Andronico's Markets, Inc.

4:11-bk-48963CanbOct 4, 2011

Full text

UNITED

STATES

BANKRUPTCY

COURT NORTHERN DISTRICT OF CALIFORNIA 1300 Clay Street (2d fl.) Oakland, CA. 94612 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 MEMORANDUM UNITED STATES BANKRUPTCY COURT NORTHERN DISTRICT OF CALIFORNIA In re Case No. 11-48963 EDJ Chapter 11 ANDRONICO’S MARKETS, INC., Debtor./ MEMORANDUM UFCW & Employers Benefit Trust Fund and UFCW-Northern California Employers Joint Pension Trust Fund (collectively, “UFCW Funds”) has again moved for an order shortening time on a motion to allow and compel payment of a substantial administrative claim it holds. UFCW Funds requests that the matter be heard on or before October 13, 2011. The debtor opposed UFCW Funds’s first such motion. The current motion is not opposed by the Creditors’ Committee. The motion alleges that unless the claim is paid before the closing of a proposed sale of the debtor’s assets, the claim may not be paid. This is especially true, alleges UFCW Funds, if the Signed: October 04, 2011


EDWARD D. JELLEN U.S. Bankruptcy Judge


Entered on Docket October 04, 2011 GLORIA L. FRANKLIN, CLERK U.S BANKRUPTCY COURT NORTHERN DISTRICT OF CALIFORNIA Case: 11-48963 Doc# 258 Filed: 10/04/11 Entered: 10/04/11 18:08:49 Page 1 of 3

UNITED

STATES

BANKRUPTCY

COURT NORTHERN DISTRICT OF CALIFORNIA 1300 Clay Street (2d fl.) Oakland, CA. 94612 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 2 MEMORANDUM proposed buyer, which holds a lien on the assets to be sold to secure a debt substantially in excess of the proposed purchase price, exercises its right to credit bid. The court will deny the motion. The proposed buyer has the right to credit bid under the Bankruptcy Code, Bankruptcy Code § 363(k), and the law of the case. More significantly, whether UFCW Funds’s claim gets paid has nothing to do with the sale. Either there are or are not sufficient unencumbered assets in the estate to pay UFCW Funds’s claim, if it is allowable. The closing of the sale will not change the amount of any such unencumbered assets. Finally, if UFCW Funds’s claim is undisputed, it may seek a stipulation from the debtor and the creditors’ committee to its allowance. On the other hand, if the claim is disputed, the court is not going to conduct a rushed evidentiary trial of any disputed issues on October 13 for numerous reasons that should be obvious. END OF ORDER Case: 11-48963 Doc# 258 Filed: 10/04/11 Entered: 10/04/11 18:08:49 Page 2 of 3

UNITED

STATES

BANKRUPTCY

COURT NORTHERN DISTRICT OF CALIFORNIA 1300 Clay Street (2d fl.) Oakland, CA. 94612 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 3 MEMORANDUM COURT SERVICE LIST Scott H. Olson, Esq. Seyfarth Shaw LLP 560 Mission Street, Suite 3100 San Francisco, CA 94105 Jason J. DeJonker, Esq. James B. Sowka, Esq. Seyfarth Shaw LLP 131 South Dearborn Street, Suite 2400 Chicago, IL 60603-5577 John Walshe Murray, Esq. Robert A. Franklin, Esq. Jenny Lynn Fountain, Esq. Murray & Murray 19400 Stevens Creek Boulevard, Suite 200 Cupertino, CA 95014-2548 Marcus O. Colabianchi, Esq. Winston & Strawn, LLP 101 California Street, 39 th Floor San Francisco, CA 94111 Lynette C. Kelly, Esq. Office of the U.S. Trustee 1301 Clay Street, Suite 690-N Oakland, CA 94612 Steven M. Hedberg, Esq. Jeanette L. Thomas, Esq. Farschad Farzan, Esq. Perkins Coie LLP 1120 N.W. Couch Street, 10 th Floor Portland, OR 97209 Case: 11-48963 Doc# 258 Filed: 10/04/11 Entered: 10/04/11 18:08:49 Page 3 of 3

Continue your research in ChatGPT or Claude

Connect Omnilex to search the legal corpus from your AI assistant.