Evidence Record

Exhibit B – 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt

Subject: RE: 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt Importance: Normal

Type
exhibit
Pages
4
Lines
181
SHA-256
a4c3c8657abe

DISTIL analysis

DISTIL Run
Profile
Standard
Version
1
Doc Type
Legal correspondence - attorney response to constable's office
Total Nodes
40
Node Legend
Entity (ENT)
Event (EVT)
Claim (CLM)
Anchor (ANC)
Omission (OMI)
Tension (TEN)
Tell (TEL)
Inference (INF)
Hypothesis (HYP)
Stage 1
Index
Orientation · No nodes
Document Classification
Legal correspondence - attorney response to constable's office Defense counsel (Thompson Coburn LLP) representing Cyberlux Corp. and Mark D Schmidt Texas state court enforcement proceedings; consent judgment execution; receivership appointment; property seizure dispute 2025-01-24 to 2025-02-07
multi_jurisdiction_disputeenforcement_staysthird_party_property_claimsgovernment_contract_involvement
Analytical Frame
Procedural maneuvering to halt constable execution via receiver appointment; jurisdictional complexity across Virginia and Texas
Analytical Summary
Defense attorney Alex Pennetti responds to Harris County Constable Precinct 4 regarding a writ of execution in Atlantic Wave Holdings LLC v. Cyberlux Corp., asserting that a court-appointed receiver obviates the need for constable action. The underlying consent judgment stems from a settlement agreement now disputed in four separate Virginia lawsuits over breach and enforceability. Pennetti reveals that despite the receiver appointment on January 16, 2025, Deputy Constable Montgomery left a notice at the Cyberlux facility on February 2, 2025, and that the proposed receiver had already inspected the property. Defense counsel claims the personalty at the Rhodes Road facility is owned by third parties under a U.S. Government subcontract, attaching declarations from special counsel Charles Watts and retired Air Force Major General Cameron G. Holt to support this position.
Key Points
  • Defense counsel claims court-appointed receiver on January 16, 2025 obviates need for constable execution of writ
  • Underlying consent judgment is disputed in four separate Virginia lawsuits over breach and enforceability
  • No costs have been awarded or allocated by the Texas court according to defense counsel
  • Deputy Constable Montgomery left notice at Cyberlux facility on February 2, 2025, despite receiver appointment
  • Defense claims personalty at 21631 Rhodes Road is owned by third parties under U.S. Government subcontract
  • Proposed receiver had already participated in property inspection prior to formal appointment
Stage 2
Core — Entities, Events, Claims
26 nodes
ENT-001
Entity
Alex Pennetti
Attorney at Thompson Coburn LLP representing defendants Cyberlux Corp. and Mark D Schmidt; contact: apennetti@thompsoncoburn.com, phone 972-629-7168
Page 2 — Alex Pennetti apennetti@thompsoncoburn.com P. 972 629 7168
ENT-002
Entity
Atlantic Wave Holdings LLC
Plaintiff in case 2024-48085 against Cyberlux Corp. and Mark D Schmidt; party to consent judgment and settlement agreement
Page 2, 3 — 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt
ENT-003
Entity
Cyberlux Corp.
Defendant in case 2024-48085; party to consent judgment; lessee of facility at 21631 Rhodes Road, Spring, Texas; holds property under U.S. Government subcontract
Page 2 — Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt... the Cyberlux leased facility located at 21631 Rhodes Road, Spring, Texas... the personalty in the facility is subject to a United States Government subcontract and, although being held and stored by Cyberlux, is owned by third parties
ENT-004
Entity
Mark D Schmidt
Defendant in case 2024-48085 along with Cyberlux Corp.
Page 2, 3 — Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt
ENT-005
Entity
Jennifer Kessinger
Civil Clerk in the Office of Mark Herman, Constable, Harris County Precinct 4; handles writs and civil matters; contact: Jennifer.Kessinger@cd4.hctx.net
Page 3 — From: Kessinger, Jennifer (CD4) <Jennifer.Kessinger@cd4.hctx.net> Sent: Friday, January 24, 2025 11:06 AM... Jennifer Kessinger /Civil Clerk Civil / Writs Office of Mark Herman, Constable Harris County, Precinct 4
ENT-006
Entity
Deputy Constable Montgomery
Deputy constable who left notice at the Cyberlux facility on or around February 2, 2025
