Each card carries the governed distillate name from the database. Open the quoted anchor before relying on the interpretation.
assumptionassumption
Defendants assume the protective advance plus tender satisfies the legal prerequisite for ending turnover enforcement despite funds still be
Defendants assume the protective advance plus tender satisfies the legal prerequisite for ending turnover enforcement despite funds still being held in lender-counsel trust.
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
observationobservation
$2,755,100.10itemised proposed advance and discordant printed fee base.
Read the anchor · page 2
2
subject of the Turnover Order, and the Receiver’s appointment .2
During that call, Legalist
indicated that its protective advance would be an amount sufficient to satisfy the
outstanding judgment, and would be a total of no less than $2,755,100.10.3
The total of Legalist’s protective advance included funds representing:
$2,111,086.01, the amount of the judgment listed in the Court’s Order
Appointing Receiver (the “Turnover Order”).4
$75,652.07, interest on the $2,111,086.01 from 2/18/2025, the date specified in
the order.5
$546,684.52, representing 25% of $2,186,422.60 (principal balance and interest
in the Court’s Turnover Order).
$21,677.50, representing attorneys’ fees incurred by Atlantic Wave. The
Southern District of Texas ordered Cyberlux and Schmidt to pay Atlantic Wave,
and this amount represents the total amount submitted by Atlantic Wave’s
counsel.6
At the end of the call, the Receiver indicated he would provide his office’s wire
instructions so Legalist could effectuate the transfer.7
The Receiver has not provided those
instructions.8
2 See Declaration of A. Pennetti, at ¶ 5, attached as Exhibit A; Declaration of Legalist counsel, J.
Prostok, attached as Exhibit B.
3
Exhibit B, at ¶ 5.
4
For the reasons described in Defendants Written Objections to the Court’s Turnover Order, the
Judgment balance (and any interest flowing therefrom) is incorrect and should be modified or
corrected.
5
Interest was calculated from this date because the “judgment balance” in the Turnover Order
appears to be inclusive of interest.
6 See Exhibit A, at ¶ 7.
7
Id., at ¶ 6.
8
Exhibit B, at ¶ 7.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
observationobservation
Approximately$25millionreceivable expressly subject to modification reductions.
Read the anchor · page 3
3
2. The Receiver is acting beyond his authority to interfere with accounts
receivable flowing from Cyberlux’s U.S. Government subcontract.
Cyberlux previously represented to the Court various details surrounding its U.S.
Government subcontract with HII Mission Technologies Corp. (“HII”). Consistent with
Cyberlux’s representations to the Court, the drones and drone equipment in Cyberlux’s
leased facility in Spring, Texas were inspected by the United States Government and
shipped to the Government’s preferred destination. This means that Cyberlux will be
awaiting payment on a $25 million account receivable (subject to reductions described in
the subcontract modification). The final shipment occurred the week of May 26, 2025.9
The Receiver’s staff were present and were permitted to observe these activities.10
Even though Legalist tendered more than enough funds to satisfy Plaintiffs’
judgment to the Receiver, the Receiver is currently demanding that a debtor of Cyberlux,
HII, pay the total of Cyberlux’s account receivable (~$25 million) directly to the Receiver.
As stated above, not only has the Receiver been tendered – and refused – an amount in
excess of the judgment upon which he was appointed, but that judgment is, at most, $2.7
million, more than $20 million less than what the Receive is seeking to levy upon. This
indisputably exceeds the scope of the Receiver’s authority under § 31.002(b)(3), which is
limited to the extent required to satisfy the judgment. The Receiver is taking actions
outside the scope of the Turnover Order, and outside the law with respect to §
31.002(b)(3).
9
Exhibit A., at ¶ 9.
10 Id., at ¶ 9.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants6June2025motion seeks stay/suspension of the22May2025turnover order in Harris County129thDistrict Court2024-48085, based on assert
Defendants6June2025motion seeks stay/suspension of the22May2025turnover order in Harris County129thDistrict Court2024-48085, based on asserted sufficient tender. It seeks balance correction,Schmidt removal,accounting/fee review,dissolution,excess return,satisfaction and lien releases. This is a motion,not the appointment order suggested by its inventory title.
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Automated eService envelope101743796records6June2025 5:53:19PMsubmission,status snapshot9June7:55AM CST,and SENT rows including Micah Jackso
Automated eService envelope101743796records6June2025 5:53:19PMsubmission,status snapshot9June7:55AM CST,and SENT rows including Micah Jackson,Sheli Davis,Tristian Harris and Corinne Martin. Robert Berleth is not listed as an individual recipient in these tables. No hearing notice or direct email is supplied,so motion service and hearing notice remain distinct.
