Houng
Houng v. Tatung Co.
Opinion
Lead Opinion
Morrow, J.
ORDER AFFIRMING DECISION OF THE BANKRUPTCY COURT
Appellant Richard Houng (“Houng”), the debtor in a pending Chapter 7 bankruptcy case, appeals from the judgment of the bankruptcy court entered August 1, 2012. 1 Appellee Tatung Company, Ltd. (“Tatung”) asserts that judgment was correctly entered.
I. BACKGROUND
A. Factual Background
From September 29, 2003 to April 2, 2010, Houng was the Chief Executive Officer (“CEO”) of Westinghouse Digital Electronics, LLC (“WDE”). 3 From 2007 to 2008, Tatung, a Taiwan-based assembler of LCD televisions, was party to a Product Supply Agreement (“PSA”) with WDE, pursuant to which it was assemble and supply LCD televisions and digital photo frames. 4 WDE was current on its obligations to Tatung under the PSA until late 2008, when it stopped making the required payments. 5 In 2010, WDE ceased operations.
B. The Arbitration
Tatung initiated an arbitration proceeding against WDE pursuant to the PSA on February 13, 2009, asserting various breach of contract claims. 7 On January 11, 2010, Tatung amended its arbitration demand, adding Houng as a respondent. 8 Tatung sought to impose liability on Houng as WDE’s alter ego.