case 2:16-bk-24862-bb doc 757 filed 07/17/17 entered 07/17...

Attorney or Party Name, Address, Telephone & FAX Nos., State Bar No. & Email Address

Jeff D. Kahane (SBN 223329) Duane Morris LLP 865 S. Figueroa Street, Suite 3100 Los Angeles, CA 90017-5450 Telephone: (213) 689-7400 Facsimile: (213) 689-7401 Email: JKahane@duanemorris.com

D Debtor(s) appearing without an attorney ~ Attorney for: CRG Financial (assignee of Lovecat/)

FOR COURT USE ONLY

UNITED STATES BANKRUPTCY COURT

CENTRAL DISTRICT OF CALIFORNIA - LOS ANGELES DIVISION

In re: NG DIP, Inc. (f/k/a Nasty Gal, Inc. a California Corporation),

Debtor(s) .

CASE NO.: 2:16-bk-24862-BB

CHAPTER: 11

AMENDED NOTICE OF OPPORTUNITY TO REQUEST A HEARING ON MOTION

[LBR 9013-1 (o)]

[No hearing unless requested in writing]

TO THE U.S. TRUSTEE AND ALL PARTIES ENTITLED TO NOTICE, PLEASE TAKE NOTICE THAT:

1. Movant(s) CRG Financial LLC as Assignee of Lovecat/Babelfair

filed a motion or application (Motion) entitled CRG Financial LLC's (as Assignee of Lovecat/Babeffair) Motion for Allowance and Payment of Administrative Expense Pursuant to 11 U.S.C. 503(b)(9)

2. Movant(s) is requesting that the court grant the Motion without a hearing as provided for in LBR 9013-1 (o) , unless a party in interest timely files and serves a written opposition to the Motion and requests a hearing.

3. The Motion is based upon the legal and factual grounds set forth in the Motion. {Check appropriate box below):

~ The full Motion is attached to th is notice; or

D The full Motion was filed with the court as docket entry # __ , and a deta iled description of the rel ief sought is attached to this notice.

4. DEADLINE FOR FILING AND SERVING OPPOSITION PAPERS AND REQUEST FOR A HEARING: Pursuant to LBR 9013-1 ( o ), any party who opposes the Motion may request a hearing on the Motion. The deadline to file and serve a written opposition and request for a hearing is 14 days after the date of service of this notice, plus 3 additional days If you were served by mail or pursuant to F.R.Civ.P. 5(b)(2)(D) or (F) .

This form is optional. It has been approved for use in the United States Bankruptcy Court for the Central District of Cal iforn ia. December2016 Page 1 F 9013-1.2.0PPORTUNITY.HEARING.NOTICE

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a. If you timely file and serve a written opposition and request for a hearing, movant will file and serve a notice of hearing at least 14 days in advance of the hearing. [LBR 9013-1(0}(4)]

b If you fail to comply with this deadline:

( 1} Movant will file a declaration to indicate: (1} the Motion was properly served, (2} the response period elapsed, and (3) no party filed and served a written opposition and request for a hearing within 14 days after the date of service of the notice [LBR 9013-1 (o)(3)];

{2) Movant will lodge an order that the court may use to grant the Motion; and

(3} The court may treat your failure as a waiver of your right to oppose the Motion and may grant the Motion without further hearing and notice. [LBR 9013-1(h)J

Date: 7/17/2017

Respectfully submitted,

Isl Jeff D. Kahane Signature of Movant or attorney for Movant

Jeff D. Kahane Printed name of Movant or attorney for Movant

This form is optional. It has been approved for use in the United States Bankruptcy Court for the Central District of California. December 2016 Page 2 F 9013-1.2.0PPORTUNITY.HEARING.NOTICE

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JeffD. Kahane (SBN 223329) DUANE MORRIS LLP 865 South Figueroa Street, Suite 3100 Los Angeles, CA 90017-5450 Telephone: (213) 689-7400 Facsimile: (213) 689-7401 Email: JKahane@duanemonis.com

Attorneys for Administrative Expense Claimant CRG Financial LLC

UNITED STATES BANKRUPTCY COURT

CENTRAL DISTRICT OF CALIFORNIA

LOS ANGELES DIVISION

In Re:

NG DIP INC. (f/k/a Nasty Gal, Inc. a California Corporation).

Debtor and Debtor in Possession.

