Opinion
Case No. 399-02649, Jointly Administered, Adv. Proc. No. 301-647A.
June 30, 2004
Kathleen S. Donius, Reinhart Boerner Van Deuren s.c., Milwaukee, Wisconsin, Attorneys for the Defendants.
AGREED ORDER OF SETTLEMENT AND DISMISSAL
Upon the agreement of the parties that this adversary proceeding has 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 defendants, Racing Champions, Inc. and Racing Champions South, Inc. (the "Defendants").
B. The Debtors and the Defendants have reached a settlement and agreed resolution (the "Settlement") of the subject matter of the Complaint and any and all factual and legal issues raised therein.
C. Pursuant to the Settlement, the Defendants have paid the Debtors the principal amount of $150,000.00.
D. Pursuant to the Settlement and in partial consideration therefor, the Defendants have agreed, as evidenced by the signature of the Defendants below, and are hereby deemed to voluntarily waive any and all claims against the Debtors in these bankruptcy cases for the amount paid by the Defendants pursuant to this agreed order of dismissal (the "Agreed Order of Dismissal").
E. The Defendants have acknowledged, as evidenced by the signatures below, and are hereby found to have waived any such claim having adequate opportunity to consult with counsel concerning the Defendants' legal rights and the effect of this waiver.
F. In consideration of the Defendants' payment of the principal amount of $150,000.00, and of the Defendants' knowing and voluntary waiver of any and all claims against the Debtors in these bankruptcy cases for the amount paid by the Defendants in partial consideration for the Agreed Order of Dismissal, the Debtors have agreed to dismiss the Complaint with prejudice, each party to bear its own costs.
NOW, THEREFORE, IT IS HEREBY ORDERED:
1. The Defendants shall not have and are forever barred from asserting any claim against the Debtors for the amount paid by the Defendants hereunder.
2. The Complaint shall be and hereby is dismissed, with prejudice, each party bearing its own costs.