Business Disputes

Receivership Lawsuits

Receivers are entities appointed by courts to take control of assets. They often take control of a company, a secured creditor’s collateral, or any other property in need of liquidation or protection. They are considered a neutral party, appointed for the benefit of debtors, creditors, and others interested parties.

Mr. Doerr has been involved in numerous lawsuits where his client sought the appointment of a receiver.  He also been involved in numerous high-stakes cases where his clients opposed relief sought by a receiver.

In 2020, Mr. Doerr successfully appealed an order denying his client's motion to set aside a default judgment, which led to the appointment of a receiver.   See Hamood v. ZenMuse, LLC, 2020 WL 5739690 (Mich. App. 2020).  The Michigan Court of Appeals described this case as "the product of a contentious dispute between Nathan Alexander Hamood, Jamal John Hamood, Anita Baker, and ZenMuse LLC (ZenMuse), a limited liability company that was created by Baker, who is its president and sole shareholder."  In the trial court, plaintiff obtained a $165,014 default judgment against ZenMuse.  Almost a year later, ZenMuse filed a motion to set aside the default judgment pursuant to MCR 2.612(B), "Defendant Not Personally Notified."  The trial court denied the motion, finding that ZenMuse was properly served.  The Michigan Court of Appeals reversed, holding "because personal jurisdiction over ZenMuse was necessary and acquired, because ZenMuse (via Baker) has asserted without contradiction that it had no knowledge of this lawsuit, because ZenMuse entered an appearance within one year of the final judgment, because ZenMuse has demonstrated meritorious defenses to both of Nathan's claims as currently pleaded, and because there has been no showing that setting aside the default judgment will prejudice any innocent third parties, ZenMuse satisfied all five elements to be entitled to relief from judgment pursuant to MCR 2.612(B)."