Created on Tuesday, 01 March 2011 15:48
Commonwealth Court has ruled that Hatfield Township is entitled to collect bond money from an insurance company for a housing development that TH Properties left unfinished. The court says Lexon Insurance will have to pay the township $521,000 from a $1.2 million bond, but the township will not be able to get the money right away because of a technicality in an earlier Montgomery County Court ruling. Lower Salford-based THP filed for Chapter Eleven bankruptcy reorganization about two years ago, and the trustee overseeing the case recommended liquidating the company’s assets under Chapter Seven of the federal bankruptcy laws, but now that recommendation has been withdrawn. The company says it is still under Chapter Eleven, and it is working to get exit financing.