Page 2 — yesterday I was notified that Deputy Constable Montgomery left a notice at the Cyberlux leased facility located at 21631 Rhodes Road, Spring, Texas
ENT-007
Entity
Robert W. Berleth
Appointed receiver in case 2024-48085; submitted Oath of Receiver; participated in inspection of property at Cyberlux facility
Page 2 — 025.01.17 Oath of Receiver Robert W. Berleth. pdf... the receiver plaintiffs proposed has already participated in an inspection of property at that facility
ENT-008
Entity
Charles Watts
Special counsel to Cyberlux; provided declaration regarding property ownership and government subcontract
Page 2 — Please see the attached declarations of Charles Watts, special counsel to Cyberlux
ENT-009
Entity
Cameron G. Holt
United States Air Force Major General (retired); provided declaration regarding government subcontract property
Page 2 — United States Air Force Major General (ret.) Cameron G. Holt. These declarations have already been provided to the plaintiffs
ENT-010
Entity
Thompson Coburn LLP
Law firm representing defendants; Dallas office at 2100 Ross Avenue Suite 3200, Dallas, TX 75201
Page 2, 3 — Thompson Coburn LLP 2100 Ross Avenue Suite 3200 Dallas, TX 75201 www.thompsoncoburn.com
ENT-011
Entity
Harris County Precinct 4 Constable's Office
Law enforcement office responsible for executing writs; Office of Mark Herman, Constable; located at 330 Meadowfern Dr., 2nd Floor, Houston, TX 77067
Page 3 — Office of Mark Herman, Constable Harris County, Precinct 4 330 Meadowfern Dr., 2nd Floor Houston, TX 77067
EVT-001
Event
Consent judgment entry
Court entered consent judgment as part of settlement agreement between Atlantic Wave Holdings LLC and Cyberlux Corp./Mark D Schmidt; judgment did not result from Texas litigation
Page 2 — The underlying consent judgment was signed as part of a settlement agreement between the parties. It did not flow from any litigation in Texas.
EVT-002
Event
Court docket notation on costs
Texas court entered docket note stating no costs have been allocated in case 2024-48085
Page 2 — In fact, the Court entered on its docket a note stating no costs have been allocated in this matter.
EVT-003
Event
Writ of execution issuance
Writ of execution was issued to Harris County Constable Precinct 4 office on January 15, 2025
Page 2 — After the writ was issued to your office on January 15, 2025
EVT-004
Event
Receivership hearing
Court held hearing on January 16, 2025 at which court indicated it would appoint a receiver; hearing transcript excerpt attached to correspondence
Page 2 — After the writ was issued to your office on January 15, 2025, the Court held a hearing at which the Court indicated it would appoint a receiver. An excerpt from the hearing transcript is attached, and for convenience I highlighted the relevant portion of the transcript where the Court expressed its ruling on the receivership application.
EVT-005
Event
Receiver oath submission
Oath of Receiver Robert W. Berleth was submitted to the court on or around January 17, 2025
Page 2 — I also attached the Oath of Receiver that was submitted to the Court
EVT-006
Event
Deputy constable notice at facility
Deputy Constable Montgomery left a notice at the Cyberlux leased facility at 21631 Rhodes Road, Spring, Texas on or around February 2, 2025
Page 2 — As an aside, yesterday I was notified that Deputy Constable Montgomery left a notice at the Cyberlux leased facility located at 21631 Rhodes Road, Spring, Texas.
EVT-007
Event
Receiver property inspection
Proposed receiver Robert W. Berleth participated in an inspection of property at the Cyberlux facility prior to formal appointment
Page 2 — Of note, the receiver plaintiffs proposed has already participated in an inspection of property at that facility.
EVT-008
Event
Constable office writ receipt
Harris County Constable Precinct 4 office received writ of execution for case 2024-48085; Jennifer Kessinger requested bill of costs on January 24, 2025
Page 3 — Good morning, my office received the writ of execution for the above referenced case. Please scan and email the bill of costs so that the deputy can begin working the writ.
EVT-009
Event
Defense counsel response
Alex Pennetti sent response email to Jennifer Kessinger on February 3, 2025 at 12:31:28 PM explaining receiver appointment and property ownership claims
Page 2 — From: Pennetti, Alex Sent: Monday, February 3, 2025 12:31:28 PM To: 'Kessinger, Jennifer (CD4)'
EVT-010
Event
Document filing
