Exhibit A
1. "Witness" means any person who is not a defendant but who may have information, Records or Documents relating to defendant.
DISTIL analysis
- Receivership appointed to enforce $2,111,086.01 judgment with 12% annual interest
- Receiver granted custody of all non-exempt debtor assets under custodia legis doctrine
- Any unauthorized transfer of debtor property after order is void, not merely voidable
- Receiver authorized to seize business entities, financial accounts, intellectual property, and physical assets
- Third parties ordered to disclose debtor asset information or face liability
- Receiver compensation set at 25% of all recovered funds
- Debtor required to turnover comprehensive financial records within 10 days
Extracted text
32 pages · 65788 charactersDocument 173-1 Filed 04/15/26
Page 1 of 32 PageID# 2635 4/192025 5:58 PM Marilyn Burgess - District Clerk Harris County Envelope No. 99158470 By: Lisa Cooper Filed: 4/1/2025 4:40 PM
CAUSE NO. 202448085
Pgs-31
APREX
ATLANTIC WAVE HOLDINGS, LLC
§ IN THE DISTRICT COURT
and SECURE COMMUNITY, LLC.,
§
Plaintiffs, Judgment-Creditors,
§
§
V.
§ 129TH JUDICIAL COURT
§
CYBERLUX CORPORATION and
§
MARK D. SCHMIDT, individually,
§ IN AND FOR
Defendants, Judgment-Debtors.
§ HARRIS COUNTY, TEXAS
On the date of entry below, this Court considered Judgment Creditors post-judgment Application for Turnover relief and to Appoint a Receiver, reviewed the documents on file, relevant statutory and case law, admissible evidence, all arguments of the parties and counsel, and finds the Judgment Creditors may aid from this action.
The Court DEFINES that:
David Walton, BELL NUNNALLY, 2323 Ross Avenue, Suite 1900, Dallas, TX 75201. Telephone: 214-740-1445. Email: dwalton@bellnunnally.com
David Keithly, MORTENSON TAGGART ADAMS LLP, 300 Spectrum Center Drive, Suite 1200, Irvine, CA. Telephone: 949-774-8107. Email: dkeithly@mortensontaggert.com
Shawn Grady, LAW FIRM OF SHAWN GRADY, 2100 W Loop S #805, Houston, TX 77027. Telephone: 832-692-4542. Email: shawn@gradycollectionlaw.com
James Sadigh, Law Office of James Sadigh, 9777 Wilshire Blvd Suite 400, Beverly Hills, CA 90212. Telephone: 310-747-5919.Email: JamesSadigh@aol.com
Cause No. 202448085
a. CYBERLUX CORPORATION (CORPORATION) 4625 Creekstone Dr Durham, NC 27703-8478
TIN:
ACCURINT (LEXIS) ID: 0000-3811-1939
b. MARK D. SCHMIDT (INDIVIDUAL)
ACCURINT (LEXIS) ID: 0022-6993-6159
Court (not the attorney for any party), and is to be treated with the same courtesy accorded to the Court.
BERLETH & ASSOCIATES Robert W. Berleth Texas Bar # 24091860 SDOT #: 3062288
E-mail: rberleth@berlethlaw.com Tristian Harris Texas Bar # 24134449 E-mail: tharris@berlethlaw.com 9950 Cypresswood Dr. Suite 200
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
Cause No. 202448085
Tele: 713-588-6900
The Court FINDS that:
Fraudulent Transfer Act §24.009, with the power and authority to take possession of all leviable property of Debtors. This Order shall also serve as a Turnover Order, and the Judgment Creditor is entitled to collect post-judgment attorney's fees under TEX. PRAC. & REM. CODE § 31.002(e).
