Can I Be Sued In Delaware Bankruptcy Court Even If I’ve Never Done Business There?

I don’t live in Delaware.  I don’t do business in Delaware.  I’ve never traveled through Delaware, but one of my customers just filed bankruptcy in Delaware, and now my business is getting sued there to give some of that money back.  Can they really force me to go to Delaware to defend that lawsuit?

The very bad news for you is yes, you can be forced to defend that lawsuit in Delaware because under the bankruptcy rules and statutes the bankruptcy courts have nationwide jurisdiction over you, so even if you’ve got nothing to do with a distance state they can still sue you, and force you to hire a lawyer out there and defend that lawsuit.  It doesn’t seem fair but that is the law.

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