Tag: corporation

N.C. Ct. of Appeals: HSBC Bank v. PRMC, Inc.- Representation of Corporation by Non-Attorney


In 2004, PRMC, through its president and sole shareholder, Zulfiquar M. Khan, borrowed $1,950,000 from Business Loan Center, L.L.C. (“BLC”), with the note including an “Unconditional Guarantee” from Mr. Khan and a Deed of Trust against a hotel and all personal property. In September 2007, Mr. Khan, PRMC and BLC agreed to a four month reduced payment on the note, with the allonge including a release (in bold and all capitals) by both parties of all claims against each other. This same language was again included in a July 2008 payment deferral agreement. BLC filed a Chapter 11 bankruptcy in September 2008, with its reorganization being confirmed on November 12, 2010.… Read More

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Bankr. M.D.N.C.: In re Abbington Partners, L.L.C.- Dismissal of Corporate Bankruptcy Case filed without Attorney Representation


Corporate Debtor Abbington Partners, filed a Chapter 7 bankruptcy without representation by counsel. It had previously a bankruptcy in Massachusetts, which had been dismissed for lack of attorney representation. Reiterating that “[i]t has been the law for the better part of two centuries . . . that a corporation may appear in the federal courts only through licensed counsel.” In re Tamojira, Inc., 20 F. App’x 133, 133-34 (4th Cir. 2001), the bankruptcy court here also dismissed the case , especially as “the fact and circumstances of this case [did] not warrant anything other than a strict interpretion of this requirement.”


A quick look at the website for Abbington Partners ( http://www.abbingtonpartners.com/our-team) shows that the CEO has not only a “ life-long interest in law” but touts his family’s long legal experience.… Read More

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Bankr. E.D.N.C.: Church v. Nabors – Standing of Owner of Corporation to Bring § 523(a)(6) Claim on Individually rather than by the Corporation


Church, who is married to the debtor, Nabors, ex-wife, owns Private Ridge Wealth Management, LLC (“PRWM”). Nabors filed a complaint with the Better Business Bureau, making allegations against PRWM, which Church alleged cost PRWM $6,000 in revenue. Church then in his individual capacity, brought suit against Nabors for making a false claim and obtained a default judgment holding that Nabors had caused malicious injury to PRWM. After Nabors filed bankruptcy, Church, acting without an attorney, brought an adversary proceeding seeking to have Nabors’ obligation to Church declared non-dischargeable pursuant to 11 U.S.C. § 523(a)(6). Nabors moved to dismiss the complaint arguing that Church lacked standing to bring the suit individually, rather than in the name of PRWM.… Read More

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