Read the anchor · page 9
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.
Lena Brasher on behalf of Alex Pennetti
Bar No. 24110208
lbrasher@thompsoncoburn.com
Envelope ID: 101743796
Filing Code Description: Motion (No Fee)
Filing Description: 20250606 Cyberluxs Motion to Stay or Suspend
Enforcement of Turnover Order
Status as of 6/9/2025 7:55 AM CST
Case Contacts
Name
David A.Walton
LaDonna Arey
Sandra Meiners
Travis Vargo
Laurie DeBardeleben
Roxanna Lock
Shawn Grady
Shawn Grady
Jeff Brown
Records Department
Micah Jackson
Sheli Davis
Paula Gentry
Lena Brasher
Frankie Huff
Tristian Harris
Corinne Martin
Hannah Fischer
Hannah Petrea
Michael Poynter
Bernadette Martin
Bernadette Martin
BarNumber Email
dwalton@bellnunnally.com
LArey@bellnunnally.com
smeiners@thompsoncoburn.com
tvargo@vargolawfirm.com
ldebardeleben@thompsoncoburn.com
rlock@thompsoncoburn.com
shawn@gradycollectionlaw.com
shawn@gradycollectionlaw.com
jbrown@thompsoncoburn.com
Records@bellnunnally.com
mjackson@berlethlaw.com
sdavis@berlethlaw.com
pgentry@thompsoncoburn.com
lbrasher@thompsoncoburn.com
fhuff@thompsoncoburn.com
tharris@berlethlaw.com
cmartin@berlethlaw.com
hfischer@thompsoncoburn.com
hpetrea@bellnunnally.com
mpoynter@vargolawfirm.com
bernadette@gradycollectionlaw.com
bernadette@gradycollectionlaw.com
TimestampSubmitted
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Status
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UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
The ten-page file contains motion and service/conference certificates but not its cited exhibitsA/B,the order,credit agreement,subcontract m
The ten-page file contains motion and service/conference certificates but not its cited exhibitsA/B,the order,credit agreement,subcontract modification or hearing notices. Repeated recipient rows are not independent notice events.
Read the anchor · page 2
2
subject of the Turnover Order, and the Receiver’s appointment .2
During that call, Legalist
indicated that its protective advance would be an amount sufficient to satisfy the
outstanding judgment, and would be a total of no less than $2,755,100.10.3
The total of Legalist’s protective advance included funds representing:
$2,111,086.01, the amount of the judgment listed in the Court’s Order
Appointing Receiver (the “Turnover Order”).4
$75,652.07, interest on the $2,111,086.01 from 2/18/2025, the date specified in
the order.5
$546,684.52, representing 25% of $2,186,422.60 (principal balance and interest
in the Court’s Turnover Order).
$21,677.50, representing attorneys’ fees incurred by Atlantic Wave. The
Southern District of Texas ordered Cyberlux and Schmidt to pay Atlantic Wave,
and this amount represents the total amount submitted by Atlantic Wave’s
counsel.6
At the end of the call, the Receiver indicated he would provide his office’s wire
instructions so Legalist could effectuate the transfer.7
The Receiver has not provided those
instructions.8
2 See Declaration of A. Pennetti, at ¶ 5, attached as Exhibit A; Declaration of Legalist counsel, J.
Prostok, attached as Exhibit B.
3
Exhibit B, at ¶ 5.
4
For the reasons described in Defendants Written Objections to the Court’s Turnover Order, the
Judgment balance (and any interest flowing therefrom) is incorrect and should be modified or
corrected.
5
Interest was calculated from this date because the “judgment balance” in the Turnover Order
appears to be inclusive of interest.
6 See Exhibit A, at ¶ 7.
7
Id., at ¶ 6.
8
Exhibit B, at ¶ 7.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,10
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,100.10to satisfy the judgment. Credit agreement and declarations of Pennetti/Prostok cited as exhibitsA/Bare absent.
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
The motion itemises$2,111,086.01judgment,$75,652.07interest from18February2025,$546,684.52receiver fee,and$21,677.50Atlantic Wave legal fees
The motion itemises$2,111,086.01judgment,$75,652.07interest from18February2025,$546,684.52receiver fee,and$21,677.50Atlantic Wave legal fees. These add to$2,755,100.10. It labels the receiver fee25%of$2,186,422.60,although principal plus interest is$2,186,738.08and the stated fee is25%of the latter. The printed base discrepancy remains visible.
