By Tabitha Evans Moore
Editor & Publisher
KNOXVILLE, Tenn. — A nearly six-hour hearing in federal court Monday marked a pivotal moment in the ongoing lawsuit between Farm Credit Mid-America and Uncle Nearest, Inc., as Judge Atchley heard live testimony and reviewed extensive financial evidence tied to the court’s earlier decision to appoint a receiver over the company and related entities. The hearing was held February 9 in U.S. District Court in the Eastern District of Tennessee and focused on a motion asking the court to reconsider that appointment.
Unlike many procedural motions resolved on written filings alone, the court heard testimony from the receiver, financial professionals, and company leadership as well as Fawn Weaver, alongside the admission of dozens of exhibits. Those materials included cash-flow reports, restructuring plans, borrowing base certificates, sales data, and financial forecasts extending into 2026. The scope of the evidence underscored the complexity of the dispute and the court’s effort to weigh real-time operational and financial conditions alongside the legal arguments.
In an order issued February 10, the court confirmed that it will allow all parties to submit supplemental briefs addressing what the evidence presented at the hearing shows, rather than re-arguing earlier positions. The order also makes clear that a related motion seeking clarification about whether additional affiliated entities should be included in the receivership remains under consideration. The judge set deadlines for additional briefing through early March before issuing a ruling.
Until that ruling is entered, the court ordered that the status quo remain in place. The receiver continues to retain all powers previously granted, and the receivership remains unchanged in scope. With the record now expanded to include live testimony and new evidence, the case moves into a brief-writing phase that will inform the court’s next decision in a closely watched federal dispute. •
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