Opinion
Case No. 399-02649, Jointly Administered, Adv.Proc. No. 301-0145A, (Advertising).
June 10, 2003.
Paul G. Jennings, Esq., Beth A. Dunning, Esq., Bass, Berry Sims PLC, Nashville, TN, Attorneys for Debtors and Debtors in Possession.
Charles F. Smith, Esq., Frames P. Kao, Esq., Skadden, Arps, State, Meagher Flom, Chicago, IL, Attorneys for Debtors and Debtors in Possession.
Donna P. Touzalin, Freeborn Peters, Chicago, IL, Attorneys for Defendant Knight-Ridder, Inc. d/b/a The Kansas City Star.
AGREED ORDER OF SETTLEMENT AND DISMISSAL
Upon the agreement of the parties that this adversary proceeding h s been resolved and should be dismissed, the Court FINDS, ADJUDGES AND DECREES:
A. Prior to March 14, 2001, the Plaintiffs, Service Merchandise Company, Inc. ("Service Merchandise") and 31 of its affiliates (the "Affiliate Debtors"; collectively, with Service Merchandise, the "Plaintiffs"), initiated the above-captioned adversary proceeding by filing their Complaint to Avoid Preferential Transfers and to Recover Amount of Such Transfers (the "Complaint") against the defendant, Knight-Ridder, Inc. d/b/a The Kansas City Star ("Kansas City Star").
B. The Debtors and Kansas City Star have executed a Settlement Agreement and Stipulation (the "Settlement") providing for the resolution of the subject matter of the Complaint and any and all factual and legal issues raised therein.
C. Pursuant to the Settlement, Kansas City Star has agreed to waive its claim for $27,535 in unpaid invoices including the withdrawal of any proof of claim it filed for such amount.
D. Pursuant to the Settlement and in partial consideration therefor, Kansas City Star has agreed, as evidenced by the signature of its attorney below, and is hereby deemed to voluntarily waive any and all claims against the Debtors in these bankruptcy cases for the consideration provided by Kansas City Star pursuant to this agreed order of dismissal (the "Agreed Order of Dismissal").
E. Kansas City Star has acknowledged, as evidenced by the signature of its attorney below, and is hereby found to have waived any such claim having adequate opportunity to consult with counsel concerning Kansas City Star's legal rights and the effect of this waiver.
F. In consideration of Kansas City Star's agreement to waive its rights to $27,535 in unpaid invoices, and of Kansas City Star's knowing and voluntary waiver of any and all claims against the Debtors in these bankruptcy cases for the waiver of unpaid invoices which waiver was in partial consideration for the Agreed Order of Dismissal, the Debtors have agreed to dismiss the Complaint with prejudice.
NOW, THEREFORE, IT IS HEREBY ORDERED:
1. Kansas City Star shall not have and is forever barred from asserting against the Debtors any claim arising prepetition.
2. The Complaint shall be and hereby is dismissed, with prejudice, each party bearing its own costs.
3. The Court shall retain jurisdiction to hear any matters or disputes arising from or relating to the Agreed Order of Dismissal.