Read the anchor · page 2
2
subject of the Turnover Order, and the Receiver’s appointment .2
During that call, Legalist
indicated that its protective advance would be an amount sufficient to satisfy the
outstanding judgment, and would be a total of no less than $2,755,100.10.3
The total of Legalist’s protective advance included funds representing:
$2,111,086.01, the amount of the judgment listed in the Court’s Order
Appointing Receiver (the “Turnover Order”).4
$75,652.07, interest on the $2,111,086.01 from 2/18/2025, the date specified in
the order.5
$546,684.52, representing 25% of $2,186,422.60 (principal balance and interest
in the Court’s Turnover Order).
$21,677.50, representing attorneys’ fees incurred by Atlantic Wave. The
Southern District of Texas ordered Cyberlux and Schmidt to pay Atlantic Wave,
and this amount represents the total amount submitted by Atlantic Wave’s
counsel.6
At the end of the call, the Receiver indicated he would provide his office’s wire
instructions so Legalist could effectuate the transfer.7
The Receiver has not provided those
instructions.8
2 See Declaration of A. Pennetti, at ¶ 5, attached as Exhibit A; Declaration of Legalist counsel, J.
Prostok, attached as Exhibit B.
3
Exhibit B, at ¶ 5.
4
For the reasons described in Defendants Written Objections to the Court’s Turnover Order, the
Judgment balance (and any interest flowing therefrom) is incorrect and should be modified or
corrected.
5
Interest was calculated from this date because the “judgment balance” in the Turnover Order
appears to be inclusive of interest.
6 See Exhibit A, at ¶ 7.
7
Id., at ¶ 6.
8
Exhibit B, at ¶ 7.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/inter
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.
Read the anchor · page 2
2
subject of the Turnover Order, and the Receiver’s appointment .2
During that call, Legalist
indicated that its protective advance would be an amount sufficient to satisfy the
outstanding judgment, and would be a total of no less than $2,755,100.10.3
The total of Legalist’s protective advance included funds representing:
$2,111,086.01, the amount of the judgment listed in the Court’s Order
Appointing Receiver (the “Turnover Order”).4
$75,652.07, interest on the $2,111,086.01 from 2/18/2025, the date specified in
the order.5
$546,684.52, representing 25% of $2,186,422.60 (principal balance and interest
in the Court’s Turnover Order).
$21,677.50, representing attorneys’ fees incurred by Atlantic Wave. The
Southern District of Texas ordered Cyberlux and Schmidt to pay Atlantic Wave,
and this amount represents the total amount submitted by Atlantic Wave’s
counsel.6
At the end of the call, the Receiver indicated he would provide his office’s wire
instructions so Legalist could effectuate the transfer.7
The Receiver has not provided those
instructions.8
2 See Declaration of A. Pennetti, at ¶ 5, attached as Exhibit A; Declaration of Legalist counsel, J.
Prostok, attached as Exhibit B.
3
Exhibit B, at ¶ 5.
4
For the reasons described in Defendants Written Objections to the Court’s Turnover Order, the
Judgment balance (and any interest flowing therefrom) is incorrect and should be modified or
corrected.
5
Interest was calculated from this date because the “judgment balance” in the Turnover Order
appears to be inclusive of interest.
6 See Exhibit A, at ¶ 7.
7
Id., at ¶ 6.
8
Exhibit B, at ¶ 7.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants state government inspection and shipment of Spring,Texas drones/equipment,with final shipment in the week of26May2025and receiver
Defendants state government inspection and shipment of Spring,Texas drones/equipment,with final shipment in the week of26May2025and receiver staff observing. They describe an approximately$25millionHII receivable expressly subject to subcontract-modification reductions; no acceptance/shipping/modification records are attached.
Read the anchor · page 3
3
2. The Receiver is acting beyond his authority to interfere with accounts
receivable flowing from Cyberlux’s U.S. Government subcontract.
Cyberlux previously represented to the Court various details surrounding its U.S.