Case No.: 2:16-bk-24862-BB

Chapter 11

CRG FINANCIAL LLC'S (AS ASSIGNEE OF LOVECAT/BABELFAIR) MOTION FORALLOWANCEANDPAYMENTOF ADMINISTRATIVE EXPENSES PURSUANT TO 11 U.S.C. § 503(b)(9)

(DECLARATION OF ROBERT M. AXENROD FILED CONCURRENTLY)

[No Hearing Requested - LBR 9013-1 ( o )]

TO: THEHONORABLESHERIBLUEBOND,UNITEDSTATESBANKRUPTCY

JUDGE AND ALL PARTIES IN INTEREST:

CRG Financial LLC (as Assignee of Lovecat/Babelfair) ("CRG"), a creditor of NG DIP INC.

(f/k/a asty Gal, Inc. a California Corporation) ("Debtor"), debtor in possession in the above chapter

11 case, hereby moves for an entry of an order (i) allowing CRG's administrative expense claim

pursuant to 11 U.S.C. § 503(b)(9) in the amount of$6,560.12 (the "Claim Amount") for goods

received by the Debtor within twenty (20) days of the filing of the bankruptcy petition (the ''Claim"),

and (ii) directing the Debtor to pay the Claim Amount on account of the administrative expense

claim.

CRG'S MOTION FOR ALLOWANCE AND PAYMENT OF ADMINISTRATIVE EXPENSES

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In support of CRG's motion (the "Motion"), CRG states the following:

Background

1. On November 9, 2016 (the "Petition Date"), the Debtor filed a voluntary petition for

4 relief under Chapter 11 of the United States Bankruptcy Code (the "Code") in the United States

5 Bankruptcy Court for the Central District of California, Los Angeles Division.

6 2. Within twenty (20) days of the Petition Date, Lovecat/Babelfair (the "Original

7 Creditor") delivered to the Debtor within the ordinary course of business certain shipments of goods

8 (the "Goods"). The invoices and proofs of delivery for tbe Goods and shipments are attached as

9 Exhibit "A" to the Declaration ofRobe1t M. Axemod in support of the Motion filed concurrently

10 herewith. The total value of the Goods, as evidenced by the documents attached as Exhibit "A", is

11 $6,560.12. The Debtor has not paid for the Goods and the invoices remain unpaid.

12 3. On March 1, 2017, the Original Creditor assigned its rights with respect to the Claim

13 to CRG [Docket No. 425].

14 Relief Requested

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4. Pursuant to 11 U.S .C. § 503(b)(9) of the Code, after notice and hearing (if required),

there shall be allowed an administrative expense for "the value of any goods received by the debtor

within 20 days before the date of the commencement of a case under this title in which the goods

have been so 1 d to the debtor in the ordinary course of such debtor's business."

5. The Original Creditor sold and delivered the Goods to the Debtor in the ordinary

course of business and the Debtor received the Goods within twenty (20) days prior to the Petition

Date. As a result, CRG, as assignee of the Original Creditor, is entitled to the allowance and

payment of an administrative expense in the Claim Amount pursuant to 11 U.S.C. § 503(b)(9).

Reservation of Rights

6. CRG reserves all rights, claims, counterclaims, defenses, offsets, or other remedies

under the Code or other applicable law, and reserve the right to amend, supplement, or modify the

Motion.

7.

the Debtor.

DM3\4 712366.1

This Motion in no way effects or prejudices additional claims held by CRG against

CRG'S MOT10N FOR ALLOWANCE AND PAYMENT OF ADMINISTRATIVE EXPENSES

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1 WHEREFORE, CRG requests an order:

2 (1) allowing CRG's administrative expense claim pm-suant to 11 U.S.C. § 503(b)(9) in the

3 Claim Amount;

4 (2) directing the Debtor to pay CRG the Claim Amount as an administrative expense; and

5 (3) granting CRG such other relief as the Court deems just and proper.

