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Vyaire - Plan Administrator Limited Response to Administrative Claims

Date
2024-06-09

Summary

The Plan Administrator's omnibus limited response and reservation of rights to improperly noticed motions seeking allowance and payment of administrative claims, filed January 2, 2025 as Doc 913 in In re Vyaire Medical, Inc., et al., Case No. 24-11217 (BLS), in the U.S. Bankruptcy Court for the District of Delaware. It is filed by David M. Barse as Plan Administrator, through Cole Schotz P.C. The response recounts the June 9, 2024 petition date, the confirmation order at Docket No. 745 and the November 27, 2024 effective date, and states that the Administrative Claims Objection Bar Date under the Plan is January 27, 2025. It states that several movants listed on Exhibit 1 set incorrect objection deadlines or hearing dates, serves as notice of the correct deadline, and reserves all rights to respond substantively.

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Full text

                   Case 24-11217-BLS             Doc 913       Filed 01/02/25         Page 1 of 4




                         IN THE UNITED STATES BANKRUPTCY COURT
                              FOR THE DISTRICT OF DELAWARE

                                                          )
    In re:                                                )    Chapter 11
                                                          )
    VYAIRE MEDICAL, INC., et al.,1                        )    Case No. 24-11217 (BLS)
                                                          )
                             Debtors.                     )    (Jointly Administered)
                                                          )
                                                          )    Related D.I. 851, 852, 884, 885, 889, 890, 893, 894,
                                                          )    895, 896, 897, 898, 899

PLAN ADMINISTRATOR’S OMNIBUS LIMITED RESPONSE AND RESERVATION
OF RIGHTS TO IMPROPERLY NOTICED MOTIONS SEEKING ALLOWANCE AND
                PAYMENT OF ADMINISTRATIVE CLAIMS

             David M. Barse, in his capacity as Plan Administrator2 for Vyaire Medical, Inc., et al.

(collectively, the “Wind-Down Debtors”), by and through his undersigned counsel hereby files

this omnibus limited response and reservation of rights (the “Response”) to the requests for

payment of Administrative Claims filed in these cases, including the motions set forth on Exhibit

1 (the “Administrative Claims Chart”), and respectfully represent as follows:

             1.     On June 9, 2024 (the “Petition Date”), the Debtors filed voluntary petitions for relief

under chapter 11 of title 11 of the United States Code, 11 U.S.C. §§ 101 et seq. (the “Bankruptcy

Code”) in the United States Bankruptcy Court for the District of Delaware (the “Court”).

             2.     On November 14, 2024, the Court entered the Findings of Fact, Conclusions of

Law, and Order Approving the Debtors’ Disclosure Statement for, and Confirming the Second




1
      The last four digits of Debtor Vyaire medical, Inc.’s federal tax identification number are 6495. A complete list
      of each of the Debtors in these chapter 11 cases and each such Debtor’s federal tax identification number may be
      obtained on the website of the Debtors’ claims and noticing agent at https://omniagentsolutions.com/Vyaire. The
      location of Debtor Vyaire Medical, Inc.’s principal place of business and the Debtors’ service address in these
      chapter 11 cases is 26125 North Riverwoods Boulevard, Mettawa, Illinois, USA 60045.
2
      Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to such terms in the
      Plan.
                Case 24-11217-BLS            Doc 913       Filed 01/02/25       Page 2 of 4




Amended Joint Chapter 11 Plan of Vyaire Medical, Inc. and Its Debtor Affiliates Pursuant to

Chapter 11 of the Bankruptcy Code [Docket No. 745] (the “Confirmation Order”).                             The

Confirmation Order, inter alia¸ approved the Second Amended Joint Chapter 11 Plan of Vyaire

Medical, Inc. and Its Debtor Affiliates [Docket No. 719] (the “Plan”). The Effective Date of the

Plan occurred on November 27, 2024. See Docket No. 810. Upon the Effective Date, pursuant to

the terms of the Plan and Confirmation Order, David M. Barse was appointed as the Plan

Administrator and became successor in interest to the Debtors. See Confirmation Order ¶¶ 74, 76;

Plan, Art. IV.C., E. and Art. VII. Among other things, the Plan Administrator has authority to

object to claims. Id.

