Magistrate Lifts Stay In Debt Collection Suit Against Insurer In Liquidation

( December 4, 2025, 2:01 PM EST) -- NEW YORK — A New York federal magistrate judge lifted a stay in a suit against an insolvent insurer and multiple parties allegedly involved in a fraudulent debt collection practice resulting in a lien against a purported debtor’s property, finding that the insurer in liquidation and co-defendant process serving agency failed to show how a resolution of the related liquidation proceeding would result in judicial efficiencies....