THEREFORE, the Court ORDERS the relief as set out below:
reason of any for any act performed or omitted to be performed by Receiver or those engaged or employed by Receiver for the discharge of their duties and responsibilities for the Receivership, including exercising control over Receivership assets.
a. All third parties who hold a Debtor's property or records are ordered to immediately notify Receiver and to deliver the property within ten working days of Receiver's demand.
b. All third parties knowing of this order are ordered to immediately notify Receiver if they discover the existence of a Debtor's property, or of facts that might lead to the discovery of property in which any Debtor has any interest.
c. Anyone resisting Receiver's order or request, based on legal or other advice, is ordered to give the full name, address, fax number, e-mail address, cell phone
Cause No. 202448085
number, and direct telephone number for each person giving that advice and to instruct those persons to immediately contact Receiver. Doing so waives no attorney-client communication privilege.
a. Deliver to Receiver, at the address of the Receiver, the items described in Exhibit A, attached hereto as part of this Order, and all documents and records requested by Receiver, within ten days, then occasionally, in the time periods, manners, and formats requested;
b. Turnover to Receiver all non-exempt funds to the extent required to satisfy the Judgment. No Debtor may spend non-exempt funds, or sell, transfer, or encumber non-exempt assets without Receiver's prior written consent;
c. Disclose to Receiver all assets of each Debtor, and directly nor indirectly interfere with or impede Receiver to perform his duties. Debtor must disclose all exempt and non-exempt assets so the exempt status of every asset can be determined. Debtor's disclosure must provide sufficient specificity to permit a constable to identify and levy on the assets;
d. Supplement all disclosures, in writing, within five days of knowledge of information required to be disclosed, without being prompted;
e. Organize and collate the disclosed information and documents in the formats and manners required by Receiver. The disclosures must be indexed and refer to the request to which it is responding. Responses like, "See response number so and so." are prohibited;
f. Deliver to Receiver all passwords, user identification, login and other credentials used to access websites, owned, controlled, or managed by each Debtor and on-line accounts that allow the control of assets (e.g. financial accounts, webhosting accounts, and other accounts used to control assets).
g. Debtor may not dispute a check that Receiver seizes and deposits, without first obtaining the Court's permission.
h. If Debtor believes that the Receiver's demands are inappropriate, the Debtor must first comply, then seek protection from the Court. Debtors seeking protection must set the matter for the earliest possible hearing date, after giving full notice to the Receiver and attempting to resolve the issues.
Cause No. 202448085
without the express approval of the Receiver.9 This order supersedes the authority of any officers, directors or managers of the business entity debtor.
REMAINDER OF THIS PAGE INTENTIONALLY BLANK
Powers GRANTED unto the Receiver by this Court:
a. All patents, trademarks, service marks, copyrights, websites, and domain names;
b. All documents or records, including financial records, related to such property that is in actual or constructive possession of the Debtors;
c. All financial accounts (bank accounts), certificates of deposit, money-market accounts, and accounts held by any third party;
d. All federal and state tax returns filed or prepared by or on behalf of the Debtors for the past five (5) years;
e. All non-exempt vehicles, to include boats, motor vehicles, cars, trucks, utility vehicles, recreation vehicles, aircraft, trailers, or other wheeled vehicles;
f. All real property owned or rented by any Debtor or Debtor's agent or assigns in part or whole;
g. All securities;
h. All gifts, inheritances, or divisions of property;
i. All safety deposit boxes, safes, lock boxes, or vaults;
j. All cash;
k. All negotiable instruments, including promissory notes, drafts, and checks;
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
m. All contract rights, whether present or future;
n. All accounts receivable;
o. Any and all leases or leaseholds;
p. All collections, including but not limited to artwork, stamps, coins, guns, crystal, sports memorabilia, records, and trains;
q. Accounts receivable for and all other entities controlled by Debtors;
r. All Debtors' ownership interests;
s. All personal bank accounts upon which Debtors are signatories;
t. All business bank accounts upon which Debtors are signatories;
u. All bank accounts owned, possessed, controlled by, or in the name of any Debtor individually;
v. All bank accounts owned, possessed, controlled by, or in the name of and Debtor by corporate affiliation;
w. All diamonds, gems, and other precious stones, gold, silver, platinum, and all other precious metals, watches, and jewelry;
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
aircraft to conduct surveillance of the Debtor's property held in custodia legis, and such operations are deemed essential for the safety of the Receiver in his official duties under Tex. Gov. Code § 423.002(a);
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
Protected Property Claim Form approved by the Supreme Court, or within 17 days if service was by mail. If the Judgment Debtor asserts an exemption, Receiver may only disburse funds to Judgment Creditor or sell property with Judgment Debtor's written consent or a court order.
