SunEdison filed with the U.S. Bankruptcy Court a motion for an order approving its entry into and performance under a settlement agreement with AIG Excess Casualty Claims (“AIG”), Xtreme Power, Xtreme Power Systems and Xtreme Power Grove (collectively, “XP”).
The motion explains, “In March 2017, SunEdison, TERP, and certain of their respective affiliates entered into a global settlement agreement, dated as of March 6, 2017 (the ‘Global Settlement Agreement’)…pursuant to which the parties thereto agreed to a broad mutual release of claims subject to the terms, conditions, and exclusions set forth in the Global Settlement Agreement. The parties also agreed to cooperate in good faith to resolve certain administrative and operational matters and outstanding ordinary course claims between the parties.”
In addition, “In connection with the foregoing, TERP agreed to reimburse the Debtors, in an amount up to $475,000, for their reasonable and documented out-of-pocket legal costs and expenses in connection with the Kahuku Fire; and the Debtors agreed to cooperate with TERP to facilitate the AIG Settlement, including by executing any such releases or similar documents in a mutually agreed form and substance as may be required by AIG. To that end, on August 22, 2017, the Debtors and TERP executed the AIG Settlement Agreement which memorializes the terms of the AIG Settlement.”
The motion continues, “Pursuant to the AIG Settlement Agreement, to fully and finally resolve all claims related to the Dispute: (i) AIG will pay TERP $5,750,000 (the ‘AIG Settlement Payment’) within 90 days of the Court’s approval of this Motion, and (ii) within five business days of TERP’s receipt of the AIG Settlement Payment, TERP shall transmit to the SunEdison Parties reimbursement for SunEdison’s reasonable and documented out-of-pocket legal costs and expenses in connection with the Dispute, in an amount not to exceed $475,000 (the ‘AIG Settlement Reimbursement’). In exchange for such consideration, the SunEdison Parties and TERP have agreed to the release of all claims against XP and AIG raised in the demand for arbitration or otherwise related to the agreements concerning the BESS at the Kahuku and KWP II Projects.”
The Court scheduled a September 12, 2017 hearing on the motion.
Read more SunEdison bankruptcy news.
The post SunEdison Bankruptcy Settlement Filed appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.