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8 Dated: July 17, 2017

Respectfully submitted,

DUANE MORRIS LLP

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DM31471 2366.1

By: Isl Je(!Kahane JeffKahane

Attorneys for CRG Financial LLC (as Assignee of Lovecat/Babelfair)

CRG'S MOTION FOR ALLOWANCE AND PAYMENT OF ADMINISTRATIVE EXPENSES 3

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PROOF OF SERVICE OF DOCUMENT

I am over the age of 18 and not a party to this bankruptcy case or adversary proceeding. My business address is: 865 S. Figueroa Street, Suite 3100, Los Angeles, CA 90017-5450

A true and correct copy of the foregoing document entitled: AMENDED NOTICE OF OPPORTUNITY TO REQUEST A HEARING ON MOTION [LBR 9013-1 (o)] will be served.or was served (a) on the judge in chambers in the form and manner required by LBR 5005-2(d); and (b) in the manner stated below:

1. TO BE SERVED BY THE COURT VIA NOTICE OF ELECTRONIC FILING (NEF): Pursuant to controlling General Orders and LBR, the foregoing document will be served by the court via NEF and hyperlink to the document. On (date) 07/172017 , I checked the CM/ECF docket for this bankruptcy case or adversary proceeding and determined that the following persons are on the Electronic Mail Notice List to receive NEF transmission at the email addresses stated below:

See attached list.

[8J Service information continued on attached page

2. SERVED BY UNITED STATES MAIL: On (date) , I served the following persons and/or entities at the last known addresses in this bankruptcy case or adversary proceeding by placing a true and correct copy thereof in a sealed envelope in the United States mail, first class, postage prepaid, and addressed as follows. Listing the judge here constitutes a declaration that mailing to the judge will be completed no later than 24 hours after the document is filed.

D Service information continued on attached page

3. SERVED BY PERSONAL DELIVERY, OVERNIGHT MAIL, FACSIMILE TRANSMISSION OR EMAIL (state method for each person or entity served) : Pursuant to F.R.Civ.P. 5 and/or controlling LBR, on (date) 07/17/2017 , I served the following persons and/or entities by personal delivery, overnight mail service, or (for those who consented in writing to such service method), by facsimile transmiss ion and/or email as follows. Listing the judge here constitutes a declaration that personal delivery on, or overnight mail to, the judge will be completed no later than 24 hours after the document is filed. See attached list.

[8J Service information continued on attached page

I declare under penalty of perjury under the laws of the United States that the foregoing is true and correct.

07/17/2017 Date

Jeff D. Kahane Isl Jeff D. Kahane Printed Name Signature

This form Is optional. It has been approved for use in the United States Bankruptcy Court for the Central District of California. December 2016 Page 3 F 9013-1.2.0PPORTUNITY.HEARING.NOTICE

Arnericqn Lt:gnlNt:l , Inc. ~ www FonnsWorkflow com ~

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Service List NG Dip Inc.

By: NEF

Todd M Arnold on behalf of Attorney Levene, Neale, Bender, Yoo & Brill L.L.P. tma@lnbyb.com

Todd M Arnold on behalf of Creditor Committee Official Committee of Unsecured Creditors tma@lnbyb.com

Todd M Arnold on behalf ofinterested Party Courtesy NEF tma@lnbyb.com

Todd M Arnold on behalf of Plaintiff Official Committee of Unsecured Creditors of Nasty Gal, Inc. tma@lnbyb.com

Wesley HA very on behalf of Consumer Privacy Ombudsman Wesley H. A very wavery@thebankruptcylawcenter.com, 1ucy@averytrustee.com

Lorie A Ball on behalf of Debtor NG DIP INC.(f/k/a Nasty Gal, Inc. a California Corporation) LBall@robinskaplan.com

Peter Bonfante on behalf of Interested Party Courtesy NEF pbonfante@celsinc.com

Diana K Carey on behalf of Creditor d/b/a Shellys London Snowden Brothers, LLC dcarey@kantuttle.com, mhemandez@karrtuttle.com;mmunhall@karrtuttle.com

Helena De Young on behalf of Creditor Liquidity Solutions, Inc. jsong@liguiditysolutions.com

Jeffrey W Dulberg on behalf of Creditor Hercules Technology Growth Capital, Jnc. j dulberg@pszjlaw.com

Jeffrey W Dulberg on behalf of Defendant Hercules Capital, Inc. jdulberg@pszjlaw.com

Jeffrey W Dulberg on behalf of Defendant Hercules Technology III, L.P. jdulberg@pszjlaw.com

Jeffrey W Dulberg on behalf of Interested .Party Comtesy NEF jdulberg@pszjlaw.com

Joseph A Eisenberg on behalf oflnterested Paity Courtesy NEF jae@jmbm.com, vr@jmbm.com:tgeher@jmbm.com;bt@jmbm.com;iae@ecf.inforuptcy.com

