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IN RE DBSI, INC.

Case No. 08-12687(PJW) Jointly Administered Adv. Proc. No. 10-54648(PJW).

501 B.R. 37 (2013)

IN RE DBSI, INC., et al., Debtors. James R. Zazzali, as Trustee for the Debtors' Jointly-Administered Chapter 11 Estates and/or as Litigation Trustee for the DBSI Estate Litigation Trust, Plaintiff, v. 1031 Exchange Group LLC, et al., Defendants. Allan J. Cutler, Defendant/Third Party Plaintiff, v. Martha Walker, Third Party Defendant.

United States Bankruptcy Court, D. Delaware.

October 24, 2013.

Attorney(s) appearing for the Case

Joanne P. Pinckney , Kevin M. Capuzzi , Pinckney, Harris & Weidinger, LLC, 1220 North Market Street, Suite 950, Wilmington, DE 19801, Counsel to Third Party Defendant Martha Walker.

Michael J. Joyce , Kevin S. Mann , Cross & Simon, LLC, 913 N. Market Street, 11th Floor, P.O. Box 1380, Wilmington, DE 19899-1380, Counsel for Defendant/Third Party Plaintiff Allan J. Cutler.

Chapter 11

MEMORANDUM OPINION

WALSH, J.

This opinion is with regard to the motion filed by Martha Walker, the third-party defendant ("Walker"), to set aside an order of default and vacate a subsequent default judgment. (Adv. Doc. # 1266.) For the reasons detailed below, I will grant the motion.

Background

The underlying bankruptcy case was filed on November 10, 2008 by DBSI, Inc. and its affiliates (the "Debtors") under Chapter...

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