Order Directing Stipulation or Briefing on Distribution of Accrued Interest

JENNIFER A. DORSEY, District Judge.

On April 1, 2019, the court entered orders directing the disbursement of funds that were deposited into the court's registry in 2017.1 Those orders addressed only the principal amounts, ignoring the fact that the deposited funds have accrued interest of $37,583.19 to date. The court finds that the interest should go to the IRS and LN Management LLC Series 31 Rue Mediterra, but needs the parties' input on how to divide it. The complicating factor is that the total amount on deposit changed in August 2017 when a portion of the fund was distributed. The ledgers reflecting the account activity are attached hereto for the parties' reference.

ACCORDINGLY, IT IS HEREBY ORDERED that counsel for the IRS and for LN Management must meet and confer by close of business on Wednesday, April 10, 2019, to attempt to reach an agreement about how to divide the interest. If they reach an agreement, they should immediately file a stipulation and order directing the distribution; if no agreement is reached, each side must file a separate brief of no more than five pages by close of business on Friday, April 12, 2019, advocating how the division should be accomplished. Because interest continues to accrue, the parties must make their proposal regarding distribution not based on a dollar amount, but based on a percentage of the total interest available (for example: IRS 53%/LN 47%). The Clerk of Court will delay distribution of any funds from this account until this interest-division issue is resolved.