In RE: LLS America LLC (Kriegman v. Wetmore) WAEB Adv Proceeding No 11-80121-PCW

Filing 18

DEFAULT JUDGMENT against Defendant Cindy Wetmore. Signed by Chief Judge Rosanna Malouf Peterson. (CV, Case Administrator)

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UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF WASHINGTON

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In Re:
NO: CV-12-633-RMP

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LLS AMERICA, LLC,
Debtor,

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Bankr. Case No. 09-06194-PCW11
(Consolidated Case)

BRUCE P. KRIEGMAN, solely in his
capacity as court-appointed Chapter 11
Trustee for LLS America, LLC,

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Adv. Proc. No. 11-80121-PCW11
DEFAULT JUDGMENT AGAINST
DEFENDANT CINDY WETMORE

Plaintiff,

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v.

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CINDY WETMORE,

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Defendant.

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JUDGMENT SUMMARY
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Judgment Creditor:

Plaintiff Bruce P. Kriegman

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Attorneys for
Judgment Creditor:

Witherspoon Kelley

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Judgment Debtors:

Cindy Wetmore

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DEFAULT JUDGMENT AGAINST DEFENDANT CINDY WETMORE ~ 1

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Attorney for
Judgment Creditor:

None

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Amount of Judgment:

$545,160.76 CAD
$
250.00 USD

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Interest Owed to Date
Of Judgment:

$ 0.00

Interest Rate:

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0.11% per annum

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JUDGMENT
The Court, having previously entered an Order Adopting the Bankruptcy
Court’s Report and Recommendation and Order of Default against Defendant

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Cindy Wetmore, ECF Nos. 17, and being fully apprised in the premises, HEREBY

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ORDERS , ADJUDGES, AND DECREES that Plaintiff, Bruce P. Kriegman,

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solely in his capacity as court-appointed Chapter 11 Trustee for LLS America,

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LLC, shall have a judgment against Defendant Cindy Wetmore as follows:

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1. Monetary Judgment in the amount of $545,160.76 CAD, pursuant to 11
U.S.C. § 550 and RCW 19.40.071;
2. Transfers in the amount of $398,537.76 CAD, including $130,000.00 in

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commissions, made to Defendant within four years prior to the Petition Filing Date

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are hereby avoided, and Plaintiff may take all necessary action to preserve the

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same pursuant to 11 U.S.C. §§ 544, 550, 551, and 548(a) and (b) and RCW

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19.40.041(1) and (2) and RCW 19.40.071;

DEFAULT JUDGMENT AGAINST DEFENDANT CINDY WETMORE ~ 2

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3. Transfers in the amount of $146,623.00 CAD made to Defendant more

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than four years prior to the Petition Filing Date are hereby avoided, and Plaintiff

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may take all necessary action to preserve the same pursuant to 11 U.S.C. §§ 544,

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550, and 551 and RCW 19.40.041(1) and 19.40.071;

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4. All said transfers to Defendant Cindy Wetmore are hereby set aside, and

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Plaintiff shall be entitled to recover the same, or the value thereof, from Defendant

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Cindy Wetmore for the benefit of the estate of LLS America, pursuant to 11 U.S.C.

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§§ 544, 550, and 551;

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5. All proofs of claim of Defendant Cindy Wetmore which have been filed

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or brought or which may hereafter be filed or brought by, on behalf of, or for the

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benefit of Defendant Cindy Wetmore, or her affiliated entities, against the Debtor’s

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estate in this bankruptcy or related bankruptcy proceedings are hereby disallowed

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and subordinated to the monetary judgment granted herein, and Defendant Cindy

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Wetmore shall not be entitled to collect on her14 proof of claim (Claim No. 677-1)

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until the monetary judgment is satisfied by Defendant Cindy Wetmore in full,

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pursuant to 11 U.S.C. §§ 502(d), 510(c)(1), and 105(a);

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6. A constructive trust is hereby established over the proceeds of all

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transfers in favor of the Trustee for the benefit of the estate of LLS America; and

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7. Plaintiff is hereby awarded costs (i.e. filing fee) in the amount of $250.00
USD, for a total judgment of $545,160.76 CAD, plus $250.00 USD, which shall

DEFAULT JUDGMENT AGAINST DEFENDANT CINDY WETMORE ~ 3

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bear interest equal to the weekly average of one-year constant maturity (nominal)

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treasury yield as published by the Federal Reserve System.

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IT IS SO ORDERED.

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The District Court Clerk is directed to enter this Judgment and provide

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copies to counsel, Defendant, and Judge Frederick P. Corbit, and close this case.
DATED this 10th day of December 2013.

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s/ Rosanna Malouf Peterson
ROSANNA MALOUF PETERSON
Chief United States District Court Judge

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DEFAULT JUDGMENT AGAINST DEFENDANT CINDY WETMORE ~ 4