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Order — Retain Greenberg Traurig as Special Counsel to Board — In re KServicing

Record facts

CourtU.S. Bankruptcy Court for the District of Delaware
Filed2022-11-02

U.S. Bankruptcy Court for the District of Delaware · No. 22-10951 · Doc. 197 · 2022-11-02 · Docket on CourtListener

Summary

An order in In re Kabbage, Inc. d/b/a KServicing, et al., Chapter 11 Case No. 22-10951 (CTG) (Jointly Administered), in the U.S. Bankruptcy Court for the District of Delaware, dated November 2nd, 2022 and filed as Doc 197. The order authorizes the debtors to employ and retain Greenberg Traurig, LLP as special counsel to the Board of Directors of Kabbage, Inc. d/b/a KServicing, effective as of the petition date, under sections 327(e) and 328(a) of the Bankruptcy Code. It relies on the application and the declarations of David B. Kurzweil of Greenberg Traurig. It sets conditions on compensation, including no markup on contract attorney fees without U.S. Trustee agreement, no reimbursement for office supplies, and ten business days' notice before rate increases. The order is signed by United States Bankruptcy Judge Craig T. Goldblatt.

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Full text

RLF1 28187118v.1 
UNITED STATES BANKRUPTCY COURT  
DISTRICT OF DELAWARE 
 
----------------------------------------------------------- 
In re 
 
KABBAGE, INC. d/b/a KSERVICING, et al., 
 
 
Debtors.1 
 
----------------------------------------------------------- 
x 
: 
: 
: 
: 
: 
: 
x 
 
Chapter 11 
 
Case No. 22-10951 (CTG) 
 
(Jointly Administered) 
Re: Docket Nos. 107 & 177 
 
ORDER AUTHORIZING DEBTORS TO  
EMPLOY AND RETAIN GREENBERG TRAURIG, LLP  
AS SPECIAL COUNSEL TO THE BOARD OF DIRECTORS OF  
KABBAGE, INC. D/B/A KSERVICING EFFECTIVE AS OF THE PETITION DATE 
Upon the application (the “Application”) 2 of Kabbage, Inc. d/b/a KServicing and its 
debtor affiliates, as debtors and debtors in possession in the Chapter 11 Cases (collectively, 
the “Debtors”), for entry of an order (i) authorizing the Debtors to employ and retain Greenberg 
Traurig as special counsel to the Board, effective as of the Petition Date, to advise the Board on 
the exercise of its duties and responsibilities and to perform such other services as the Board may 
require; (ii) directing that copies of all notices, pleadings, and other documents filed in these 
Chapter 11 Cases and any and all related adversary proceedings be served upon Greenberg Traurig, 
as special counsel to the Board; and (iii) granting related relief, all as more fully set forth in the 
Application; and upon consideration of the Kurzweil Declaration and the Supplemental 
Declaration of David B. Kurzweil of Greenberg Traurig, LLP [Docket No. 177] 
(the “Supplemental Declaration”); and the Court having jurisdiction over this matter pursuant to 
 
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 have the meanings ascribed to them in the Application. 
Case 22-10951-CTG    Doc 197    Filed 11/02/22    Page 1 of 4

2 
 
RLF1 28187118v.1 
28 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 this matter being a 
core proceeding pursuant to 28 U.S.C. § 157(b); and due and proper notice of the Application 
having been provided; and such notice having been adequate and appropriate under the 
circumstances; and it appearing that no other or further notice need be provided; and this Court 
having reviewed the Application; and upon any hearing held on the Application; and this Court 
being satisfied based on the representations made in the Application, the Kurzweil Declaration, 
and the Supplemental Declaration that Greenberg Traurig does not hold or represent an interest 
adverse to the Debtors’ estates with respect to the matters for which Greenberg Traurig is to be 
retained as required by section 327(e) of the Bankruptcy Code; and this Court having determined 
that the legal and factual bases set forth in the Application establish just cause for the relief granted 
herein; and after due deliberation and sufficient cause appearing therefor, 
IT IS HEREBY ORDERED THAT: 
1. 
The Application is approved as set forth herein. 
2. 
The Debtors are authorized pursuant to sections 327(e) and 328(a) of the 
Bankruptcy Code, Bankruptcy Rules 2014(a) and 2016(b) and Local Rule 2014-1 and 2016-1, to 
retain and employ Greenberg Traurig as special counsel to the Board of Directors of Kabbage, Inc. 
d/b/a KServicing (the “Board”) in the above-captioned Chapter 11 Cases upon the terms and 
conditions as set forth in the Application effective as of the Petition Date. 
3. 
Greenberg Traurig shall be compensated in accordance with the procedures 
set forth in the Application, sections 330 and 331 of the Bankruptcy Code, the Bankruptcy Rules, 
the Local Rules, and any further Orders of this Court. 
Case 22-10951-CTG    Doc 197    Filed 11/02/22    Page 2 of 4

