Case No. 02 B 12059, (Jointly Administered)United States Bankruptcy Court, N.D. Illinois.
March 17, 2004
SETTLEMENT APPROVAL ORDER
CAROL DOYLE, Bankruptcy Judge
On the Liquidating Trust’s Motion for Approval of Compromise and Settlement with St. Paul Mercury Insurance Company (“St, Paul”) and Gulf Insurance Company (“Gulf”), the Court having conducted a hearing, and good cause having been shown, for the reasons stated herein and in open court, it is hereby ORDERED:
1. The Liquidating Trust’s Motion is granted.
2. The Court finds that the notice actually given of the Settlement Motion was adequate and sufficient, to the creditors, the defendants i HA 2003, Inc. v. Federal Insurance Company, et al., Case No. 0? A 4448 (the “Insurance Adversary”), and to the other parties receiving notice,
3. The Court finds that the proposed partial compromise and settlement of the Insurance Adversary and HA-LO Industries, Inc. v. Kelley, Case No. 02 A. 2456 (the “Kelley Adversary”) is in the best interests of the Estate, considering the potential risks and rewards facing the Liquidating Trust in the absence of the partial settlement and the value of the consideration offered to the Liquidating Trust in exchange for this compromise, and settlement.
4. The Court finds that upon payment of the Settlement Amount specified in the Settlement. Agreement between the Liquidating Trust, St, Paul, and John R. Kelley, Jr. (the “St, Paul Settlement Agreement”). St. Paul shall have no further payment obligation to any insured, to the Liquidating Trust or to any other party under the St. Paul Policy,
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5. The Court finds that upon payment of the Settlement Amount specified in the Settlement Agreement between the Liquidating Trust, Gulf, and John R, Kelley, Jr. (the “Gulf Settlement Agreement”), Gulf shall have no further payment obligation to any insured, to the Liquidating Trust or to any other party under the Gulf Policy.
6. The Court approves the respective settlements with St. Paul and Gulf, and authority the Clark of the Bankruptcy Court to arrange for payment of the funds deposited (or to be deposited) by St. Paul and Gulf, plus accumulated interest, to the HA 2003 Liquidating Trust, c/o Spelling Slater. 55 W. Monroe St., Suite 3200, Chicago, Illinois, 60603,
7. The Court hereby finds that the St. Paul and Gulf Settlement Agreements are entered into in good faith, including within the meaning of section 2(c) of the Illinois Joint Tortfeasor Contribution Act, 740 ILCS 100/2 (2003), and enters a claim bar precluding any claims for indemnity or contribution by the non-settling insurer against St, Paul or Gulf.
8. The Court retains jurisdiction to enforce the terms of the St, Paul and Gulf Settlement Agreements,
9. The Settlement Motion is brought in a core proceeding and this Order is a final order as those terms are used in 28 U.S.C. § 157 158.
10. This Order is entered without prejudice to the rights of any non-settling insurer to continue to contest coverage and will not be deemed to construe as a matter of law the rights and obligations of any such non-settling insurer under its respective policy,
11. For good cause shown, the 10-day slay period specified in Bankruptcy Rule 6004(g) is waived. This is a final order which is effective immediately.