Government subcontract with HII Mission Technologies Corp. (“HII”). Consistent with
Cyberlux’s representations to the Court, the drones and drone equipment in Cyberlux’s
leased facility in Spring, Texas were inspected by the United States Government and
shipped to the Government’s preferred destination. This means that Cyberlux will be
awaiting payment on a $25 million account receivable (subject to reductions described in
the subcontract modification). The final shipment occurred the week of May 26, 2025.9
The Receiver’s staff were present and were permitted to observe these activities.10
Even though Legalist tendered more than enough funds to satisfy Plaintiffs’
judgment to the Receiver, the Receiver is currently demanding that a debtor of Cyberlux,
HII, pay the total of Cyberlux’s account receivable (~$25 million) directly to the Receiver.
As stated above, not only has the Receiver been tendered – and refused – an amount in
excess of the judgment upon which he was appointed, but that judgment is, at most, $2.7
million, more than $20 million less than what the Receive is seeking to levy upon. This
indisputably exceeds the scope of the Receiver’s authority under § 31.002(b)(3), which is
limited to the extent required to satisfy the judgment. The Receiver is taking actions
outside the scope of the Turnover Order, and outside the law with respect to §
31.002(b)(3).
9
Exhibit A., at ¶ 9.
10 Id., at ¶ 9.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants allege receiver demand for the whole HII receivable exceeds a judgment they characterise at most$2.7million. They invoke§31.002(b
Defendants allege receiver demand for the whole HII receivable exceeds a judgment they characterise at most$2.7million. They invoke§31.002(b)(3),distinguish turnover from general receivership/bankruptcy powers,and argue tender immediately nullifies the order. These are legal positions; tender is not independently adjudicated as satisfaction here.
Read the anchor · page 3
3
2. The Receiver is acting beyond his authority to interfere with accounts
receivable flowing from Cyberlux’s U.S. Government subcontract.
Cyberlux previously represented to the Court various details surrounding its U.S.
Government subcontract with HII Mission Technologies Corp. (“HII”). Consistent with
Cyberlux’s representations to the Court, the drones and drone equipment in Cyberlux’s
leased facility in Spring, Texas were inspected by the United States Government and
shipped to the Government’s preferred destination. This means that Cyberlux will be
awaiting payment on a $25 million account receivable (subject to reductions described in
the subcontract modification). The final shipment occurred the week of May 26, 2025.9
The Receiver’s staff were present and were permitted to observe these activities.10
Even though Legalist tendered more than enough funds to satisfy Plaintiffs’
judgment to the Receiver, the Receiver is currently demanding that a debtor of Cyberlux,
HII, pay the total of Cyberlux’s account receivable (~$25 million) directly to the Receiver.
As stated above, not only has the Receiver been tendered – and refused – an amount in
excess of the judgment upon which he was appointed, but that judgment is, at most, $2.7
million, more than $20 million less than what the Receive is seeking to levy upon. This
indisputably exceeds the scope of the Receiver’s authority under § 31.002(b)(3), which is
limited to the extent required to satisfy the judgment. The Receiver is taking actions
outside the scope of the Turnover Order, and outside the law with respect to §
31.002(b)(3).
9
Exhibit A., at ¶ 9.
10 Id., at ¶ 9.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
On information and belief defendants allege continuing offers/negotiations to sell wholly-owned operating Datron World Communications despit
On information and belief defendants allege continuing offers/negotiations to sell wholly-owned operating Datron World Communications despite tender,and contact with unsecured creditors as a quasi-bankruptcy trustee. They predict harm and cite receiver attendance at16January2025hearing as awareness of ongoing business. Sale completion,value and actual harm are not established.
Read the anchor · page 4
4
3. The Receiver is attempting to sell Cyberlux’s wholly-owned subsidiary,
Datron World Communications, and is engaging unsecured creditors
regarding claims unrelated to the judgment.
The Court appointed the Receiver pursuant to Texas Civil Practice & Remedies
Code § 31.002(b)(3).11 The Receiver was not appointed under the General Receivership
Statute,12 as a bankruptcy trustee, or to act as a rehabilitative receiver. As discussed below,
the Receiver’s authority under 31.002 is limited to satisfying a judgment for judgment
creditor(s), and only the judgment creditor(s) that are parties to the action.
A trial court’s authority to appoint a receiver is limited to appointing a receiver
“with the authority to take possession of the nonexempt property, sell it, and pay the
proceeds to the judgment creditor to the extent required to satisfy the judgment.” TEX.