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
a. The orders must be directed to the entity from which the information is sought and specifically describe the information requested with the dates for which the information is required, which may not be more than one year before issuing Receiver's request, unless specifically stated in the request or attachments.
b. This order specifically defines Receiver as a state official, acting in an official capacity, as defined in section 182.054(1) of the Texas Utility Code.
c. This order specifically serves as the court order required by 47 U.S.C. § 551, and TEX. FIN. CODE §59.001, and satisfies all obligations of the responding party to obtain or receive a court order prior to disclosing material containing before contained personally identifiable information of the subscriber or customer;
d. Disclosing information under this order does not violate PUC Substantive Rule 25.272. This order satisfies the law, regulation, or legal process exception to the Proprietary Customer Information Safeguards found in PUC Substantive Rule 25.272 (g)(1).
a. At least ten days before any abandonment, Receiver must file a notice of the intended sale or abandonment that describes the property to be abandoned, its sale price, and how it will be sold or abandoned;
b. By first class mail to Debtor and every person who has filed a request for notice;
a. If no objection is timely filed, Receiver may abandon the property as described in the notice, without further order.
b. If an objection is timely filed, the proposed abandonment or sale must not be completed until the Court has decided the objection.
finds 25% is a fair, reasonable, customary, and necessary fee for Receiver. A Receiver's fee exceeding 25% of all funds coming into Receiver's possession may be awarded after notice and opportunity for hearing to all parties. Specifically, the Court may award the Receiver 33% of collected funds should the Receiver collect the full amount of the judgment. If the Debtor files bankruptcy, Receiver's fee shall be equal to 25 percent of the debt owed when the bankruptcy is filed, and may be filed as a secured claim should a valid abstract of judgment be on file at the time of bankruptcy filing. Receiver is directed to pay plaintiff's attorney, as plaintiff's trustee, the remainder of all funds coming into Receiver's possession, after deducting Receiver's costs and payment of liens or set offs as Receiver deems reasonable within a reasonable time.
Express, Inc., 488 F.2d 714 (5th Cir. 1974), set out twelve factors that a court should consider in determining a reasonable fee."
BE IT SO ORDERED. Any and all further relief not expressly stated herein is denied.
Signed and Dated:
Signed:
Michael Many
5/22/2025
Hon. Michael Gomez JUDGE PRESIDING
Approved as to form and substance:
RABAT
Certified Document Number: 120719480 - Page 20 of 31
Berleth & Associates Robert W. Berleth Texas Bar # 24091860
SDOT #: 3062288
E-mail: rberleth@berlethlaw.com Tristian Harris Texas Bar # 24134449 E-mail: tharris@berlethlaw.com 9950 Cypresswood Dr. Suite 200 Tele: 713-588-6900
PROPOSED RECEIVER
Atlantic Wave Holdings, LLC et al v. Cyberlux Corporation et al.
Definitions and instructions.
a. "Order" means the turnover order in this caseorder.
b. "Account Information" means the login, username or other account identifier with all passwords associated with accessing the accounts.
c. "Contact Information," "telephone number," and "address," mean that person's full name, nick names, d/b/a's, and all addresses (including work and residence), all telephone numbers (including home, office, fax, pager, and cell numbers), and e-mail, Facebook, social networking, and web site addresses. If any of the information is lacking, provide the Contact Information for every person believed to be able to provide the missing information.
d. "Defendant" includes every judgment defendant and every spouse or ex-spouse of the judgment defendant within three years of signing the order.
e. "Copies" means complete, legible copies. Illegible copies are to be provided, with a notation showing where legible copies can be found.
f. "Entity" includes all business organizations, whatever their form, including public or private corporations, limited liability companies, partnerships, joint ventures, unincorporated associations, and individual proprietorships.
g. "Manager" refers collectively to anyone who is an officer, director, manager, or supervisor of an Entity, or who makes business decisions for an Entity.