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Scott Ewing on behalf of Interested Party Scott Ewing Rust Consulting/Omni Bankruptcy contact@omnimgt.com, sewing@omnimgt.com;ecf@omnimgt.com;docketalarm-ecf-cacb-57 l 5 97 63 048 52992@inbound.docketalarm.com

Ryan S Fife on behalf of Creditor Prologis NA2 RPP Kentucky ryan.fife@dbr.com, betty.bonor@dbr.com;docketgeneral@dbr.com

Bruno Flores on behalf of Defendant ISLAND PACIFIC SYS TE ISLAND PACIFIC SYSTEMS, INC bruno@brunoflores.com, rachel@brunoflores.com;sally@brunoflores.com;genesis@brunoflores.com;clerk@brunoflores.c om;r49914@notify.bestcase.com

Jerome Bennett Friedman on behalf of Interested Party Courtesy NEF jfriedman@flg-law.com, msobkowiak@tlg-law.com;jmartinez@flg-law.com;sbiegenzahn@flg­law.com

Scott F Gautier on behalf of Debtor NG DIP INC.(f/k/a Nasty Gal, Inc. a California Corporation) sgautier@ro binskaplan. com

Scott F Gautier on behalf of Plaintiff Nasty Gal Inc. sgautier@robinskaplan.com

Thomas M Geher on behalf of Interested Party Courtesy NEF tmg@jmbm.com, bt@jmbm.com:fc3@jmbm.com;tmg@ecf.inforuptcy.com

Fredric Glass on behalf of Creditor Fair Harbor Capital, LLC f glass@fairharborcapital.com

Matthew A Gold on behalf of Creditor Argo Prutners courts@argopartners.net

Michael I Gottfried on behalf of Creditor Hidden Valley Designs d/b/a B-low the Belt mgottfried@lgbfirm.com, kalandy@lgbfirm.com:srichmond@lgbfirm.com;mmocciaro@lgbfirm.com

Michael S Greger on behalf of Creditor 523 West 6th Street Prope1ty Owner LLC mgreger@allenmatk.ins.com

Michael S Greger on behalf of Interested Party Courtesy NEF mgreger@allenmatkins.com

Steven T Gubner on behalf ofinterested Party Comtesy NEF sgubner@brutzkusgubner.com, ecf@brutzkusgubner.com .

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Brian L Holman on behalf of Creditor Bardot Pty Ltd b.bolman@mpglaw.com

Eric P Israel on behalf of Creditor Shoemagoo LLC eisrael@dgdk.com, danninggill@gmail.com;eisrael@ecf. inforuptcy .com

Kevin H Jang on behalf of Creditor Endless Rose khilawcorp@gmail.com, info.Khilawcorp@gmail.com

Kevin H Jang on behalf of Creditor Fair Harbor Capital, LLC khjlawcorp@gmail.com, info.Khjlawcorp@gmail.com

Kevin H Jang on behalf of Creditor Olivaeous khilawcorp@gmai1.com, info.Khi lawcorp@gmail.com

Nathan E Jones on behalf of Creditor USDR XVII, L.P. info@usdrllc.com

Jeff D Kahane on behalf of Creditor CRG Financial LLC jkahane@duanemorris.com

Ori Katz on behalf of Creditor Stiu S.r.L okatz@sheppardmullin.com, cshulman@sheppardmullin.com;ezisholtz@sheppardmullin.com

Gerald P Kennedy on behalf of Creditor Robe1t Ross gerald.kennedy@procopio.com, kristina.terlaga@procopio.com;calendaring@procopio.com;efile-bank@procopio.com

Gary E Klausner on behalf of Creditor Committee Official Committee of Unsecured Creditors gek@lnbyb.com

Gary E Klausner on behalf of Interested Paity Couitesy NEF gek@lnbyb.com

Gary E Klausner on behalf of Plaintiff Official Committee of Unsecured Creditors of Nasty Gal, Inc. gek@lnbyb.com

Matthew Klinger on behalf of Creditor Stiu S.r.l. mk1inger@sheppardmullin.com

Kenneth T Law on behalf of Creditor United Parcel Service, Inc. ken@bbslaw.com

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Malcolm Leader-Picone on behalf of Creditor Runway Global Ltd. mlp@leader-picone.com

Angie S Lee on behalf of Creditor Current Air Clothing, Inc. asl.ecf@gmail.com

Ron Maroko on behalf of U.S. Trustee United States Trustee (LA) ron.maroko@usdoj.gov

