ENF 41008 (Notable Blocking Notices)

Date issued: Mar. 05 2013

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TURBOFAC Commentary (157 words)

Notes:

1) March 14, 2012, "Rapid" and "Prodira" entered into a settlement agreement (the “Settlement Agreement”) which required Rapid to pay $1,200,000 to Prodira in installment payments (p. 15). On Feb. 5, 2013, Prodira and Filemon Garcia Ayala (principal of Prodira) were designated as SDNs. Prior to the designations, "Rapid posted a surety bond with SurTec Insurance Company [] in the amount of $930,750.00, in order to obtain a stay of the Court’s ruling to transfer the funds to Prodira..." (p. 20). An appeal bond is an amount of money placed in holding (by the appellant) while an appeal is being decided.

The notification of blocking, sent to the Surety Co. while the appeal was still pending, was deemed property in which the blocked person that posted the bond had an "interest". Not surprising, but a novel example of "property" being determined to...