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h. "Produce," means to deliver. If an item is not listed in this exhibit, the defendant or witness must turn over the item in the time specified by the demand.
i. "Records" and "Documents" are mutually inclusive, and include the records, documents, and items formally ordered turned over, or requested by the Receiver. Requests regarding property or Documents owned or possessed by a defendant also apply to defendant's spouse, ex-spouse, brother sister, child, step-child, mother, father, sister, brother, partner, or co-owner of a small business, if the requests involve documents that a defendant would be required to turnover had defendant possessed or controlled the item.
j. "Shareholder" includes the owners, members, partners and others who have ownership rights any Entity.
k. "Turnover" includes creating a list or report, if no list or report exists. "Turnover" also means to convey the information that is available to you, not merely the information of your present knowledge, including providing information, Documents or Records known by you, or that is in your possession, or the possession of your family, employees, co-workers, co-owners or agents, including your attorney or any agent or investigator of your attorney.
a. "All" is presumed to apply to every item. If a type of item is listed, this Order means all similar items.
b. Each turned over Document, file, or photograph must be given a consecutive identification number and produced in the condition and order of arrangement in which it existed when the application for this Order was filed, including all file labels, dividers, or associated identifying markers. An index must be provided, if the documents are large, or if the Receiver requests.
c. Creating lists and compilations. If the Order or this exhibit requires a defendant to compile or create a list or document, each defendant is ordered to do so.
d. Lost Document, Records, or tangible things. If a defendant, or a defendant's attorneys, agents or representatives, had possession or
control of a Document, Record, or tangible thing ordered turned over that has been lost, destroyed, purged, or is not in their possession or control, identify the item and describe the circumstances surrounding the loss, destruction, purging, or separation from your possession or control, indicating the dates that the circumstances occurred.
e. No Document, file or photograph requested may be altered, changed, modified, disposed of or destroyed.
f. Indicate to which paragraph of the Order the Document, Record or tangible thing applies. When producing data or information in electronic or magnetic form, make a paper copy. If it is not reasonably possible to make a hard copy print-out of the data or information, copy the data or information and provide it in WordPerfect, Microsoft Word, Microsoft Excel, Rich Text Format, JPEG, Adobe, or other format acceptable to the Receiver.
For each defendant, Entity, and owner, Shareholder, or Manager of the Entity in the last three years, turn over all Items, data, and records:
a. The Entity's Contact Information;
b. The Contact Information for every owner, Shareholder, or Manager of each Entity for the last three years;
c. The Contact Information for the accountants and bookkeepers for each Entity and every owner, Shareholder, or Manager for the last three years;
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Document 173-1 Filed 04/15/26 EXI26BITA
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terms of any written employment contract or agreement or is due any remuneration under any past contract or agreement, furnish a copy of the contract or agreement;
a. Articles of Incorporation.
b. Bylaws and all amendments.
c. Shareholders Agreement and amendments.
d. A specimen of the corporation's Share Holder Certificate including stock transfer restrictions noted on the face of the certificate or referred to thereon.
e. All records of the original issuance of shares issued by the corporation and a record of each transfer of those shares presented to the corporation for registration of transfer.
f. The names and current addresses of all past and current shareholders of the corporation and the number and class or series of shares issued by the corporation held by each.
g. A copy of the current share transfer ledger of the corporation showing the certificate number, date of issuance, shareholder name and number of shares represented to be held by the shareholders.
h. Any financial statements of the corporation prepared for or issued by the corporation in the previous two years.
i. The books and records of accounts of the corporation for the last fiscal year.
j. The corporation's annual statements for its last fiscal year showing in reasonable detail its assets and liabilities and the results of its operations and the most recent interim statements that have been filed in a public record or otherwise published.
