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Specializing in insolvency and complex commercial matters since 1974

Firm Prevails In Litigation Pitting Principles Of Res Judicata Against Sovereign Immunity - January 16, 2009

In the latest decision in a long-running dispute (see also 217 s. 304) between the United States and the Debtor involving the Debtor's claim for operating differential subsidy payments, the Debtor prevailed in validating an award of time-delay damages, or interest in the amount of approximately $1.3 million, ruling against the Government's contention that an earlier, non-appealed, and final order awarding such fees was void as a violation of sovereign immunity. The decision is published as In re Lykes Bros. Steamship Co, Inc., 399 B.R. 555 (Bankr. M. D. Fla. 2009). Harley Riedel and Daniel Fogarty handled the matter for the firm.