Seaboard Realty creditor asks court to transfer case to Connecticut

By Caroline Salls

Pittsburgh, Feb. 22 – Seaboard Realty, LLC creditor Patriot Bank, NA asked the U.S. Bankruptcy Court for the District of Delaware to transfer the company’s Chapter 11 case to the U.S. Bankruptcy Court for the District of Connecticut, according to a motion filed Monday.

Patriot said the Seaboard debtors’ properties are located in Connecticut and the majority of the debtors are based exclusively in Connecticut.

In addition, Patriot said two out of three of the managers of the original debtors are located in Connecticut, as are more than two-thirds of the debtors’ creditors.

“The economic effect of these Chapter 11 cases is felt most acutely in Connecticut,” Patriot said in the motion.

“Transfer of these Chapter 11 cases to Connecticut would facilitate the participation of creditors and members/stakeholders in the determinations affecting the debtors’ debts and the future of the debtors’ assets.

“In contrast, the only nexus to Delaware is the incorporation of less than half of the debtors in Delaware. None of the properties are located in Delaware. None of the debtors’ creditors reside in Delaware. None of the managers or owners are located in Delaware.”

Patriot has requested a Feb. 29 hearing.

Seaboard owns office, hotel and residential properties throughout Stamford, Conn. The company filed bankruptcy on Dec. 14 under Chapter 11 case number 15-12507.

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