CIV. PRAC. & REM. CODE. § 31.002(b)(3).
A turnover order becomes “immediately moot when the judgment which it was
issued to enforce was satisfied.” Bennett/Nguyen Joint Venture v. Coghlan, No. 01-10-
00575-CV, 2011 WL 2732435, at *1 (Tex. App.—Houston [1st Dist.] July 14, 2011, no
pet.).
Since Legalist has tendered funds sufficient to satisfy the judgment, the Turnover
Order is immediately nullified and the receivership must be dissolved. In this instance,
however, even after Legalist tendered funds sufficient to satisfy the judgment and pay the
Receiver, the Receiver continues to try and seize assets that have a total value in excess of
the judgment amount.
11 Turnover Order, at ¶ 8 (“A Receiver is necessary in this case pursuant to the Texas Turnover
Statute . . .).
12 Texas Civil Practice and Remedies Code section 64.001(a)(2).
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their arg
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their argument cites satisfaction/discharge cases and asks the court to find satisfaction,approve compensation and conclude proceedings. Holding funds in lender-counsel trust is distinct from receiver receipt.
Read the anchor · page 5
5
Upon information and belief, the Receiver solicited—and even after Legalist’s
tender, continues to solicit—offers and is engaging in negotiations with third parties in an
attempt to sell Cyberlux’s wholly-owned subsidiary, Datron World Communications
(“Datron”). Datron is an operating business with several active contracts. The Receiver’s
actions, if allowed to continue, will severely damage the value of the Datron asset.
The Receiver also continues to engage various third parties, including unsecured
creditors, making attempts to act as if he has been appointed as a quasi-bankruptcy trustee,
which he is not.
The Receiver was present at the January 16, 2025 hearing on Judgment Creditors’
Application for Turnover, and he is aware that Cyberlux continues to operate its business
as a going concern. Nevertheless, the Receiver’s actions indisputably exceed his authority
and are interfering with and harming Cyberlux’s business. A stay of enforcement should
be issued given that Legalist tendered funds sufficient to satisfy the judgment.
4. The Court should stay or suspend enforcement of the Turnover Order
immediately, pending dissolution of the receivership.
The funds tendered to the Receiver are being held in the IOLTA trust account of
Vartabedian Hester & Haynes LLP, counsel for Legalist.13 Legalist has made clear that it
wishes to pay the Receiver to satisfy the judgment and terminate the receivership.
When a judgment is satisfied, a turnover order is of no further force and effect.
Pandozy v. Beaty, 254 S.W.3d 613, 617 (Tex. App.—Texarkana 2008, no pet.). In other
words, a turnover order becomes “immediately moot when the judgment which it was
issued to enforce was satisfied.” Bennett/Nguyen Joint Venture v. Coghlan, No. 01-10-
13 Exhibit B, at ¶ 6.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
claimallegation
Pennetti signs for Thompson Coburn,with Douglas S.Lang listed; conference certificate repeats5Junetender/refusal allegation and says further
Pennetti signs for Thompson Coburn,with Douglas S.Lang listed; conference certificate repeats5Junetender/refusal allegation and says further conference impractical because of feared further receiver activity. Counsel certifies6Juneservice.
Read the anchor · page 7
7
Respectfully submitted,
/s/ Alexander J. Pennetti
Douglas S. Lang
State Bar No. 11895500
Alexander J. Pennetti
State Bar No. 24110208
THOMPSON COBURN LLP
2100 Ross Avenue, Suite 3200
Dallas, Texas 75201
Tel Phone: (972) 629-7100
Fax: (972) 629-7171
dlang@thompsoncoburn.com
apennetti@thompsoncoburn.com
Attorneys for Defendants Cyberlux
Corporation and Mark D. Schmidt UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Cyberlux Corporation
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Micah Jackson
Read the anchor · page 9
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.
