Laserfiche WebLink
Case 1:20-bk-12043 Doc 303 Filed 08/28/20 Entered 08/28/20 11:03:45 Desc Main <br /> Document Page 5 of 13 <br /> OBJECTION TO SALE OF ASSETS <br /> 12. Wintrust objects to the Sale Motion and the proposed sale of the Debtors' assets on <br /> the basis that (a) it has not consented to the sale of the Wintrust Equipment, and (b) more clarity <br /> is required with respect to the treatment of the Lease Agreement and the disposition of the Wintrust <br /> Equipment. <br /> A. Wintrust does not consent to a sale of its equipment. <br /> 12. Rhino Energy LLC lists the Lease Agreement on its Schedule G — Executory <br /> Contracts and Unexpired Leases filed in this bankruptcy case (See Dkt. No. 165 at p.115) and the <br /> Debtors have not otherwise disputed the legal characterization of the transaction with Wintrust as <br /> a lease. <br /> 13. Despite the Debtors' tacit acknowledgement that the Lease Agreement is a true <br /> lease, the Wintrust Equipment is identified as "PMSI Equipment" in Schedule 1.1(d) to the <br /> Stalking Horse Agreement and the terms of that agreement give the purchaser thereunder the <br /> option to purchase PMSI Equipment. <br /> 14. Though the Wintrust Equipment is designated in Schedule 2.2(f) to the Stalking <br /> Horse Agreement as excluded from the sale, Section 8.5 of the agreement permits the purchaser to <br /> purchase the Wintrust Equipment by amending Schedule 2.1(b)(iii) to the agreement and paying <br /> the Debtors' estimated value of the Wintrust Equipment as the purchase price at closing. If a <br /> purchaser elects to purchase the Wintrust Equipment, there is no requirement for the proceeds to <br /> be remitted to Wintrust at closing. <br /> 15. As Rhino Energy LLC holds only a leasehold interest in the Wintrust Equipment <br /> and Wintrust has not consented to a sale of its property, none of the enumerated conditions of <br /> 5 <br />