Defense response to plaintiff's request for emergency hearing filed on February 7, 2025 at 9:29 AM by Frankie Huff on behalf of Katherine Clark; Exhibit B attached
Page 1, 4 — 2/7/2025 9:29 AM Marilyn Burgess - District Clerk Harris County Envelope No. 97103416 By: Maegan McGuire Filed: 2/7/2025 9:29 AM... Filing Description: Defs Response to Plfs Request for Emergency Hearing
CLM-001
Claim
No costs awarded in Texas proceeding
Defense counsel asserts that the Texas court has not awarded plaintiffs any costs or issued a bill of costs for case 2024-48085
Page 2 — As a result, the Court has not awarded the plaintiffs any costs or issued a bill of costs for this matter.
CLM-002
Claim
Four Virginia lawsuits pending
Defense counsel claims the settlement agreement underlying the consent judgment is currently subject of litigation in four separate lawsuits in Virginia
Page 2 — The settlement agreement of which this judgment is a part is currently the subject of litigation in four separate lawsuits in Virginia. In those lawsuits, the parties to this judgment are disputing whether a breach of the settlement has occurred and whether the consent judgment is enforceable.
CLM-003
Claim
Receiver appointment obviates constable action
Defense counsel claims that the court's appointment of a receiver obviates the need for any further activity by the Harris County constable's office
Page 2 — In short, the Court's appointment of a receiver obviates the need for any further activity by the Harris County constable's office... Although the Court's appointment of a receiver obviates any need for further activity by the Harris County constable
CLM-004
Claim
Third party ownership of facility property
Defense counsel claims that personalty at the Cyberlux facility is subject to a U.S. Government subcontract and is owned by third parties, not by Cyberlux
Page 2 — Additionally, the personalty in the facility is subject to a United States Government subcontract and, although being held and stored by Cyberlux, is owned by third parties.
CLM-005
Claim
Inventory lists provided to plaintiffs
Defense counsel claims Cyberlux clients have compiled serialized inventory lists of property and those lists are being provided to plaintiffs for the receiver's benefit
Page 2 — my clients have compiled serialized inventory lists of said property. Those lists are also being provided to the plaintiffs for the proposed receiver's benefit.
Stage 3
In Situ — Quotations, Tells, Tensions, Questions
8 nodes
QUO-001
Quotation
Constable request for bill of costs
Constable's office civil clerk requested bill of costs to begin working the writ
Page 3 — Please scan and email the bill of costs so that the deputy can begin working the writ. The court should have issued the bills of costs with the writ.
QUO-002
Quotation
Defense apology for delay
Defense counsel apologized for delayed response due to business travel
Page 2 — I apologize for the delay, as I was traveling for business when you contacted me.
TEN-001
Tension
Writ execution vs. receiver appointment timing
Temporal tension: writ of execution was issued January 15, 2025, then receivership hearing occurred January 16, 2025, but Deputy Constable Montgomery still left notice at facility on February 2, 2025
Page 2 — After the writ was issued to your office on January 15, 2025, the Court held a hearing at which the Court indicated it would appoint a receiver... As an aside, yesterday I was notified that Deputy Constable Montgomery left a notice at the Cyberlux leased facility
TEN-002
Tension
Receiver inspection before formal appointment
Procedural irregularity: proposed receiver conducted property inspection before court formally appointed receiver and oath was submitted
Page 2 — Of note, the receiver plaintiffs proposed has already participated in an inspection of property at that facility.
TEN-003
Tension
Texas enforcement vs. Virginia disputes
Jurisdictional tension: parties are enforcing Texas consent judgment while simultaneously disputing settlement breach and judgment enforceability in four Virginia lawsuits
Page 2 — The settlement agreement of which this judgment is a part is currently the subject of litigation in four separate lawsuits in Virginia. In those lawsuits, the parties to this judgment are disputing whether a breach of the settlement has occurred and whether the consent judgment is enforceable.
QST-001
Question
Authority of receiver over constable execution