Lena Brasher on behalf of Alex Pennetti
Bar No. 24110208
lbrasher@thompsoncoburn.com
Envelope ID: 101743796
Filing Code Description: Motion (No Fee)
Filing Description: 20250606 Cyberluxs Motion to Stay or Suspend
Enforcement of Turnover Order
Status as of 6/9/2025 7:55 AM CST
Case Contacts
Name
David A.Walton
LaDonna Arey
Sandra Meiners
Travis Vargo
Laurie DeBardeleben
Roxanna Lock
Shawn Grady
Shawn Grady
Jeff Brown
Records Department
Micah Jackson
Sheli Davis
Paula Gentry
Lena Brasher
Frankie Huff
Tristian Harris
Corinne Martin
Hannah Fischer
Hannah Petrea
Michael Poynter
Bernadette Martin
Bernadette Martin
BarNumber Email
dwalton@bellnunnally.com
LArey@bellnunnally.com
smeiners@thompsoncoburn.com
tvargo@vargolawfirm.com
ldebardeleben@thompsoncoburn.com
rlock@thompsoncoburn.com
shawn@gradycollectionlaw.com
shawn@gradycollectionlaw.com
jbrown@thompsoncoburn.com
Records@bellnunnally.com
mjackson@berlethlaw.com
sdavis@berlethlaw.com
pgentry@thompsoncoburn.com
lbrasher@thompsoncoburn.com
fhuff@thompsoncoburn.com
tharris@berlethlaw.com
cmartin@berlethlaw.com
hfischer@thompsoncoburn.com
hpetrea@bellnunnally.com
mpoynter@vargolawfirm.com
bernadette@gradycollectionlaw.com
bernadette@gradycollectionlaw.com
TimestampSubmitted
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
Status
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Sheli Davis
Read the anchor · page 9
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.
Lena Brasher on behalf of Alex Pennetti
Bar No. 24110208
lbrasher@thompsoncoburn.com
Envelope ID: 101743796
Filing Code Description: Motion (No Fee)
Filing Description: 20250606 Cyberluxs Motion to Stay or Suspend
Enforcement of Turnover Order
Status as of 6/9/2025 7:55 AM CST
Case Contacts
Name
David A.Walton
LaDonna Arey
Sandra Meiners
Travis Vargo
Laurie DeBardeleben
Roxanna Lock
Shawn Grady
Shawn Grady
Jeff Brown
Records Department
Micah Jackson
Sheli Davis
Paula Gentry
Lena Brasher
Frankie Huff
Tristian Harris
Corinne Martin
Hannah Fischer
Hannah Petrea
Michael Poynter
Bernadette Martin
Bernadette Martin
BarNumber Email
dwalton@bellnunnally.com
LArey@bellnunnally.com
smeiners@thompsoncoburn.com
tvargo@vargolawfirm.com
ldebardeleben@thompsoncoburn.com
rlock@thompsoncoburn.com
shawn@gradycollectionlaw.com
shawn@gradycollectionlaw.com
jbrown@thompsoncoburn.com
Records@bellnunnally.com
mjackson@berlethlaw.com
sdavis@berlethlaw.com
pgentry@thompsoncoburn.com
lbrasher@thompsoncoburn.com
fhuff@thompsoncoburn.com
tharris@berlethlaw.com
cmartin@berlethlaw.com
hfischer@thompsoncoburn.com
hpetrea@bellnunnally.com
mpoynter@vargolawfirm.com
bernadette@gradycollectionlaw.com
bernadette@gradycollectionlaw.com
TimestampSubmitted
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
Status
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Tristian Harris
Read the anchor · page 9
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.
Lena Brasher on behalf of Alex Pennetti
Bar No. 24110208
lbrasher@thompsoncoburn.com
Envelope ID: 101743796
Filing Code Description: Motion (No Fee)
Filing Description: 20250606 Cyberluxs Motion to Stay or Suspend
Enforcement of Turnover Order
Status as of 6/9/2025 7:55 AM CST
Case Contacts
Name
David A.Walton
LaDonna Arey
Sandra Meiners
Travis Vargo
Laurie DeBardeleben
Roxanna Lock
Shawn Grady
Shawn Grady
Jeff Brown
Records Department
Micah Jackson
Sheli Davis
Paula Gentry
Lena Brasher
Frankie Huff
Tristian Harris
Corinne Martin
Hannah Fischer
Hannah Petrea
Michael Poynter
Bernadette Martin
Bernadette Martin
BarNumber Email
dwalton@bellnunnally.com
LArey@bellnunnally.com
smeiners@thompsoncoburn.com
tvargo@vargolawfirm.com
ldebardeleben@thompsoncoburn.com
rlock@thompsoncoburn.com
shawn@gradycollectionlaw.com
shawn@gradycollectionlaw.com
jbrown@thompsoncoburn.com
Records@bellnunnally.com
mjackson@berlethlaw.com
sdavis@berlethlaw.com
pgentry@thompsoncoburn.com
lbrasher@thompsoncoburn.com
fhuff@thompsoncoburn.com
tharris@berlethlaw.com
cmartin@berlethlaw.com
hfischer@thompsoncoburn.com
hpetrea@bellnunnally.com
mpoynter@vargolawfirm.com
bernadette@gradycollectionlaw.com
bernadette@gradycollectionlaw.com
TimestampSubmitted
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
Status
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Corinne Martin
Read the anchor · page 9
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.