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RLF1 28187118v.1 
4. 
Greenberg Traurig shall be reimbursed for reasonable and necessary 
expenses as provided by the Fee Guidelines. 
5. 
Greenberg Traurig shall not charge a markup to the Debtors with respect to 
fees billed by contract attorneys who are employed by outside agencies that contract with 
Greenberg Traurig to provide services to Greenberg Traurig on behalf of the Debtors without prior 
agreement of the U.S. Trustee or further order of this Court. Greenberg Traurig shall ensure that 
any such contract attorneys are subject to conflict checks and disclosures in accordance with the 
requirements of the Bankruptcy Code and the Bankruptcy Rules. For the avoidance of doubt, 
Greenberg Traurig shall not share fees with existing or future contract attorneys who are employed 
by outside agencies that contract with Greenberg Traurig and that advise on the Debtors’ Chapter 
11 Cases or enter into fee sharing arrangements with such contract attorneys without prior 
agreement of the U.S. Trustee or further order of this Court. 
6. 
Notwithstanding anything to the contrary in the Application, any order 
entered in connection therewith, or any agreement entered into in connection with the Board’s 
retention of Greenberg Traurig, Greenberg Traurig shall not seek reimbursement of expenses for 
office supplies. 
7. 
Greenberg Traurig will make a reasonable effort to comply with the U.S. 
Trustee’s requests for information and additional disclosures as set forth in the Fee Guidelines in 
connection with this Application and any interim and final fee applications to be filed by 
Greenberg Traurig in these Chapter 11 Cases. 
8. 
Any Retainer Balance shall be held by Greenberg Traurig throughout these 
Chapter 11 Cases and shall be applied to Greenberg Traurig’s fees and expenses as may be awarded 
by final order of this Court and payable to Greenberg Traurig. 
Case 22-10951-CTG    Doc 197    Filed 11/02/22    Page 3 of 4

4 
 
RLF1 28187118v.1 
9. 
Greenberg Traurig shall provide ten (10) business days’ notice to the 
Debtors, the U.S. Trustee, and any official committee of unsecured creditors appointed in these 
Chapter 11 Cases before any increases to the rates set forth in the Application are implemented 
and shall file such notice on the docket of the Chapter 11 Cases.  The Court retains the right to 
review any rate increase by Greenberg Traurig under section 330 of the Bankruptcy Code. 
10. 
Greenberg Traurig shall use its best efforts to avoid any duplication of 
services provided by any of the Debtors’ other retained professionals in these Chapter 11 Cases. 
11. 
The Debtors are authorized to take all actions necessary to effectuate the 
relief granted in this Order in accordance with the Application. 
12. 
In the event of any inconsistency between the Application, the Kurzweil 
Declaration, the Supplemental Declaration, and this Order, this Order shall govern. 
13. 
This Court shall retain jurisdiction to hear and determine all matters arising 
from or related to the implementation, interpretation, or enforcement of this Order. 
Dated: November 2nd, 2022 
Wilmington, Delaware
CRAIG T. GOLDBLATT 
UNITED STATES BANKRUPTCY JUDGE
Case 22-10951-CTG    Doc 197    Filed 11/02/22    Page 4 of 4

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archive.org
  1. Order Shortening Notice — Customers Bank Settlement Hearing — In re KServicing (Bankr. D. Del.)same case · 2022-10-28
  2. Order Authorizing Retention of Richards, Layton & Finger as Co-Counsel — In re KServicing (Bankr. D. Del.)same case · 2022-10-28
  3. Motion to Approve Disclosure Statement and Solicitation Procedures — In re KServicingsame case · 2022-10-31
  4. Schedule 2-A, Greenberg Traurig Supplemental Disclosures — In re KServicing (Dkt. 177-1)same docket · 2022-11-01
  5. Further Revised Ordersame docket · 2022-11-01
  6. Second Interim Ordersame docket · 2022-11-01
  7. Order — Retain Jones Day as Special Counsel to Debtors — In re KServicing (Bankr. D. Del.)same docket · 2022-11-02
  8. Order — Employ Ordinary Course Professionals — In re KServicingsame docket · 2022-11-02
  9. Second Interim Order — Cash Management System — In re KServicingsame docket · 2022-11-02
  10. Final Order — NOL Stock Transfer Restrictions — In re KServicingsame docket · 2022-11-02
  11. PLEASE TAKE NOTICE that, pursuant to that certain Final Ordersame docket · 2022-11-02
  12. Final Order — Prepetition Employee Wages & Benefits — In re KServicing (Bankr. D. Del.)same docket · 2022-11-02
  13. OCP Declarationsame docket · 2022-11-02
  14. PLEASE TAKE NOTICE that, pursuant to that certain Final Ordersame docket · 2022-11-02
  15. Notice of Final Ordersame docket · 2022-11-02
  16. Periodic Report — Controlled Non-Debtor Entities (Form 426) — In re KServicingsame case · 2022-11-03
  17. Objection — Cross River Bank Opposes Customers Bank Settlement — In re KServicingsame case · 2022-11-04
  18. Debtors' Reply in Support of Customers Bank Settlement — In re KServicingsame case · 2022-11-06
  19. Declaration of Laquisha Milner in Support of Customers Bank Settlement — In re KServicing (Bankr. D. Del.)same case · 2022-11-06
  20. Order Authorizing Use of Cash Collateral and Granting Adequate Protection — In re KServicingsame case · 2022-11-07

Part of: In re KServicing Wind Down Corp., et al. — U.S. Bankruptcy Court, D. Del. · U.S. Bankruptcy Court for the District of Delaware · Paycheck Protection Program (PPP) · Bankruptcies · Orders and opinions · 2022 · Court filings

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