Riverside Acquisition Group LLC and B.E.S.T. Packing Services filed with the U.S. Bankruptcy Court separate objections to Vertis Holdings’ motion for entry of an order (i) approving settlement agreement with Quad/Graphics Marketing, LLC in connection with that certain asset purchase agreement (ii) authorizing the transfer and deposit of funds into the registry of the court to provide for the payment of accrued professionals’ fees and approving procedures with respect to the release thereof (iii) dismissing the Debtors’ Chapter 11 Cases and (iv) granting related relief. Riverside Acquisition Group asserts, “The relief sought by the Motion to Dismiss should be denied. First, the Debtors ask the Court to approve a Settlement Agreement between the Debtors and Quad that it contends is fair and equitable and in the best interests of the debtor’s estate and its creditors. It is impossible to even consider in the first instance if the Debtors satisfy this test, as a Settlement Agreement has not yet been filed. No potential objector (including Riverside) will have an opportunity to review its terms and object to it prior to the objection deadline set by the Debtors. Therefore, the Court should deny the Debtors’ request for relief, since it cannot demonstrate that the settlement is fair and equitable and in the best interests of Debtors’ creditors and its estate…Riverside contends that judicial economy argues in favor of dismissing the Adversary Proceeding. It is not economical to have two separate trials in two separate courts, especially when the Adversary Proceeding is not ready for trial and there is no trial date set.”
About Kerry Mastroianni
Kerry Mastroianni, the editor of The Distressed Company Alert, has been researching distressed and bankrupt companies for over 18 years. As a 10-year employee of New Generation Research, she is also a data editor for Bankruptcy Week and the editor for our annual Bankruptcy Yearbook & Almanac. Prior to Kerry’s employment at NGR, she worked for eight years as a research analyst for KPMG’s corporate recovery practice.