Lena Brasher on behalf of Alex Pennetti
Bar No. 24110208
lbrasher@thompsoncoburn.com
Envelope ID: 101743796
Filing Code Description: Motion (No Fee)
Filing Description: 20250606 Cyberluxs Motion to Stay or Suspend
Enforcement of Turnover Order
Status as of 6/9/2025 7:55 AM CST
Case Contacts
Name
David A.Walton
LaDonna Arey
Sandra Meiners
Travis Vargo
Laurie DeBardeleben
Roxanna Lock
Shawn Grady
Shawn Grady
Jeff Brown
Records Department
Micah Jackson
Sheli Davis
Paula Gentry
Lena Brasher
Frankie Huff
Tristian Harris
Corinne Martin
Hannah Fischer
Hannah Petrea
Michael Poynter
Bernadette Martin
Bernadette Martin
BarNumber Email
dwalton@bellnunnally.com
LArey@bellnunnally.com
smeiners@thompsoncoburn.com
tvargo@vargolawfirm.com
ldebardeleben@thompsoncoburn.com
rlock@thompsoncoburn.com
shawn@gradycollectionlaw.com
shawn@gradycollectionlaw.com
jbrown@thompsoncoburn.com
Records@bellnunnally.com
mjackson@berlethlaw.com
sdavis@berlethlaw.com
pgentry@thompsoncoburn.com
lbrasher@thompsoncoburn.com
fhuff@thompsoncoburn.com
tharris@berlethlaw.com
cmartin@berlethlaw.com
hfischer@thompsoncoburn.com
hpetrea@bellnunnally.com
mpoynter@vargolawfirm.com
bernadette@gradycollectionlaw.com
bernadette@gradycollectionlaw.com
TimestampSubmitted
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
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6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
6/6/2025 5:53:19 PM
Status
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
SENT
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Mark D. Schmidt
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Legalist SPV III, LP
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
HII Mission Technologies Corp.
Read the anchor · page 3
3
2. The Receiver is acting beyond his authority to interfere with accounts
receivable flowing from Cyberlux’s U.S. Government subcontract.
Cyberlux previously represented to the Court various details surrounding its U.S.
Government subcontract with HII Mission Technologies Corp. (“HII”). Consistent with
Cyberlux’s representations to the Court, the drones and drone equipment in Cyberlux’s
leased facility in Spring, Texas were inspected by the United States Government and
shipped to the Government’s preferred destination. This means that Cyberlux will be
awaiting payment on a $25 million account receivable (subject to reductions described in
the subcontract modification). The final shipment occurred the week of May 26, 2025.9
The Receiver’s staff were present and were permitted to observe these activities.10
Even though Legalist tendered more than enough funds to satisfy Plaintiffs’
judgment to the Receiver, the Receiver is currently demanding that a debtor of Cyberlux,
HII, pay the total of Cyberlux’s account receivable (~$25 million) directly to the Receiver.
As stated above, not only has the Receiver been tendered – and refused – an amount in
excess of the judgment upon which he was appointed, but that judgment is, at most, $2.7
million, more than $20 million less than what the Receive is seeking to levy upon. This
indisputably exceeds the scope of the Receiver’s authority under § 31.002(b)(3), which is
limited to the extent required to satisfy the judgment. The Receiver is taking actions
outside the scope of the Turnover Order, and outside the law with respect to §
31.002(b)(3).
9
Exhibit A., at ¶ 9.
10 Id., at ¶ 9.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Datron World Communications
Read the anchor · page 4
4
3. The Receiver is attempting to sell Cyberlux’s wholly-owned subsidiary,
Datron World Communications, and is engaging unsecured creditors
regarding claims unrelated to the judgment.
The Court appointed the Receiver pursuant to Texas Civil Practice & Remedies
Code § 31.002(b)(3).11 The Receiver was not appointed under the General Receivership
Statute,12 as a bankruptcy trustee, or to act as a rehabilitative receiver. As discussed below,
the Receiver’s authority under 31.002 is limited to satisfying a judgment for judgment
creditor(s), and only the judgment creditor(s) that are parties to the action.
