I got this message from the THIRD Xyience lawyer today:
On January 18, 2008, Xyience filed a voluntary Chapter 11 petition in the United States Bankruptcy Court, District of Nevada, No. BK-S-08-10474-MKN ("Bankruptcy Case"). This firm, Fennemore Craig, P.C. ("Fennemore"), is Xyience's reorganization counsel in the Bankruptcy Case.
On February 25, 2008, Xyience filed a Substitution of Counsel substituting Fennemore in place of Hunterton & Associates in Xyience's state court case against you. We are aware that you have filed a Motion for Rule 11 Sanctions and a Motion to Dismiss ("Motions"). However, due to the voluminous documents that have been filed in this case, we are seeking an extension to file Xyience's oppositions to your Motions in order to permit this firm an opportunity to review all of the documents that have been filed in this case. We also request this additional time to allow our firm to address pressing matters arising in the Xyience Reorganization case.
Moreover, we are aware that the Court ordered that your Motion to Dismiss will be heard on March 5, 2008, and your Motion for Rule 11 Sanctions will be heard on March 18, 2008. Because we have just recently been substituted in this case, we are also seeking an extension to continue the hearings on your Motions for at least sixty (60) days.
We will be requesting that the Court set one hearing for both of your motions to be held in Las Vegas, Nevada at a date and time when you are able to come to Las Vegas to personally attend those hearings.
Please let me know whether you are willing to stipulate to: (i) providing Xyience an extension to file its Oppositions to your Motions; and (ii) continue the hearings for your Motions for at least sixty (60) days and have the Court set one hearing for both of your motions to be held in Las Vegas, Nevada at a date and time when you are able to come to Las Vegas to personally attend those hearings.
If you have any questions, please contact me at the telephone number listed below, or you can reach me at email@example.com.
Jon T. Pearson
FENNEMORE CRAIG, P.C.
Quite the oh $hit letter if you ask me. Looks like they want to stall this baby as long as possible. They want me in Vegas, too. Coincidence? I think not.
The whole letter came as no surprise, though after I read the daily sales circular on Xyience: