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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 27 Case 1:13-bk-15929-AA Doc 502 Filed 01/30/14 Entered 01/30/14 17:10:44 Desc Main Document Page 1 of 39 1 Richard M. Pachulski (SBN 90073) Jeffrey W. Dulberg (SBN 181200) 2 PACHULSKI STANG ZIEHL & JONES LLP 10100 Santa Monica Blvd., 13th Floor 3 Los Angeles, CA 90067 Telephone: 310/277-6910 4 Facsimile: 310/201-0760 E-mail: [email protected] 5 [email protected] 6 Proposed Counsel for David K. Gottlieb, Chapter 7 Trustee 7 8 UNITED STATES BANKRUPTCY COURT 9 CENTRAL DISTRICT OF CALIFORNIA 10 SAN FERNANDO VALLEY DIVISION 11 In re: Chapter 7 LLP LLP 12 KSL MEDIA, INC., T.V. 10'S, LLC, and Case No.: 1:13-bk-15929-AA ONES FULCRUM 5, INC., J & AW 13 Jointly Administered with Case Nos.: L T ALIFORNIA A Debtors. 1:13-bk-15930-AA and 1:13-bk-15931-AA C IEHL , Z 14 NGELES NOTICE OF MOTION AND MOTION OF TTORNEYS TANG TANG A A S OS 15 CHAPTER 7 TRUSTEE FOR AN ORDER L Affects KSL Media, Inc. LIMITING SCOPE OF NOTICE; 16 MEMORANDUM OF POINTS AND ACHULSKI Affects T.V. 10’s, LLC P AUTHORITIES IN SUPPORT THEREOF; 17 Affects Fulcrum 5, Inc. DECLARATION OF DAVID K. GOTTLIEB Affects All Debtors 18 [No Hearing Requested per Local Bankruptcy Rule 9013-1(o)(1)] 19 20 TO THE HONORABLE ALAN M. AHART, UNITED STATES BANKRUPTCY JUDGE; ALL CREDITORS AND EQUITY SECURITY HOLDERS; PARTIES REQUESTING 21 SPECIAL NOTICE; AND THE OFFICE OF THE UNITED STATES TRUSTEE: 22 PLEASE TAKE NOTICE that David K. Gottlieb, the duly appointed chapter 7 trustee (the 23 “Trustee”) in the jointly administered bankruptcy cases (the “Cases”) of debtors KSL Media, Inc. 24 (“KSL”), T.V. 10’s, LLC (“T.V. 10’s”), and Fulcrum 5, Inc. (“Fulcrum”) and collectively with KSL 25 and T.V.10’s, the “Debtors”), hereby moves the Court for entry of an order limiting the scope of 26 notice of certain matters as set forth herein (the “Motion”). By this Motion, the Trustee seeks, 27 pursuant to Rules 2002(i), 2002(m), 4001, 6004, 6006, 6007, 9006, 9007, 9013, 9014, and 9019 of 28 the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”), entry of an order authorizing 001 Case 1:13-bk-15929-AA Doc 502 Filed 01/30/14 Entered 01/30/14 17:10:44 Desc Main Document Page 2 of 39 1 the Trustee to limit notice of the Limited Notice Matters (as defined in the attached Memorandum of 2 Points and Authorities) in these Cases to the following parties: (1) the Office of the United States 3 Trustee, (2) parties that have previously filed or file with the Court requests for notice of all matters 4 in accordance with Bankruptcy Rule 2002(i), and (3) any party with a direct pecuniary interest in the 5 subject matter of the particular Limited Notice Matter or its counsel. In addition, to provide 6 interested parties with ready access to critical filings, the Trustee will maintain a website established 7 at: www.pszjlaw.com/kslmedia.html where all notices and motions filed by the Trustee, any 8 objections thereto and the resulting orders will be posted. If the relief requested herein is granted, 9 the burden, complication, delay and cost to the Debtors’ estates that is associated with administering 10 the Cases and providing notice of the proceedings in these Cases to thousands of parties1 would be 11 dramatically reduced. LLP LLP 12 PLEASE TAKE FURTHER NOTICE that the Motion is based on this Notice and Motion, ONES J & AW 13 the attached Memorandum of Points and Authorities, the Declaration of David K. Gottlieb filed in L T ALIFORNIA A C IEHL , Z 14 support hereof, the arguments of counsel, and other admissible evidence properly brought before the NGELES TTORNEYS TANG TANG A A S OS 15 United States Bankruptcy Court for the Central District of California, San Fernando Valley Division L 16 (the “Court”). In addition, the Trustee requests that the Court take judicial notice of all documents ACHULSKI P 17 filed with the Court in this Cases. 18 PLEASE TAKE FURTHER NOTICE that, pursuant to Bankruptcy Local Rule 9013- 19 1(o)(1), any objection to or request for hearing on the Motion must be filed and served upon the 20 Debtors within fourteen (14) days of the mailing of this Notice. Any objection or request for hearing 21 must be accompanied by any declarations or memoranda of law that the objecting or requesting 22 party wishes to present in support of its position. If there is no timely objection or request for 23 hearing, the Court may grant the relief requested in the Motion by default. If an objection or request 24 for hearing is timely made, the Trustee will set the matter for hearing and will provide at least 25 fourteen (14) days’ written notice of the hearing to the objecting or requesting party. 