Opinion
Case No. 02-13533 (AJG), (Jointly Administered)
February 25, 2003
ORDER PURSUANT TO SECTION 365(a) OF THE BANKRUPTCY CODE AND BANKRUPTCY RULE 6006 AUTHORIZING REJECTION OF SONET RINGS
Upon the amended motion, dated January 17, 2003 (the "Amended Motion"), of WorldCom, Inc. and certain of its direct and indirect subsidiaries, as debtors and debtors in possession (collectively, "WorldCom" or the "Debtors"), for an order pursuant to section 365(a) of title 11 of the United States Code (the "Bankruptcy Code") and Rule 6006 of the Federal Rules of Bankruptcy Procedure (the "Bankruptcy Rules"), authorizing the Debtors to reject the 86 Remaining SONET Rings (as defined in the Motion), Tail Circuits (as defined in the Motion), and the Agreements (as defined in the Motion) related thereto, as more fully set forth in the Motion; and the Court having jurisdiction to consider the Amended Motion and the relief requested therein pursuant to 28 U.S.C. § 157 and 1334; and consideration of the Amended Motion and the relief requested therein being a core proceeding pursuant to 28 U.S.C. § 157(b); and venue being proper before this Court pursuant to 28 U.S.C. § 1408 and 1409; and due notice of the Amended Motion having been provided in accordance with the Court's case management order, dated July 29, 2002, and it appearing that no other or further notice need be provided; and upon the Amended Motion, the papers filed in support thereof, the responses thereto, if any, and all proceedings had before the Court; and the Court having found and determined that the relief requested in the Amended Motion is an exercise of the Debtors' sound business judgment and is in the best interests of the Debtors, their estates, and their creditors; and after due deliberation and sufficient cause appearing therefor; it is
ORDERED that the Amended Motion is granted; and it is further
ORDERED that, pursuant to section 365(a) of the Bankruptcy Code and Bankruptcy Rule 6006, the rejection of the 86 Remaining SONET Rings, Tail Circuits, and the Agreements is approved; and it is further
ORDERED that the rejection of each of the 86 Remaining SONET Rings and the Agreements related thereto is effective as of the effective date of the disconnect order for each such SONET Ring or any remaining Tail Circuit associated with such SONET Ring, whichever is later; provided, however, that, to the extent more than one SONET Ring is governed by the same Agreement, the effective date of rejection for each such SONET Ring shall be the effective date of the disconnect order for the final SONET Ring or Tail Circuit disconnected under such Agreement; provided, further, that nothing herein shall be deemed to affect the Debtors' rights to assert that any postpetition, pre-rejection amounts due and owing for any disconnected SONET Ring or Tail Circuit are not entitled to administrative expense priority pursuant to section 503 of the Bankruptcy Code; and it is further
ORDERED that, after the last Agreement (as defined in the Motion) between the Debtors and the operating company affiliates of Verizon Communications Inc. ("Verizon") is rejected pursuant to this Order, Verizon shall have 30 days to file claims for rejection damages resulting from the rejections authorized by this Order; and it is further
ORDERED that, after the last Agreement (as defined in the Motion) between the Debtors and Qwest Corporation ("Qwest") is rejected pursuant to this Order, Qwest shall have 30 days to file claims for rejection damages resulting from the rejections authorized by this Order; and it is further
ORDERED that nothing in this Order shall be construed as relieving the Debtors or any other person or entity of any obligation to comply with section 214 of the Federal Communications Act or any other applicable law; and it is further
ORDERED that the requirement under Rule 9013-1(b) of the Local Bankruptcy Rules for the Southern District of New York for the filing of a memorandum of law is waived.