Case No. 01-41593-293United States Bankruptcy Court, E.D. Missouri
March 25, 2003
Mark L. Prager, Michael J. Small, David B. Goroff, Cynthia A. Fonner, FOLEY LARDNER, Chicago, Illinois, for Scott Peltz
James S. Carr, Edward J. Leen, Kelley Drye Warran LLP, New York, New York, for Market Front Associates, L.P.
ORDER APPROVING SETTLEMENT AND COMPROMISE OF CLAIMS OF MARKET FRONT ASSOCIATES. L.P.
DAVID McDONALD, Chief Judge, Bankruptcy
This matter having come on to be heard on the motion of Scott Peltz, the Chapter 11 Plan Administrator (the “Plan Administrator”) for the estate of BIS Administration, Inc. and certain of its subsidiaries (collectively, the “Debtors”) for the entry of an order approving a settlement and compromise between Market Front Associates, L.P. (“Market Front”) and the Debtors concerning Market Front’ proofs of claim, and claims for payment of certain administrative priority expenses under Sections 365, 503 and 507 of the Bankruptcy Code, all as more particularly set forth herein, notice having been served on parties in interest, no objections having been filed or otherwise raised, and the Court being advised in the premises,
IT IS HEREBY ORDERED THAT:
1. The Debtors’ settlement with Market Front, as set forth on the attached Exhibit A, (the “Settlement”) is approved, and all of its terms are incorporated herein by this reference.
2. Without limiting the foregoing, pursuant to the Settlement, Market Front’s proofs of claim, and claims for payment of administrative priority expenses under Sections 365, 503 and 507 of the Bankruptcy Code and all other claims, are withdrawn and the Plan Administrator shall cause payment to be made to Market Front in the amount of Eleven Thousand Dollars ($11,000.00).
3. The Plan Administrator is hereby authorized to execute any and all documents and to take any and all actions necessary to effectuate the terms of the Settlement.
SETTLEMENT AGREEMENT AND RELEASE
This Settlement Agreement and Release (the “Settlement”) is entered into by and between Market Front Associates, LP. (“Market Front”) and Scott Peltz, not individually but solely as the Chapter 11 Plan Administrator of the Estate of BIS Administration, Inc. and certain of its subsidiaries (the “Plan Administrator” and, together with Market Front, the “Parties”).
RECITALS
WHEREAS, BIS Administration, Inc. and certain of its subsidiaries (collectively, the “Debtor”) filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code on February 15, 2001;
WHEREAS, on or about August 9, 2001, Debtors filed a motion (the “Motion”) for an entry of an order authorizing the assumption and assignment of executory contractors and unexpired leases to Reuters America, Inc. and Reuters S.A (collectively, “Reuters”);
WHEREAS, the Lease was assumed and assigned to Reuters, pursuant to Order entered on or about August 31, 2001, which designated the cure amount upon assumption of the Lease as $0.00;
WHEREAS, by Motion of Market Front Associates, LP. To Compel Payment of Cure Amount For Lease Of The Premises At One Front Street, San Francisco, California, filed with the Bankruptcy Court on or about June 10, 2002 as Docket No. 1346, Market Front asserted that Debtor leased the premises located at One Front Street from Market Front, pursuant to a real estate lease (the “Lease”);
WHEREAS, Market Front asserted, pursuant to Section 365 of the Bankruptcy Code, a claim against the Debtor in the amount of $16,433.44 for unpaid amounts alleged to be due and owing under the Lease (the “Administrative Claim”);
WHEREAS, Market Front and the Plan Administrator have agreed to compromise and settle the Administrative Claim and all other claims, whether known or unknown (collectively, “the Claims”) on the terms and conditions provided below.
AGREEMENT
1. Nothing in this Settlement shall be deemed or construed as an admission or concession of wrongdoing or liability on the part of either Party.
2. Pursuant and subject to the terms and provisions of this Settlement, the Plan Administrator and Market Front agree that the Claims shall be compromised and settled for a single payment from the Plan Administrator to Market Front in the amount of Eleven Thousand Dollars ($11,000.00) (the “Settlement Amount”).
3. In consideration of the foregoing, Market Front agrees to withdraw its administrative claim, and any and all additional claims against the Debtor. The Parties agree mat if any of the payments or transfers required by this Settlement are avoided or deemed voidable or void for any reason before payment is received by Market Front, the release and discharge of the Plan Administrator provided for in Paragraph 4, below, shall be revoked and be null and void and all of Market Front’s claims and causes of action against the Debtor, existing at the time of execution of this Agreement, shall be reinstated in full, and, in such event, the Plan Administrator hereby irrevocably waives any defense based upon the statute of limitations or bar date for said claims and causes of action. The Parties similarly agree that if any of the payments or transfers required by this Settlement are avoided or deemed voidable or void for any reason before payment is received by Market Front, the release and discharge of Market Front provided for in Paragraph 4, below, shall be revoked and be null and void and all of the Plan Administrator’s rights in causes of action against Market Front, existing at the time of execution of this Agreement, shall be reinstated in fall, and, in such event, Market Front hereby irrevocably waives any defense based upon the statute of limitations or bar date for said claims and causes of action. Upon Market Front’s receipt of payment under this Settlement, the Claims are deemed to have been withdrawn without leave to re-file.
4. In further consideration of the foregoing, Market Front and the Plan Administrator hereby release and forever discharge each other from all claims raised or which could have been raised by the Parties, including, but not limited to, those arising under the Bankruptcy Code.
5. Each Party warrants to the other Party that the individual signing on its behalf has been duly authorized to sign and has the requisite authority to sign this Settlement on behalf of the respective Party.
6. This Settlement may be executed in one or more counterparts, each of which shall constitute one and the same instrument, and shall become effective when one or more counterparts have been signed by each of the Parties. the Parties agree that facsimile signatures will be treated in all manner and respects as a binding and original document, and the signature of any Party shall be considered for these purposes as an original signature.
IN WITNESS WHEREOF, the Parties hereto have caused this Settlement to be executed as of the 17thday of February, 2003.