What is the legal effect of a receiver appointment on an already-issued writ of execution? Does the receiver appointment automatically stay constable action or is separate court order required?
Page 2 — After the writ was issued to your office on January 15, 2025, the Court held a hearing at which the Court indicated it would appoint a receiver... In short, the Court's appointment of a receiver obviates the need for any further activity by the Harris County constable's office.
QST-002
Question
Ownership of seized property
Are the goods at 21631 Rhodes Road legitimately owned by third parties under government subcontract, or are they assets of Cyberlux subject to execution? What is the evidentiary basis for the ownership claim?
Page 2 — the personalty in the facility is subject to a United States Government subcontract and, although being held and stored by Cyberlux, is owned by third parties. Please see the attached declarations of Charles Watts, special counsel to Cyberlux, and United States Air Force Major General (ret.) Cameron G. Holt.
QST-003
Question
Impact of Virginia litigation on Texas enforcement
How do four pending Virginia lawsuits challenging the settlement agreement and consent judgment enforceability affect the Texas court's authority to enforce the judgment?
Page 2 — The settlement agreement of which this judgment is a part is currently the subject of litigation in four separate lawsuits in Virginia. In those lawsuits, the parties to this judgment are disputing whether a breach of the settlement has occurred and whether the consent judgment is enforceable.
Stage 4
Interpretive — Inferences, Omissions, Patterns
6 nodes
INF-001
Inference
Strategic delay through receiver mechanism
Defense counsel's timing and framing suggests receiver appointment was strategically pursued to halt constable execution after writ was issued, creating procedural obstacle to plaintiffs' collection efforts
Page 2 — Notwithstanding the above, after requesting a writ of execution be issued to your office, Plaintiffs sought the appointment of a receiver. After the writ was issued to your office on January 15, 2025, the Court held a hearing at which the Court indicated it would appoint a receiver.
INF-002
Inference
Government property as shield against execution
Defense counsel's emphasis on U.S. Government subcontract and third-party ownership, supported by declarations from special counsel and retired Air Force general, appears designed to characterize property as immune from execution
Page 2 — Additionally, the personalty in the facility is subject to a United States Government subcontract and, although being held and stored by Cyberlux, is owned by third parties. Please see the attached declarations of Charles Watts, special counsel to Cyberlux, and United States Air Force Major General (ret.) Cameron G. Holt.
INF-003
Inference
Coordination between receiver and defense
The fact that proposed receiver conducted property inspection before formal appointment suggests possible pre-coordination with defense, as receiver would need access granted by Cyberlux
Page 2 — Of note, the receiver plaintiffs proposed has already participated in an inspection of property at that facility.
OMI-001
Omission
No explanation of Virginia litigation details
Defense counsel mentions four separate Virginia lawsuits but provides no case numbers, court locations, filing dates, or specifics about the breach and enforceability disputes
Page 2 — The settlement agreement of which this judgment is a part is currently the subject of litigation in four separate lawsuits in Virginia.
OMI-002
Omission
No substantive receiver ruling details
Defense counsel states court 'indicated it would appoint a receiver' and references highlighted transcript excerpt, but does not provide the court's actual ruling language, reasoning, or formal appointment order
Page 2 — the Court held a hearing at which the Court indicated it would appoint a receiver. An excerpt from the hearing transcript is attached, and for convenience I highlighted the relevant portion of the transcript where the Court expressed its ruling on the receivership application.
OMI-003
Omission
No context on settlement agreement terms
No details provided about the underlying settlement agreement terms, monetary amounts, performance obligations, or what specifically is being disputed in Virginia courts
Page 2 — The underlying consent judgment was signed as part of a settlement agreement between the parties.

