevin S. Mann, Cross & Simon, LLC, 913 N. Market Street, 11th Floor, P.O. Box 1380, Wilmington, DE 19899-1380, Counsel for Defendant/Third Party Plaintiff Allan J. Cutler.

Chapter 11

MEMORANDUM OPINION

WALSH, J.

This opinion is with regard to the motion filed by Martha Walker, the third-party defendant ("Walker"), to set aside an order of default and vacate a subsequent default judgment. (Adv. Doc. # 1266.) For the reasons detailed below, I will grant the motion.

Background

The underlying bankruptcy case was filed on November 10, 2008 by DBSI, Inc. and its affiliates (the "Debtors") under Chapter...

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