OPINION KEVIN GROSS , UNITED STATES BANKRUPTCY JUDGE . INTRODUCTION The Court presided over a trial in this adversary proceeding on November 12 and 13, 2019. Previously, on November 22, 2013, Fisker Automotive Holdings, Inc. and Fisker Automotive, Inc. (collectively, "Fisker") filed petitions for relief under Chapter 11 of the Bankruptcy Code (the "Code"). On November 26, 2013, Sven Etzelsberger ("Plaintiff"), in his personal capacity and in the capacity of Class Representative to the...
MEMORANDUM ORDER D.I. 1. KEVIN GROSS , Bankruptcy Judge . The Court is addressing a motion filed by Schmid Pipeline Construction, Inc. ("Schmid") to reconsider an Order ("the Order") entered by the United States District Court for the Northern District of West Virginia (the "District Court"). Motion to Reconsider Order Granting Columbia Gas Transmission, LLC's Motion for Partial Dismissal (the "Motion to Reconsider"). In pertinent part, the Order granted defendant Columbia Gas...
MEMORANDUM ORDER 1 (Re: docket no. 2152, 2188) BRENDAN LINEHAN SHANNON , Bankruptcy Judge . Before the Court is the "Debtors' Second Motion for Entry of an Order Authorizing Abandonment and Destruction of Certain Books and Records," 2 seeking authority to destroy certain documents, books, and records currently held by post-confirmation debtors APP Winddown, LLC (f/k/a American Apparel, LLC, f/k/a American Apparel, Inc.) and APP Shipping Winddown, Inc. (f/k/a Fresh Air Freight, Inc.) (...
OPINION 2 KAREN B. OWENS , Bankruptcy Judge . Before the Court is confirmation of the Second Amended Joint Plan of Reorganization for Emerge Energy Services LP and Its Affiliated Debtors Under Chapter 11 of the Bankruptcy Code filed on November 1, 2019 3 (the "Plan" ). Various objections to the Plan were filed. At the conclusion of the confirmation hearing, which was held over the course of five days at the end of October and the beginning of November 2019, the outstanding objections...
MEMORANDUM ORDER Related Docket Nos. 3234 and 3239. BRENDAN LINEHAN SHANNON , Bankruptcy Judge . Before the Court is the Motion for Contempt — Motion for Sanctions Notice of ND Supreme Court Reversal 1 (the "Ness Motion") filed by Lloyd Odell Ness and Mary Patricia Ness which seeks sanctions against the Debtors for contempt of court, reinstatement of the Nesses' disallowed claims as allowed and secured claims, reimbursement for the Nesses' efforts in pursuing litigation against the...
MEMORANDUM ORDER 1 (Re: docket no. 11553) BRENDAN LINEHAN SHANNON , Bankruptcy Judge . Before the Court is a motion to reopen the chapter 11 bankruptcy case of New Century TRS Holdings, Inc. 2 filed by Michael D. and Candence B. Lynch (the "Movants"). After a hearing held on November 19, 2019, and after due deliberation, the Court hereby FINDS and follows: A. Background of the Delaware Bankruptcy Case 1. On April 2, 2007, New Century TRS Holdings, Inc. and related entities (the "...
MEMORANDUM ORDER DENYING THE LIMITED MOTION TO RECONSIDER OF DEFENDANTS ANCONNECT, LLC, AND ANDERSON MERCHANDISERS, LLC Re: Adv. D.I. Nos. 85. KEVIN GROSS , Bankruptcy Judge . Defendants ANConnect, LLC and Anderson Merchandisers, LLC ("ANConnect" and "Anderson," and collectively the "Defendants") have moved (the "Motion") (Adv. D.I. 85) for limited reconsideration of the Court's Memorandum Opinion and Order on their motion to dismiss Counts I, II, III, IV and V of the Complaint (Adv. D.I....
ORDER MARY F. WALRATH , Bankruptcy Judge . AND NOW, this 23rd day of OCTOBER, 2019, for the reasons stated in the accompanying Opinion, it is hereby ORDERED that the Motions to Dismiss Counts I through VIII of the Complaint for lack of subject matter jurisdiction are DENIED; and it is further ORDERED that the Motions to transfer venue of Counts I through VIII to the United States District Court for the Eastern District of Wisconsin are GRANTED; and it is further ORDERED...
OPINION Sontchi , C.J. INTRODUCTION Before the Court is the Defendants' Motion to Dismiss the First Amended Complaint (the "Motion") pursuant to Federal Rule of Civil Procedure 12(b)(6), made applicable in adversary proceedings by Federal Rule of Bankruptcy Procedure 7012(b), for its alleged failure to state a claim against the Defendants. The Complaint, filed by plaintiff William Pederson, the Liquidating Trustee (the "Trustee") for the Liquidation Trust of Solutions Liquidation, LLC (...
Re: D.I. 24 OPINION KEVIN GROSS , UNITED STATES BANKRUPTCY JUDGE . Introduction A complex contractual payment mechanism and a robust disagreement as to the interpretation it should be afforded lie at the heart of this multi-million-dollar dispute that allegedly plunged Debtors into chapter 11. Resolution of the issues presented today will determine whether the Court will hear and decide this Adversary Proceeding and, if so, which specific causes of action the Court will evaluate when...
Related Docket No. 762 OPINION 1 Sontchi , C.J. INTRODUCTION Before the Court is the Objection of Don. A. Beskrone, Chapter 7 Trustee, to Administrative Expense Claim Filed By the Internal Revenue Service 2 (the "Objection" filed by the "Trustee"). The Internal Revenue Service ("IRS") is seeking an administrative claim, as identified by the official court registry as claim no. 87-1, for corporate income taxes for the entire 2015 calendar year (the "IRS Claim"). The Trustee asserts...
