This may be an infrequently encountered point, but as recent posts have discussed the overlap of bankruptcy law and Delaware corporate law, I mention here the overlap of Federal jurisdiction and Delaware corporate law. In an unreported ruling from the bench on April 25, 2005 by Judge Richard Owen of the U.S. District Court for the Southern District of New York in SEC v Northshore Asset Management, LLC, et al., the court ordered that MBA & Associates, who was appearing before him through counsel, stay a summary proceeding that MBA had filed in Delaware Chancery Court pursuant to Section 225 of the Delaware General Corporation Law to address an issue of whether certain written consents were valid to change the composition of the board. On April 15 Judge Owen had appointed a Receiver at the request of the SEC and that Receiver was given control over shares of the company whose board membership was contested by MBA in the Delaware action. Upon application by the SEC to hold MBA in contempt of the April 15 Order for proceeding in Delaware, Judge Owen made it clear that MBA was covered by the April 15 order prohibiting any party from interfering with the Receiver or the issues that were before Judge Owen. Much more can be written on this matter, but the point is that when the SEC secures a Receiver and that Receiver controls shares in a company, the Receiver can halt any litigation that in any way impacts on those shares.