        3.       Article I.A.6. of the Plan provides that the deadline for filing objections to requests

for payment of Administrative Claims “shall be the later of (a) 60 days after the Effective Date

[i.e., January 27, 2025] and (b) 60 days after the Filing of the applicable request for payment of

the Administrative Claim” (the “Administrative Claims Objection Bar Date”).3

        4.       Article II.A. of the Plan provides that “requests for payment of Administrative

Claims must be Filed and served on the Wind-Down Debtors no later than the Administrative

Claims Bar Date” and “[o]bjections to such requests must be Filed and served on the Wind-Down

Debtors and the requesting party by the Administrative Claims Objection Bar Date.” As set forth

in the notice of Effective Date, the Administrative Claims Bar Date was December 27, 2024. See

Docket No. 810.




3
 Because 60 days after the Effective Date falls on Sunday, January 26, 2025, the Administrative Claims Objection
Bar Date rolls until the next business day – i.e., Monday, January 27, 2025. See FED. R. BANKR. P. 9006(a).



                                                       1
                 Case 24-11217-BLS              Doc 913        Filed 01/02/25         Page 3 of 4




         5.       As set forth on the Administrative Claims Chart, several parties filed motions for

allowance and payment of Administrative Claims setting forth an incorrect objection deadline

and/or hearing date contrary to the terms of the Plan and Confirmation Order.

         6.       The Plan Administrator has contacted counsel for each of the movants listed on the

Administrative Claims Chart requesting a correction to the objection deadline and hearing date, as

applicable.4 To date, corrections have not been filed and this Response serves as notice of the

correct response deadline and that the hearing date shall be adjourned to a date to be determined

based on the correct response deadline.

                                          RESERVATION OF RIGHTS

         7.       Nothing contained in this Response is (i) an admission as to the validity of any

claim against any Wind-Down Debtor; (ii) a waiver of the Wind-Down Debtors’ rights to dispute

any claim or lien on any grounds; (iii) a promise to pay any claim; or (iv) an implication or

admission that any particular claim would constitute an allowed claim.

         8.       For the avoidance of doubt, the Plan Administrator is continuing to review

Administrative Claims filed in these cases and reserves all rights to file a substantive response

prior to the Administrative Claims Objection Bar Date set forth in the Plan and Confirmation

Order.

                                                     NOTICE

         9.       The Plan Administrator will provide notice of this Response to: (a) the United States

Trustee for the District of Delaware; and (b) counsel to parties that filed Administrative Claims,



4
 In addition to the parties listed on the Administrative Claims Chart, several other parties filed motions for allowance
and payment of Administrative Claims and either (i) did not include an objection deadline and/or hearing date for the
motion (e.g., Docket Nos. 851, 852, 884, 899) or (ii) renoticed the motion with a revised objection deadline consistent
with the Plan and Confirmation Order (e.g., Docket Nos. 900, 909, 910, 912). For the avoidance of doubt, the Plan
Administrator will respond to those motions at the appropriate time.



                                                           2
              Case 24-11217-BLS         Doc 913        Filed 01/02/25   Page 4 of 4




including those set forth on the Administrative Claims Chart. The Plan Administrator submits that,

in light of the nature of the Response, no other or further notice need be given.

                                       Dated: January 2, 2025
                                       Wilmington, Delaware

                                        /s/ Stacy L. Newman
                                         COLE SCHOTZ P.C.
                                         Patrick J. Reilley, Esq. (No. 4451)
                                         Stacy L. Newman, Esq. (No. 5044)
                                         500 Delaware Avenue, Suite 1410
                                         Wilmington, Delaware 19801
                                         Telephone: (302) 652-3131
                                         Facsimile:     (302) 652-3117
                                         Email:         preilley@coleschotz.com
                                                        snewman@coleschotz.com

                                         - and -

                                        Michael D. Sirota, Esq. (admitted pro hac vice)
                                        Warren A. Usatine, Esq (admitted pro hac vice)
                                        Matteo Percontino, Esq. (admitted pro hac vice)
                                        Court Plaza North, 25 Main Street
                                        Hackensack, New Jersey 07601
                                        Telephone:    (201) 489-3000
                                        Facsimile:    (201) 489-1536
                                        Email:        msirota@coleschotz.com
                                                      wusatine@coleschotz.com
                                                      mpercontino@coleschotz.com

                                        Counsel to the Plan Administrator




                                                   3


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