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In re Minesen Co.

In re Minesen Co.

United States Bankruptcy Court for the District of Hawaii

November 17, 2021, Decided

Case No. 19-00849, Chapter 11, Re: Dkt. 100

Opinion

 [*540]  MEMORANDUM OF DECISION REGARDING ASSUMPTION OF EXECUTORY CONTRACTS AND LEASES

The Minesen Company, debtor and debtor in possession ("Minesen"), has filed a motion (ECF 100) for authority to assume the following contracts and leases pursuant to § 365:1

1. Contract No. NAFBA3-93-C-001 between Minesen and US Army Morale, Welfare and Recreation Fund, a Non-Appropriated Fund Instrumentality, dated January 14, 1993 (the "MWR Contract," Ex.2 M-1);

2. Amendment / Modification No. P00018 to the MWR Contract, dated April 18, 2017 (the "MWR Contract Modification," Ex. M-2);

3. Lease No. DACA84-1-91-14 between the United States of America through the Secretary of the Army, as lessor, and Minesen, as lessee, dated February 1, 1993 (the "Lease," Ex. M-3);

4. Lease No. [**2]  DACA84-1-17-121, between the Secretary of the Army, as lessor, and Minesen, as lessee (the "Picnic Area Lease," Ex. M-5); and

5. Memorandum of Agreement between the 25th Infantry Division (Light)/US Army Garrison Hawaii;  [*541]  US Army Community and Family Support Center; and Minesen, effective May 11, 1994 (the "Operating Agreement," Ex. M-4).

The court held an evidentiary hearing on the motion on June 2, 3, and 7, July 28 and 29, and August 2, 5, 12, 18, and 19, 2021. At the evidentiary hearing, Johnathon Bolton and Janice Futa represented Minesen, Dana Barbata and Natalie Moreland represented the US Army Morale, Welfare and Recreation Fund (the "Fund"), and Christopher Muzzi represented Pangolin, LLC.

This memorandum sets forth my findings of fact and conclusions of law.3

I. BACKGROUND FACTS

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635 B.R. 533 *; 2021 Bankr. LEXIS 3178 **; 2021 WL 5441050

In re: THE MINESEN COMPANY, Debtor.

CORE TERMS

default, Contracts, Lease, cure, electricity, travel, garrison, modification, quarters, notice, bills, lodging, rates, settlement agreement, parties, regulations, obligations, argues, replacement, military, liquor, distilled spirits, provisions, charges, assurance, deposit, planned, Anti-Assignment Act, renovations, termination

Bankruptcy Law, Administrative Powers, Executory Contracts & Unexpired Leases, Existing Defaults, Procedural Matters, Contested Matters, Business & Corporate Law, Management Duties & Liabilities, Fiduciary Duties, Business Judgment Rule, Assignments, Evidence, Burdens of Proof, Allocation, Burden Shifting, Unassumable Contracts, Business & Corporate Compliance, Standards of Performance, Assignments, Nonassignability Clauses, Governments, Federal Government, Claims By & Against, Public Contracts Law, Contract Performance, Assignment & Novation, Civil Procedure, Parties, Real Party in Interest, Assignees, Contracts Law, Breach, Active Breach, Material Breach, Nonperformance, Legislation, Interpretation, Subject Matter Jurisdiction, Jurisdiction Over Actions, Concurrent Jurisdiction, Tax Law, Alcohol & Tobacco Products, Alcohol Taxes, Imposition of Tax, Contracts Law, Third Parties, Subrogation, Defenses, Volunteers, Wage & Hour Laws, Scope & Definitions, Overtime & Work Periods, Military & Veterans Law, Servicemembers, Allowances & Pay, Executory Contracts & Unexpired Leases