Order Authorizing Retention of Richards, Layton & Finger as Co-Counsel — In re KServicing (Bankr. D. Del.)

Record facts

U.S. Bankruptcy Court for the District of Delaware · No. 22-10951 · Doc. 175 · 2022-10-28 · Docket on CourtListener

Full text

RLF1 28156270v.1 
UNITED STATES BANKRUPTCY COURT 
DISTRICT OF DELAWARE 
------------------------------------------------------------ x 
 
In re 
: 
Chapter 11 
: 
 
KABBAGE, INC. d/b/a KSERVICING, et al., : 
Case No. 22-10951 (CTG) 
: 
 
: 
 
 
Debtors.1 
: 
: 
: 
(Jointly Administered) 
 
Ref. Docket No. 46 & 170 
------------------------------------------------------------ x 
 
 
ORDER AUTHORIZING RETENTION  
AND EMPLOYMENT OF RICHARDS,  
LAYTON & FINGER, P.A. AS CO-COUNSEL  
TO THE DEBTORS EFFECTIVE AS OF PETITION DATE 
Upon the application (the “Application”)2 of the above-captioned debtors and 
debtors in possession (the “Debtors”) for employment and retention of Richards, Layton & 
Finger, P.A. (“RL&F”) as co-counsel for the Debtors effective as of the Petition Date pursuant 
to section 327(a) of the Bankruptcy Code, Bankruptcy Rules 2014 and 2016(a) and Local Rule 
2014-1, all as more fully described in the Application; and upon consideration of the First Day 
Declaration, the DeFranceschi Declaration and the Supplemental Declaration of Daniel J. 
DeFranceschi in Support of Application of Debtors to Retain and Employ Richards, Layton & 
Finger, P.A. as Co-Counsel to the Debtors Effective as of Petition Date [Docket No. 170] (the 
“Supplemental Declaration”); and due and proper notice of the Application having been given; 
and having determined that no other or further notice of the Application is required; and having 
determined that this Court has jurisdiction to consider the Application in accordance with 28 
 
1 The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax identification 
number, as applicable are: Kabbage, Inc. d/b/a KServicing (3937); Kabbage Canada Holdings, LLC (N/A); 
Kabbage Asset Securitization LLC (N/A); Kabbage Asset Funding 2017-A LLC (4803); Kabbage Asset Funding 
2019-A LLC (8973); and Kabbage Diameter, LLC (N/A).  Kabbage is a trademark of American Express used 
under license; Kabbage, Inc. d/b/a KServicing is not affiliated with American Express.  The Debtors’ mailing and 
service address is 925B Peachtree Street NE, Suite 383, Atlanta, GA 30309. 
2 Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to such terms in the 
Application. 
Case 22-10951-CTG    Doc 175    Filed 10/28/22    Page 1 of 4

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RLF1 28156270v.1 
U.S.C. §§ 157 and 1334 and the Amended Standing Order of Reference from the United States 
District Court for the District of Delaware, dated as of February 29, 2012; and having determined 
that this is a core proceeding pursuant to 28 U.S.C. § 157(b)(2); and having determined that 
venue of this proceeding and the Application is proper pursuant to 28 U.S.C. §§ 1408 and 1409; 
and due and proper notice of the Application having been provided in accordance with the 
Bankruptcy Rules and the Local Rules, and it appearing that no other or further notice need be 
provided; and a hearing, if any, having been held to consider the relief requested in the 
Application (the “Hearing”); and upon consideration of the DeFranceschi Declaration, the 
Supplemental Declaration and the record of the Hearing, if any; and having found that RL&F is a 
“disinterested person” within the meaning of section 101(14) of the Bankruptcy Code and that 
RL&F has the capability and experience to provide the services described in the Application; and 
it appearing that the employment of RL&F is in the best interests of the Debtors, their estates and 
creditors; and after due deliberation and sufficient cause appearing therefor, 
IT IS HEREBY ORDERED THAT: 
1. 
The Application is GRANTED as set forth herein. 
2. 
The Debtors are authorized pursuant to sections 327(a) and 328(a) of the 
Bankruptcy Code to employ and retain RL&F as co-counsel to the Debtors on the terms and 
conditions set forth in the Application, the DeFranceschi Declaration and the Supplemental 
Declaration effective as of the Petition Date. 
3. 
RL&F shall apply for compensation for professional services rendered and 
reimbursement of expenses incurred in connection with the Debtors’ Chapter 11 Cases in 
compliance with the applicable provisions of the Bankruptcy Code, Bankruptcy Rules, Local 
Rules, and any other applicable procedures and orders of the Court.  RL&F shall make 
reasonable efforts to comply with the U.S. Trustee’s requests for information and additional 
disclosures as set forth in the Guidelines for Reviewing Applications for Compensation and 
Case 22-10951-CTG    Doc 175    Filed 10/28/22    Page 2 of 4

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RLF1 28156270v.1 
Reimbursement of Expenses Filed Under 11 U.S.C. § 330 by Attorneys in Larger Chapter 11 
Cases Effective as of November 1, 2013, in connection with any interim and/or final fee 
application(s) to be filed by RL&F in these Chapter 11 Cases. 
4. 
RL&F shall, to the extent it has not previously done so, first apply the 
Retainer to all prepetition invoices and, thereafter, any remaining balance of the Retainer shall be 
held by RL&F throughout the Debtors’ Chapter 11 Cases and applied against the last due fees 
and expenses as may be awarded by final order and payable to RL&F.   
5. 
No agreement or understanding exists between RL&F and any other 
person, other than as permitted by section 504 of the Bankruptcy Code, to share compensation 
received for services rendered in connection with the Chapter 11 Cases, nor shall RL&F share or 
agree to share compensation received for services rendered in connection with the Chapter 11 
Cases with any other person other than as permitted by section 504 of the Bankruptcy Code. 
6. 
Notwithstanding anything in the Application to the contrary, RL&F shall 
(i) to the extent that RL&F uses the services of independent contractors or subcontractors 
(collectively, the “Contractors”) in the Chapter 11 Cases, pass-through the cost of such 
Contractors at the same rate that RL&F pays the Contractors; (ii) seek reimbursement for actual 
costs only; (iii) ensure that the Contractors are subject to the same conflicts check as required for 
RL&F; and (iv) file with this Court such disclosures required by Bankruptcy Rule 2014. 
7. 
Notwithstanding anything to the contrary in the Application, any order 
entered in connection therewith, or any agreement entered into in connection with the Debtors’ 
retention of RL&F, RL&F shall not seek reimbursement of expenses for office supplies. 
Case 22-10951-CTG    Doc 175    Filed 10/28/22    Page 3 of 4

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RLF1 28156270v.1 
8. 
Notice of the Application as provided therein is deemed to be good and 
sufficient notice of such Application, and the requirements of the Local Rules are satisfied by the 
contents of the Application. 
9. 
The terms and conditions of this Order shall be immediately effective and 
enforceable upon its entry. 
10. 
The Debtors are authorized to take all actions necessary to effectuate the 
relief granted pursuant to this Order in accordance with the Application. 
11. 
In the event of any inconsistency between the Application, the 
DeFranceschi Declaration, the Supplemental Declaration, and this Order, this Order shall govern. 
12. 
The Court shall retain jurisdiction to hear and determine all matters arising 
from or related to the implementation, interpretation and/or enforcement of this Order. 
 
Dated: October 28th, 2022 
Wilmington, Delaware
CRAIG T. GOLDBLATT 
UNITED STATES BANKRUPTCY JUDGE
Case 22-10951-CTG    Doc 175    Filed 10/28/22    Page 4 of 4

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