12/19/2007 329 Response Filed by Kenneth C. Henry (RE: related document(s)326 Motion for Miscellaneous Relief, filed by Creditor John P Murphy, Creditor Pro Plas LLC, Creditor John P. Murphy III Revocable Trust No 1, Creditor 10315 LLC). (Thompson, Elizabeth) (Entered: 12/19/2007)
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Doc 329
In Re:
CASE NO. 07-50935
CHAPTER 11
PRO MOLD, INC.
DEBTOR
PRO PLAS LLC, JOHN P. MURPHY III REVOCABLE TRUST NO. 1,
10315 LLC AND JOHN P. MURPHY,
MOVANTS,
v.
PRO MOLD, INC.,
RESPONDENT.
RESPONSE TO MOTION FOR IMMEDIATE RELIEF
Kenneth C. Henry, the duly appointed Chapter 11 Trustee in the Bankruptcy Estate (the “Trustee”), files this response to the Motion for Immediate Relief (Docket No. 326) filed by Pro Plas LLC, a Missouri limited liability company, John P. Murphy III Revocable Trust No. 1, 10315 LLC, a Missouri limited liability company, and John P. Murphy (collectively, “the Murphy Entities”) and states the following in support.
Jurisdiction and Bankruptcy Filing
1. The Court has jurisdiction regarding this matter pursuant to 28 U.S.C. § 1334 and 28 U.S.C. § 157 and the Local Rules for the United States District Court for the Eastern District of Kentucky.
2. This matter is a core proceeding pursuant to 28 U.S.C. § 157(b)(2)(D).
3. Debtor Pro Mold continued to operate its business and manage its financial affairs pursuant to Sections 1107 and 1108 of the Bankruptcy Code from May 16, 2007 until October 3, 2007, under the control of James N. Turek, Sr., Debtor Pro Mold’s President.
4. On October 3, 2007, this Court ordered the Appointment of a Chapter 11 Trustee.
The Office of the United States Trustee appointed Kenneth Henry to serve as the Chapter 11 Trustee (“Trustee”).
December 6, 2007 Order (Docket No. 322)
5. On December 6, 2007, the Court signed and the Clerk entered the Order on Motion for Relief from Automatic Stay filed by the Murphy Entities (“Order”)(Docket No. 322) and the Order is incorporated herein by reference.
6. The Murphy Entities are not entitled to relief from stay under the Order.
7. A check was issued to the John P. Murphy III Revocable Trust No. 1 on Monday, December 17, 2007 in the amount of $3,087.71 and made available for pickup by the Murphy Entities on that day consistent with prior practices between the parties.
8. A check was issued to the John P. Murphy III Revocable Trust No. 1 on Monday, December 19, 2007 in the amount of $9,619.45 and made available for pickup by the Murphy Entities on that day consistent with prior practices between the parties.
9. Moreover, the following payments are ones that are being made in the ordinary course of business according to agreed terms:
Creditor - Amount* - Due Date of Oldest Post Petition Invoice
a. Remedy (temporary service) - $23,857.82 - 10/26/2007
b. Matt Lang - $7,618.00 - 11/09/2007
c. Excel Temporary Service (approximately) - $4,333.00 - 11/19/2007
d. Flexway Trucking, Inc. - $3,546.00 - 11/30/2007
e. Anthem Blue Cross Blue Shield Missouri - $7,622.96 - 12/07/2007
f. Total - $46,977.78
*Amounts obtained for this schedule were from Debtor Pro Mold’s Quickbooks download as of approximately 9:00 a.m. on Friday, December 14, 2007.
Specifically, Remedy has agreed to accept weekly payments which are being made.
Excel has been paid $2,561.00 since November 19, 2007 and will receive further payment as agreed.
Anthem Blue Cross Blue Shield Missouri was paid on December 19, 2007.
The Trustee, therefore, denies that the Murphy Entities are entitled to either: 1) relief from the stay at this time or 2) immediate surrender of the premises.
WHEREFORE, the Trustee requests entry of an order overruling the Motion and such other relief to which the Trustee may appear entitled.
Respectfully submitted,
/s/Elizabeth Lee Thompson
Elizabeth Lee Thompson
STITES & HARBISON, PLLC
250 West Main Street, Suite 2300
Lexington, KY 40507-1758
Telephone:(859) 226-2300
Counsel for Kenneth C. Henry,
Chapter 11 Trustee
CERTIFICATE OF SERVICE
This is to certify that the foregoing was served this the 19th day of December, 2007, electronically in accordance with the method established under this Court’s CM/ECF Administrative Procedures upon all parties in the electronic filing system in the case, by electronic mail and/or first class mail.
/s/Elizabeth Lee Thompson
Elizabeth Lee Thompson |