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k. The minutes of the proceedings of the owners or members or governing authority of the corporation and committees of the owners or members or governing authority of the corporation.
a. The Articles of Organization.
b. The Operating Agreement or Company Agreement and all amendments and modifications.
c. The Regulations and all amendments and restatements.
d. The Company's books and records of accounts for the last three years.
e. The Company's minutes of the proceedings of the owners or members or governing authority of the Company and committees of the owners or members or governing authority of the Company.
f. The current list of each member's name, mailing address, percentage or other interest in the Company owned by each member, and if one or more classes or groups are established in or under the articles of organization or regulations, the names of the members who are members of each specified class or group.
g. Copies of the federal, state and local information or income tax returns and franchise tax returns for each of the Company's six most recent tax years.
h. Copies of any document that creates, in the manner provided by the articles of organization or regulations, classes or groups of members.
i. Unless contained in the Articles of Organization or regulation, a written statement of:
i. the amount of a cash contribution and a description and statement of the agreed value of any other contribution made or agreed to be made by each member;
ii. the dates any additional contributions are to be made by a member;
iii. any event the occurrence of which requires a member to make additional contributions;
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iv. any event the occurrence of which requires the winding up of the Company; and
v. the date each member became a member of the Company.
j. A specimen of the Company's Member Unit or Share Certificate including any transfer restrictions noted on the face of the certificate or referred to thereon.
k. The current unit or share transfer ledger of the Company showing the certificate number, date of issuance, unit holder or shareholder name and number of shares represented to be held by any owner of the Company.
m. Any financial statements of the Company prepared for or issued by the Company in the previous two years.
a. A current list that states:
i. the name and mailing address of each partner, separately identifying in alphabetical order the general partners and the limited partners;
ii. the last known street address of the business or residence of each general partner;
iii. the percentage or other interest in the partnership owned by each partner; and
iv. if one or more classes or groups are established under the partnership agreement, the names of the partners who are members of each specified class or group.
b. A copy of:
i. the limited partnership's federal, state, and local information or income tax returns and franchise tax returns for each of the partnership's six most recent tax years;
ii. the partnership agreement and certificate of formation; and
iii. all amendments or restatements.
c. Copies of any document that creates, in the manner provided by the partnership agreement, classes or groups of partners.
d. An executed copy of any powers of attorney under which the partnership agreement, certificate of formation, and all
amendments or restatements to the agreement and certificate have been executed.
e. Unless contained in the written partnership agreement, a written statement of:
i. the cash contribution and a description and statement of the agreed value of any other contribution made by each partner;
ii. the cash contribution and a description and statement of the agreed value of any other contribution that the partner has agreed to make as an additional contribution;
iii. the date on which additional contributions are to be made or the date of events requiring additional contributions to be made;
iv. events requiring the limited partnership to be dissolved and its affairs wound up; and
v. the date on which each partner in the limited partnership became a partner.
f. The records of the accounts of the limited partnership.
g. The income and expense statement for the limited partnership for the past three years if they are not contemplated under No. 6 above.
h. Any financial statements of the limited partnership prepared for or issued by the limited partnership in the previous two years.
END OF DOCUMENT
I, Marilyn Burgess, District Clerk of Harris County, Texas certify that this is a true and correct copy of the original record filed and or recorded in my office, electronically or hard copy, as it appears on this date. Witness my official hand and seal of office this May 23. 2025
Certified Document Number:
Marilyn Burgess
Marilyn Burgess, DISTRICT CLERK HARRIS COUNTY, TEXAS
In accordance with Texas Government Code 51.301 and 406.013 electronically transmitted authenticated documents are valid. If there is a question regarding the validity of this document and or seal please e-mail support@hcdistrictclerk.com
Original source file
- File
- ip-hii-edva-00483-doc-0173-exhibit-1.pdf
- Source UID
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- Full SHA-256
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