Decker
Decker v. Liu (In re Trans-Eagle Corp.)
Opinion
Lead Opinion
Grube, J.
ORDER ON COURT’S MOTION TO RECONSIDER APPROVAL OF STIPULATION RE MOTION FOR SUMMARY JUDGMENT
I. INTRODUCTION
The court, on its own motion, determined that it should reconsider its approval of the Stipulation Re Motion for Summary Judgment between plaintiff Decker and defendant Synnex filed on March 20, 1998. Subsequent review led the court to conclude that the parties intent was not clear with respect to paragraph 2 of the stipulation. That paragraph provides:
Did the parties believe that the Security Agreement was void as a violation of § 362(a) but, for some undisclosed reason, agree they would not treat it in that fashion? Stated another way, did the stipulation change the result the law would have otherwise dictated? For the reasons hereafter stated the court will not vacate or modify its prior approval of the Stipulation.
II. DISCUSSION
The stipulation involves a Security Agreement executed by the debtor in favor of Synnex on May 16, 1998, seven days after the filing of the bankruptcy petition on May 9, 1996. Section 362(a)(4) of the Bankruptcy Code provides that the filing of the petition operates as a stay of “any act to create, perfect, or enforce any lien against…