Kevin Meek on behalf of Debtor NG DIP INC.(f/k/a Nasty Gal, Inc. a California Corporation) kmeek@robinskaplan.com, kevinmeek32@gmail.com;lrmeek@ecf.inforuptcy.com

Kevin Meek on behalf of Plaintiff NG DIP Inc. (f/k/a Nasty Gal Inc.). a California Corporation krneek@robinskaplan.com, kevinrneek32@gmail.com;kmeek@ecf.inforuptcy.com

Kevin Meek on behalf of Plaintiff Nasty Gal Inc. kmeek@robinskaplan.com, keviruneek32@gmail.com:kmeek@ecf.inforuptcy.com

Julie Montgomery on behalf of Creditor SAP America, Inc. jmontgomery@brownconnery.com, jmontgomery@brownconnery.com

Alan I Nahmias on behalf of Creditor SAP America, Inc. anahmias@mbnlawyers.com, jdale@mbnlawyers.com

Alan I Nahmias on behalf of Creditor hybris (U.S.) Corporation anahmias@mbnlawyers.com, idale@mbnlawyers.com

V ahak Papasian on behalf of Interested Party Courtesy NEF vahak@vaplaw.com, hawkp@ecf.courtdrive.com;test@ecf.courtdrive.net

Penelope Pannes on behalf of Defendant Nastygal.com USA, Inc. penelope.parmes@troutmansanders.com, Vanessa.hudak@troutmansanders.com

Penelope Parmes on behalf of Interested Paity Boohoo F I Limited penelope.pai·mes@troutmansanders.com, V anessa.hudak@troutmansanders.com

Jeffrey N Pomerantz on behalf of Creditor Hercules Technology Growth Capital, Inc. jpomerantz@pszjlaw.com

Jeffrey N Pomerantz on behalf oflnterested Pruty Cou1tesy NEF jpomerantz@pszilaw.com

U zzi O Raanan, ESQ on behalf of Interested Pruty Comtesy NEF uor@dgdk.com, DanningGill@gmail.com;uraanan@ecf.inforuptcy.com

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Kurt Ramlo on behalf of Plaintiff Official Committee of Unsecured Creditors of Nasty Gal, Inc. kr@lnbyb.com, kr@ecf.inforuptcy.com

J. Alexandra Rhim on behalf of Creditor c/o J Alexandra Rhim Pacific Western Bank arhim@hemar-rousso.com

Terrel Ross on behalf ofinterested Party TR Capital Management tross@trcmllc.com

Victor A Sahn on behalf of Interested Party Courtesy NEF vsahn@sulmeyerlaw.com, agonzalez@sulmeyerlaw.com,agonzalez@ecf.inforuptcy.com;asokolowski@sulmeyerlaw.com;v sahn@ecf. inforuptcy. com

Lovee D Sarenas on behalf of Creditor Lovely Day Fashion lovee.sarenas@lewisbrisbois.com

Allan D Sarver on behalf of Creditor 8115 Melrose Ave LLC ADS@asarverlaw.com

Benjamin Seigel on behalf of Creditor B&B Footwear bseigel@greenbass.com, rho1land@greenbass.com~ecfnotification@greenbass.com

David B Shemano on behalf of Debtor NG DIP INC.(f/k/a Nasty Gal, Inc. a California Corporation) dshemano@robinskaplan.com

Martina A Slocomb on behalf of Creditor Farah Saberi rockymountainlaw@yaboo.com

Howard Steinberg on behalf of Interested Party Courtesy NEF steinbergh@gtlaw.com, pearsallt@gtlaw.com;laik@gtlaw.com

Ovsanna Takvoryan on behalf of Interested Party Courtesy NEF ot@tlgapc.com, r48607@notify.bestcase.com

United States Trustee (LA) ustpregion16.la.ecf@usdoj.gov

Andrew F Whatnall on behalf of Creditor DACA VI LLC awhatnall@daca4.com

Dennis J Wickham on behalf of Creditor Shoemagoo LLC wickham@scmv.com, nazari@scmv.com

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Hatty K Yip on behalf of U.S. Trustee United States Trustee (LA) hatty.yip@usdoj.gov

By Fedex:

United States Bankruptcy Cou1t Central District of California Edward R. Roybal Federal Building Hon. Sheri Bluebond 255 E. Temple Street, Suite 1534 Los Angeles, CA 90012

DM3\4718184.l

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