26 WHEREFORE, the Trustee respectfully request that this Court enter an order (1) limiting 27 the scope and manner of notice as set forth herein and in the Memorandum of Points and Authorities 28 1 There are approximately 1400 parties listed on Schedules E and F in these Cases. 002 Case 1:13-bk-15929-AA Doc 502 Filed 01/30/14 Entered 01/30/14 17:10:44 Desc Main Document Page 3 of 39 1 attached hereto, and (2) granting such other and further relief as is just and proper under the 2 circumstances. 3 Dated: January 30, 2014 PACHULSKI STANG ZIEHL & JONES LLP 4 By /s/ Jeffrey W. Dulberg 5 Richard M. Pachulski Jeffrey W. Dulberg 6 Proposed Counsel for David K. Gottlieb, 7 Chapter 7 Trustee 8 9 10 11 LLP LLP 12 ONES J & AW 13 L T ALIFORNIA A C IEHL , Z 14 NGELES TTORNEYS TANG TANG A A S OS 15 L 16 ACHULSKI P 17 18 19 20 21 22 23 24 25 26 27 28 003 Case 1:13-bk-15929-AA Doc 502 Filed 01/30/14 Entered 01/30/14 17:10:44 Desc Main Document Page 4 of 39 1 MEMORANDUM OF POINTS AND AUTHORITIES 2 I. 3 INTRODUCTION 4 The Trustee2 is seeking an order of this Court limiting notice to be given on certain motions 5 and applications that might be filed in these Cases as set forth below. Such a procedure is necessary 6 and appropriate because the Debtors’ list approximately 1400 creditors in their Schedules filed in 7 these Cases. Requiring notice to, and service upon, so many persons or entities would substantially 8 increase the cost and administrative burden on the estates and diminish the assets ultimately 9 available for creditors without conferring any meaningful benefit on the Debtors’ creditors. The 10 Trustee submits that the proposed limited scope of notice is necessary to avoid the unnecessary 11 administrative costs of serving notice of all pleadings on hundreds of parties, many of whom will not LLP LLP 12 even read such notices, while simultaneously assuring that the interested parties in these Cases ONES J & AW 13 receive proper and sufficient notice of all matters. L T ALIFORNIA A C IEHL , Z 14 II. NGELES TTORNEYS TANG TANG A A S OS 15 STATEMENT OF FACTS L 16 A. Jurisdiction and Venue ACHULSKI P 17 The Court has jurisdiction over this matter pursuant to 28 U.S.C. §§ 157 and 1334. This is a 18 core proceeding pursuant to 28 U.S.C. § 157(b)(2). The venue is proper pursuant to 28 U.S.C. 19 §§ 1408 and 1409. 20 B. Background of Cases 21 On September 11, 2013, the Debtors each filed voluntary petitions for relief under chapter 11 22 of the Bankruptcy Code, which Cases were being jointly administered under Case No.: 1:13-bk- 23 15929-AA. On November 18, 2013, the Debtors filed amended Schedules (Docket No. 257 in the 24 KKL Case, Docket No. 45 in the T.V. 10’s and Fulcrum Cases) in each of the Cases listing hundreds 25 of possible creditors in the aggregate. 26 27 28 2 Capitalized terms not otherwise defined herein shall have the meaning given to them in the attached Notice of Motion and Motion of Chapter 7 Trustee for an Order Limiting Scope of Notice (the “Motion”). 1 DOCS_LA:274898.4 47516/003 004 Case 1:13-bk-15929-AA Doc 502 Filed 01/30/14 Entered 01/30/14 17:10:44 Desc Main Document Page 5 of 39 1 On December 30, 2013, the Debtors filed a Motion to Convert Case Under 11 U.S.C. §§ 2 706(a) or 1121(a) in the each of the Cases [Docket No. 427 in KSL Case; Docket No. 49 in TV 10’s 3 Case; and Docket No. 53 in Fulcrum’s Case]. That same day, the Court entered orders converting 4 the Cases to cases under chapter 7 of the Bankruptcy Code [Docket Nos. 430, 51 and 55, 5 respectively], and the Office of the United States Trustee appointed David K. Gottlieb as the chapter 6 7 trustee in each of the Cases [Docket Nos. 433, 52 and 56, respectively]. The Cases continue to be 7 jointly administered under Case No.: 1:13-bk-15929-AA. 8 C. The Background of the Debtors’ Businesses 9 KSL, a Delaware corporation formed in 1981, has its principal place of business at 15910 10 Ventura Blvd., 9th Floor, Encino, California. It also maintained offices at 387 Park Avenue, New 11 York, New York and 7251 West Lake Mead Blvd., Las Vegas, Nevada.
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