In Bethea v. Equifax (W.D.N.C. Dec. 19, 2025), Judge Kenneth Bell offers both a procedural refresher and a cautionary tale for consumer litigants hoping to convert technical missteps into instant victory.
The Business Court addressed what happens when one party in multi-party commercial litigation files bankruptcy — here, Pine Gate Renewables’ Chapter 11 filing — while litigation continues between the remaining parties.
Judge Houston held:
Claims against Pine Gate are stayed under §362.
The stay does not extend to Meridian’s contract and tort claims against Birch Creek.