Extracted text

4 pages · 6877 characters

Exhibit B - 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt — Formatted Extract

Type: exhibit
Filing Header

Unofficial Copy Office of Marim Burgess District Clerk

EXHIBIT B

Archived: Thursday, February 6, 2025 3:53:05 PM

From: Pennetti, Alex

Sent: Monday, February 3, 2025 12:31:28 PM

To: 'Kessinger, Jennifer (CD4)'

Subject: RE: 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt Importance: Normal

Sensitivity: None

Attachments:

Jan 16 hearing transcript excerpt.pdf 025.01.17 Oath of Receiver Robert W. Berleth. pdf Declaration of C Watts.pdfan

- Doc - VA COE Mitchell Holt 1.pdf] :selected:

:selected:

:selected:

Good morning, Ms. Kessinger.

I apologize for the delay, as I was traveling for business when you contacted me.

The underlying consent judgment was signed as part of a settlement agreement between the parties. It did not flow from any litigation in Texas. As a result, the Court has not awarded the plaintiffs any costs or issued a bill of costs for this matter. In fact, the Court entered on its docket a note stating no costs have been allocated in this matter.

The settlement agreement of which this judgment is a part is currently the subject of litigation in four separate lawsuits in Virginia. In those lawsuits, the parties to this judgment are disputing whether a breach of the settlement has occurred and whether the consent judgment is enforceable.

Notwithstanding the above, after requesting a writ of execution be issued to your office, Plaintiffs sought the appointment of a receiver. After the writ was issued to your office on January 15, 2025, the Court held a hearing at which the Court indicated it would appoint a receiver. An excerpt from the hearing transcript is attached, and for convenience I highlighted the relevant portion of the transcript where the Court expressed its ruling on the receivership application. I also attached the Oath of Receiver that was submitted to the Court, In short, the Court's appointment of a receiver obviates the need for any further activity by the Harris County constable's office.

As an aside, yesterday I was notified that Deputy Constable Montgomery left a notice at the Cyberlux leased facility located at 21631 Rhodes Road, Spring, Texas. Of note, the receiver plaintiffs proposed has already participated in an inspection of property at that facility.

Additionally, the personalty in the facility is subject to a United States Government subcontract and, although being held and stored by Cyberlux, is owned by third parties. Please see the attached declarations of Charles Watts, special counsel to Cyberlux, and United States Air Force Major General (ret.) Cameron G. Holt. These declarations have already been provided to the plaintiffs, and my clients have compiled serialized inventory lists of said property. Those lists are also being provided to the plaintiffs for the proposed receiver's benefit.

Although the Court's appointment of a receiver obviates any need for further activity by the Harris County constable, if someone from your office wishes to discuss this matter, please feel free to contact me.

Best,

Alex Pennetti apennetti@thompsoncoburn.com P. 972 629 7168 F: 972 629 7171

Thompson Coburn LLP

2100
Ross Avenue Suite 3200 Dallas, TX 75201 www.thompsoncoburn.com

From: Kessinger, Jennifer (CD4) <Jennifer.Kessinger@cd4.hctx.net> Sent: Friday, January 24, 2025 11:06 AM To: Pennetti, Alex <APennetti@thompsoncoburn.com> Subject: 2024-48085; Atlantic Wave Holdings LLC vs. Cyberlux Corp. and Mark D Schmidt

RECEIVED FROM EXTERNAL SENDER - USE CAUTION

Good morning, my office received the writ of execution for the above referenced case. Please scan and email the bill of costs so that the deputy can begin working the writ. The court should have issued the bills of costs with the writ.

