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Vyaire - McDermott Retention Application (Redacted Version)

Date
2024-07-09

Summary

Doc 230-2, filed July 9, 2024 in the jointly administered Chapter 11 cases In re Vyaire Medical, Inc., et al., Case No. 24-11217 (BLS), in the U.S. Bankruptcy Court for the District of Delaware, is Exhibit A to a retention application: a proposed order. The proposed order would authorize the Official Committee of Unsecured Creditors to retain and employ McDermott Will & Emery LLP as counsel, effective June 28, 2024, under Bankruptcy Code section 1103(a), with terms approved under section 328(a). It provides for compensation under sections 330(a) and 331 and Bankruptcy Rule 2016, requires 10 days' notice before hourly rate increases, and directs McDermott to pass through the cost of any contract attorneys at the rate McDermott pays them. The five-page exhibit leaves the related docket number blank.

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Full text

Case 24-11217-BLS   Doc 230-2   Filed 07/09/24   Page 1 of 5




                      EXHIBIT A

                     Proposed Order
               Case 24-11217-BLS              Doc 230-2        Filed 07/09/24        Page 2 of 5




                       IN THE UNITED STATES BANKRUPTCY COURT
                            FOR THE DISTRICT OF DELAWARE

                                                       )   Chapter 11
In re:                                                 )
                                                       )   Case No. 24-11217 (BLS)
VYAIRE MEDICAL, INC., et al.,1                         )
                                                       )   (Jointly Administered)
                                   Debtors.            )
                                                       )   Related to Docket No. ___

            ORDER AUTHORIZING THE OFFICIAL COMMITTEE OF
          UNSECURED CREDITORS OF VYAIRE MEDICAL, INC., ET AL.,
          TO RETAIN AND EMPLOY MCDERMOTT WILL & EMERY LLP
                   AS COUNSEL, EFFECTIVE JUNE 28, 2024

         Upon the application (the “Application”)2 of the Official Committee of Unsecured

Creditors (the “Committee”) in the above-captioned chapter 11 cases (the “Chapter 11 Cases”) of

Vyaire Medical, Inc. and its affiliated debtors and debtors in possession (collectively, the

“Debtors”) for the approval of the Committee’s retention and employment of McDermott Will &

Emery LLP (“McDermott”) as counsel in connection with the Chapter 11 Cases, effective June

28, 2024; and upon consideration of the declaration of Darren Azman (the “Azman

Declaration”), which is attached to the Application as Exhibit B; and the Court having

jurisdiction over this matter pursuant to 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

February 29, 2012; and the matter being a core proceeding within the meaning of 28 U.S.C.

§ 157(b)(2); and venue of this proceeding and the Application in this District being proper



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 that are used but not defined herein shall have the meanings ascribed to such terms in the
    Application.
              Case 24-11217-BLS          Doc 230-2       Filed 07/09/24      Page 3 of 5




pursuant to 28 U.S.C. §§ 1408 and 1409; and the Court being able to issue a final order

consistent with Article III of the United States Constitution; and due and sufficient notice of the

Application having been given under the particular circumstances; and it appearing that no other

or further notice is necessary; and it appearing that the relief requested in the Application is in

the best interests of the Debtors, their estates, their creditors, and other parties in interest; and

after due deliberation thereon; and good and sufficient cause appearing therefor; it is hereby,

        ORDERED, ADJUDGED, AND DECREED that:

        1.      The Application is GRANTED to the extent set forth herein.

        2.      The Committee’s retention and employment of McDermott as counsel in

connection with the Chapter 11 Cases, including to represent the Committee in the Chapter 11

Cases and any matter or proceeding arising in or relating to the Chapter 11 Cases, on the terms

and conditions that are set forth in the Application and the Azman Declaration, effective June 28,

2024, is approved under Bankruptcy Code section 1103(a).

        3.      The terms and conditions of McDermott’s retention and employment as the

Committee’s counsel in connection with the Chapter 11 Cases, which are set forth in the

Application and the Azman Declaration, are reasonable and approved as such under Bankruptcy

Code section 328(a).

        4.      McDermott shall be compensated in accordance with the procedures set forth in

Bankruptcy Code sections 330(a) and 331, Bankruptcy Rule 2016, the Local Rules, and any

order establishing procedures for professionals’ interim compensation and reimbursement of

expenses.

        5.      McDermott shall provide 10 days’ notice to the Debtors, the U.S. Trustee, and the

Committee before implementing any increases in its hourly rates. The U.S. Trustee retains all




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              Case 24-11217-BLS          Doc 230-2     Filed 07/09/24     Page 4 of 5




rights to object to any rate increase on all grounds, including the reasonableness standard set

forth in Bankruptcy Code section 330(a), and nothing in this Order shall prevent the Court from

reviewing any rate increase under Bankruptcy Code section 330(a).

       6.      McDermott shall make a reasonable effort to comply with the U.S. Trustee’s

requests for information and additional disclosures as set forth in Appendix B – Guidelines for

Reviewing Applications for Compensation and Reimbursement of Expenses Filed Under 11

U.S.C. § 330 by Attorneys in Larger Chapter 11 Cases, which became Effective on November 1,

2013, in connection with both the Application and any interim or final fee applications that

McDermott files in the Chapter 11 Cases.

       7.      McDermott shall neither apply nor receive payment from the Debtors’ estates for

any fees or expenses arising from the defense of an objection to a request for the award,

allowance, or payment of McDermott’s fees and expenses.

       8.      Notwithstanding anything in the Application to the contrary, McDermott shall

(i) to the extent that McDermott uses the services of contract attorneys, independent contractors,

or subcontractors (collectively, the “Contractors”) in these cases, pass through the cost of such

Contractors at the same rate that McDermott pays the Contractors; (ii) seek reimbursement for

actual costs only; (iii) ensure that the Contractors are subject to the same conflicts checks as

required for McDermott; and (iv) file with this Court such disclosures required by Bankruptcy

Rule 2014.

       9.      To the extent that the Application is inconsistent with this Order, this Order shall

govern.

       10.     The Committee is authorized to take any action that is necessary or appropriate to

effectuate the relief granted in this Order.




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             Case 24-11217-BLS         Doc 230-2      Filed 07/09/24     Page 5 of 5




       11.     Notwithstanding any procedural rule to the contrary, this Order shall become

effective and enforceable immediately on its entry.

       12.     The Court retains jurisdiction of any matter arising from or relating to this Order

or its interpretation, implementation, or enforcement.




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