Bankruptcy Lawyers San Jose - blog
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May 31, 2007

Stonepath Asks for Dismissal of Chapter 7 Case

Filed under: Chapter 7 — admin @ 8:16 am

Stonepath Group Inc. asked a bankruptcy judge to throw out an involuntary chapter 7 case filed against the Seattle logistics firm by a group of creditors, Dow Jones Newswires reported yesterday. In papers filed Tuesday in U.S. Bankruptcy Court in Wilmington, Del., Stonepath asked Judge Christopher S. Sontchi to dismiss the bankruptcy case filed against the company earlier this month by three trade creditors. Stonepath said that the bankruptcy filing was made in bad faith because the companies aren’t creditors of Stonepath. Stonepath wants the bankruptcy judge to order the creditors to pay its legal fees as well as any damages it suffered as a result of the bankruptcy filing. The creditors - Fort Lauderdale, Fla.-based staffing firm Spherion Inc. and two Minnesota shipping companies - claim Stonepath owes them $1.1 million.

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