Thank you,

Jennifer Kessinger /Civil Clerk Civil / Writs Office of

Mark Herman, Constable

Harris County, Precinct 4

330
Meadowfern Dr., 2nd Floor Houston, TX 77067 Office: 832.927.6139 / Fax: 713-437-8508

f

HARRIS COUNTY CONSTABLE

CONSTABL HARRIS COUNTY PRECINGA

WRITE DIVISION

"Proudly Serving the Citizens of Porklage a

This transmission is CONFIDENTIAL and the information is intended only for the use of the individual or entity to which it is addressed. If you are not the intended recipient, or the employee or agent responsible for delivering it to the intended recipient, you are hereby notified that any use, dissemination, distribution or copying of this communication is STRICTLY PROHIBITED. If you have received the transmission in error, please immediately notify us by e-mail and/or telephone, and delete the transmission and any attachments from your mailbox. Thank you.

Unofficial Copal el Marilyn Burgess District k

Automated Certificate of eService

This automated certificate of service was created by the efiling system. The filer served this document via email generated by the efiling system on the date and to the persons listed below. The rules governing certificates of service have not changed. Filers must still provide a certificate of service that complies with all applicable rules.

Frankie Huff on behalf of Katherine Clark Bar No. 24046712 fhuff@thompsoncoburn.com Envelope ID: 97103416 Filing Code Description: No Fee Documents Filing Description: Defs Response to Plfs Request for Emergency Hearing Status as of 2/7/2025 3:22 PM CST

Case Contacts

Name

BarNumber

Email

TimestampSubmitted

Status

Sandra Meiners

smeiners@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Travis Vargo

tvargo@vargolawfirm.com

2/7/2025 9:29:07 AM

SENT

Micah Jackson

mjackson@berlethlaw.com

2/7/2025 9:29:07 AM

SENT

Laurie DeBardeleben

Idebardeleben@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Roxanna Lock

rlock@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Shawn Grady

shawn@gradycollectionlaw.com

2/7/2025 9:29:07 AM

SENT

Shawn Grady

shawn@gradycollectionlaw.com

2/7/2025 9:29:07 AM

SENT

Jeff Brown

jbrown@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Bernadette Martin

bernadette@gradycollectionlaw.com

2/7/2025 9:29:07 AM

SENT

Lena Brasher

Ibrasher@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Sheli Davis

sdavis@berlethlaw.com

2/7/2025 9:29:07 AM

SENT

Tristian Harris

Cop

tharris@berlethlaw.com

2/7/2025 9:29:07 AM

SENT

Corinne Martin

cmartin@berlethlaw.com

2/7/2025 9:29:07 AM

SENT

Frankie Huff

fhuff@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Michael Poynter

mpoynter@vargolawfirm.com

2/7/2025 9:29:07 AM

SENT

Hannah Fischer Enokicial

hfischer@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Bernadette Martin

bernadette@gradycollectionlaw.com

2/7/2025 9:29:07 AM

SENT

Jocelin A. Tapia

jtapia@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Katharine Clark

kclark@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Alex Pennetti

apennetti@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Edward W.Gray, Jr.

EGray@thompsoncoburn.com

2/7/2025 9:29:07 AM

SENT

Original source file

No source file is attached yet. The record is ready for the PDF/media link when the attachment importer is connected.
File
aw-harris-awh-2024-48085-doc-118855059.pdf
Source UID
source:a4c3c8657abe46e647e389c5002545f105c63c9a38bd3e62229066bbe42991db
Full SHA-256
a4c3c8657abe46e647e389c5002545f105c63c9a38bd3e62229066bbe42991db