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In re Hwang

United States Bankruptcy Court for the Central District of California

396 B.R. 757 (2008)

Relevant factsFree

IndyMac, which serviced but had already sold its rights in Hwang's (debtor) promissory note to Freddie Mac (and possibly a subsequent unknown purchaser thereafter), nonetheless retained physical possession of the properly indorsed note and moved for relief from the automatic stay to foreclose after Hwang defaulted and filed bankruptcy, asserting its rights merely as the note's holder.

IssueFree

Although a holder of a negotiable instrument is entitled to enforce the negotiable instrument, is the real party in interest for the purpose of federal litigation the owner of the negotiable instrument, who must be joined in the litigation?

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