MEMORANDUM ORDER 1 Re: Docket Nos. 11, 12 BRENDAN LINEHAN SHANNON , Bankruptcy Judge . Before the Court is the Motion for Default Judgment (the "Motion") 2 filed by the Plaintiffs; 3 the objection to the Motion (the "Objection") 4 filed by the defendant, Monsoon Blockchain Storage, Inc. ("Monsoon"); and the Plaintiffs' reply 5 thereto. The briefing on the matter has been completed, and the record reflects as follows: 1. On December 4, 2017, the Woodbridge Group of Companies, LLC and...
ORDER GRANTING MOTION TO SHORTEN NOTICE OF DEBTORS' MOTION FOR AN ORDER EXTENDING THE DEADLINE FOR THE DEBTORS TO ASSUME OR REJECT UNEXPIRED LEASES OF NONRESIDENTIAL REAL PROPERTY PURSUANT TO 11 U.S.C. 365(d)(4) Related to Docket Nos. 830, 831. KEVIN GROSS , Bankruptcy Judge . Upon the motion (the " Motion ") 2 of the above-captioned debtors and debtors in possession (collectively, the " Debtors ") for shortened notice of the Debtors' Motion for an Order Extending the Deadline for...
MEMORANDUM OPINION JOHN T. DORSEY , Bankruptcy Judge . The Chapter 7 Trustee of ScripsAmerica, Inc., Charles A. Stanziale, Jr. ("Trustee") filed this adversary proceeding against auditor KMJ Corbin & Company ("KMJ"). KMJ performed an audit of ScripsAmerica's ("SCRC") financial statements for 2014. The Trustee alleges three counts: Breach of Contract, Negligence, and Breach of Fiduciary Duty. KMJ filed a Motion to Dismiss the Adversary Complaint (the "Motion") 1 , D.I. 9. For the reasons...
MEMORANDUM OPINION JOHN T. DORSEY , Bankruptcy Judge . Before the Court are Plaintiffs' Counsels' Motions for Reconsideration (the "Rubin Motion" and the "Cozen Motion") of the Court's August 9, 2019 Memorandum Order (the "Order"). (D.I. 259, 260). The Rubin Motion requests that the Court reconsider the Order to the extent that the Court imposed fee-shifting sanctions on Rubin & Rubin (the "Rubins") pursuant to its inherent authority. The Cozen Motion requests that the Court reconsider...
MEMORANDUM OPINION RE ARDON MOORE'S MOTION TO DISMISS Re: D.I. 12 KEVIN GROSS , Bankruptcy Judge . INTRODUCTION George L. Miller, in his capacity as Chapter 7 trustee ("Trustee") of the jointly administered bankrupt estates of Our Alchemy, LLC ("Alchemy" or "Debtor") and Anderson Digital, LLC ("Anderson"), brings this adversary proceeding against ANConnect LLC, Virgo Investment Group, LLC and its affiliates (collectively "Virgo"), ARC Entertainment, LLC ("ARC"), and numerous other...
MEMORANDUM OPINION RE: VIRGO ENTITIES' MOTION TO DISMISS Re: D.I. 24 & 25 KEVIN GROSS , Bankruptcy Judge . INTRODUCTION George L. Miller, in his capacity as Chapter 7 trustee (the "Plaintiff" or "Trustee") for the jointly administered bankruptcy estates of Our Alchemy, LLC ("Alchemy") and Anderson Digital, LLC ("Anderson Digital") (collectively, the "Debtors"), brought this adversary proceeding against certain affiliates of the Debtors and associated individuals. In this Memorandum...
MEMORANDUM OPINION Re: THE VIRGO INDIVIDUAL DEFENDANTS' MOTION TO DISMISS Re: Adv. Dkt. No. 26 KEVIN GROSS , Bankruptcy Judge . INTRODUCTION George L. Miller, in his capacity as Chapter 7 trustee (the "Plaintiff" or "Trustee") for the jointly administered estates of Our Alchemy LLC ("Alchemy") and Anderson Digital, LLC ("Anderson Digital") (collectively, the "Debtors") 1 , brought this adversary proceeding against certain affiliates of the Debtors and several individuals. Further, the...
MEMORANDUM OPINION 1 RE: DEFENDANTS ANCONNECT, LLC and ANDERSON MERCHANDISERS, LLC Re: Adv. Dkt. No. 38 KEVIN GROSS , Bankruptcy Judge . George L. Miller, in his capacity as Chapter 7 trustee (the "Plaintiff" or "Trustee") for the jointly administered bankruptcy estates of Our Alchemy, LLC ("Alchemy") and Anderson Digital, LLC ("Anderson Digital") (collectively, the "Debtors"), brought this adversary proceeding against certain affiliates of the Debtors: ANConnect, LLC ("ANConnect"),...
MEMORANDUM OPINION RE: DEFENDANT STEVE LYONS'S MOTION TO DISMISS Re: D.I. 7 KEVIN GROSS , Bankruptcy Judge . INTRODUCTION George L. Miller, in his capacity as Chapter 7 trustee (the "Plaintiff" or "Trustee") for the jointly administered bankruptcy estates of Our Alchemy, LLC ("Alchemy") and Anderson Digital, LLC ("Anderson Digital") (collectively, the "Debtors"), brought this adversary proceeding against certain affiliates of the Debtors: ANConnect, LLC ("ANConnect"), Anderson...
