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Kabbage - COC re Order to Enforce CUBI Settlement

Date
2023-03-27

Summary

Exhibit 1, filed March 27, 2023 as Doc 730-1 in In re Kabbage, Inc. d/b/a KServicing, et al., Case No. 22-10951 (CTG), in the United States Bankruptcy Court for the District of Delaware, is a Revised Order Enforcing the Settlement Order and the Settlement Agreement Between KServicing and Customers Bank. The revised order recites the Debtors' motion under Section 105(a) of the Bankruptcy Code [Docket No. 340], the evidentiary hearing held March 20, 2023 and the decision read into the record on March 22, 2023. Its text would grant the motion and would find that Customers Bank owes $1,555,656.00 to the Debtors as further payment of the Settlement Payment, determining the total Settlement Payment to be $22,055,340.00. It would direct payment within three business days of entry and would retain the court's jurisdiction. The exhibit is three pages and unsigned.

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Full text

               Case 22-10951-CTG   Doc 730-1   Filed 03/27/23   Page 1 of 3




                                     EXHIBIT 1

                                    Revised Order




RLF1 28770021v.1
                       Case 22-10951-CTG          Doc 730-1          Filed 03/27/23     Page 2 of 3




                            IN THE UNITED STATES BANKRUPTCY COURT
                                 FOR THE 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)
                                                                 :
                                                                 :       Re: Docket Nos. 340-342, 356, 358, 359,
                                                                         670, 671, 672
                                                                 :
    ------------------------------------------------------------ x
         ORDER ENFORCING THE SETTLEMENT ORDER AND THE SETTLEMENT
            AGREEMENT BETWEEN KSERVICING AND CUSTOMERS BANK

             Upon the motion2 of the above-captioned debtors and debtors-in-possession (the

    “Debtors”) for entry of an order, pursuant to Section 105(a) of title 11 of the United States Code

    (the “Bankruptcy Code”), among other things, enforcing the Court’s Order Authorizing and

    Approving the Settlement Agreement Between KServicing and Customers Bank and Granting

    Related Relief [Docket No. 232] (the “Settlement Order”) and the Settlement Agreement; and in

    consideration of the Motion and the requested relief being a core proceeding pursuant to 28 U.S.C.




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 herein and not otherwise defined shall have the meanings given to them
    in the Motion of Debtors for Entry of an Order Enforcing the Settlement Order and the Settlement
    Agreement Between KServicing and Customers Bank, (Dec. 7, 2022) (“Motion”) [Docket No. 340]
    and Debtors’ Reply in Further Support of Motion of Debtors for Entry of an Order Enforcing the
    Settlement Order and the Settlement Agreement Between KServicing and Customers Bank
    (“Reply”) [Docket No. 670].




    RLF1 28784772V.1
                   Case 22-10951-CTG      Doc 730-1      Filed 03/27/23    Page 3 of 3




§ 157(b)(2); and the Debtors and Customers Bank (“CB”) having consented to entry of a final

order by this Court under Article III of the United States Constitution; and venue being proper

before this Court pursuant to 28 U.S.C. §§ 1408 and 1409; and appropriate notice of and the

opportunity for a hearing on the Motion having been given; and the Court having held an

evidentiary hearing on March 20, 2023; and the Court having determined that the legal and factual

bases set forth in the Motion establish just cause for the relief granted herein; and after due

deliberation and sufficient cause appearing therefor;

         NOW, THEREFORE, IT IS HEREBY ORDERED THAT:

                    1.    For the reasons set forth in the decision read into the record by this Court

on March 22, 2023, the Motion is GRANTED as set forth herein. All other aspects of that Motion

have been withdrawn and are no longer controverted as set forth on the record at the Motion

hearing on March 20, 2023.

                    2.    CB is hereby found and adjudged to owe the amount of $1,555,656.00 to

the Debtors as further payment of the Settlement Payment under the Settlement Order, and the

total Settlement Payment is therefore determined to be $22,055,340.00.

                    3.    CB is directed to and shall, within three (3) business days of entry of this

Order, pay $1,555,656.00 to the Debtors in accordance with payment instructions to be provided

by the Debtors.

                    4.    This Court retains exclusive jurisdiction to hear and determine all matters

arising from or related to the implementation, interpretation, and enforcement of this Order.




                                                   2
RLF1 28784772V.1


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