A trial court’s authority to appoint a receiver is limited to appointing a receiver
“with the authority to take possession of the nonexempt property, sell it, and pay the
proceeds to the judgment creditor to the extent required to satisfy the judgment.” TEX.
CIV. PRAC. & REM. CODE. § 31.002(b)(3).
A turnover order becomes “immediately moot when the judgment which it was
issued to enforce was satisfied.” Bennett/Nguyen Joint Venture v. Coghlan, No. 01-10-
00575-CV, 2011 WL 2732435, at *1 (Tex. App.—Houston [1st Dist.] July 14, 2011, no
pet.).
Since Legalist has tendered funds sufficient to satisfy the judgment, the Turnover
Order is immediately nullified and the receivership must be dissolved. In this instance,
however, even after Legalist tendered funds sufficient to satisfy the judgment and pay the
Receiver, the Receiver continues to try and seize assets that have a total value in excess of
the judgment amount.
11 Turnover Order, at ¶ 8 (“A Receiver is necessary in this case pursuant to the Texas Turnover
Statute . . .).
12 Texas Civil Practice and Remedies Code section 64.001(a)(2).
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Vartabedian Hester & Haynes LLP
Read the anchor · page 5
5
Upon information and belief, the Receiver solicited—and even after Legalist’s
tender, continues to solicit—offers and is engaging in negotiations with third parties in an
attempt to sell Cyberlux’s wholly-owned subsidiary, Datron World Communications
(“Datron”). Datron is an operating business with several active contracts. The Receiver’s
actions, if allowed to continue, will severely damage the value of the Datron asset.
The Receiver also continues to engage various third parties, including unsecured
creditors, making attempts to act as if he has been appointed as a quasi-bankruptcy trustee,
which he is not.
The Receiver was present at the January 16, 2025 hearing on Judgment Creditors’
Application for Turnover, and he is aware that Cyberlux continues to operate its business
as a going concern. Nevertheless, the Receiver’s actions indisputably exceed his authority
and are interfering with and harming Cyberlux’s business. A stay of enforcement should
be issued given that Legalist tendered funds sufficient to satisfy the judgment.
4. The Court should stay or suspend enforcement of the Turnover Order
immediately, pending dissolution of the receivership.
The funds tendered to the Receiver are being held in the IOLTA trust account of
Vartabedian Hester & Haynes LLP, counsel for Legalist.13 Legalist has made clear that it
wishes to pay the Receiver to satisfy the judgment and terminate the receivership.
When a judgment is satisfied, a turnover order is of no further force and effect.
Pandozy v. Beaty, 254 S.W.3d 613, 617 (Tex. App.—Texarkana 2008, no pet.). In other
words, a turnover order becomes “immediately moot when the judgment which it was
issued to enforce was satisfied.” Bennett/Nguyen Joint Venture v. Coghlan, No. 01-10-
13 Exhibit B, at ¶ 6.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Alexander J. Pennetti
Read the anchor · page 7
7
Respectfully submitted,
/s/ Alexander J. Pennetti
Douglas S. Lang
State Bar No. 11895500
Alexander J. Pennetti
State Bar No. 24110208
THOMPSON COBURN LLP
2100 Ross Avenue, Suite 3200
Dallas, Texas 75201
Tel Phone: (972) 629-7100
Fax: (972) 629-7171
dlang@thompsoncoburn.com
apennetti@thompsoncoburn.com
Attorneys for Defendants Cyberlux
Corporation and Mark D. Schmidt UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
Douglas S. Lang
Read the anchor · page 7
7
Respectfully submitted,
/s/ Alexander J. Pennetti
Douglas S. Lang
State Bar No. 11895500
Alexander J. Pennetti
State Bar No. 24110208
THOMPSON COBURN LLP
2100 Ross Avenue, Suite 3200
Dallas, Texas 75201
Tel Phone: (972) 629-7100
Fax: (972) 629-7171
dlang@thompsoncoburn.com
apennetti@thompsoncoburn.com
Attorneys for Defendants Cyberlux
Corporation and Mark D. Schmidt UnofficialCopyOfficeofMarilynBurgessDistrictClerk
entityobservation
THOMPSON COBURN LLP
Read the anchor · page 7
7
Respectfully submitted,
/s/ Alexander J. Pennetti
Douglas S. Lang
State Bar No. 11895500
Alexander J. Pennetti
State Bar No. 24110208
THOMPSON COBURN LLP
2100 Ross Avenue, Suite 3200
Dallas, Texas 75201
Tel Phone: (972) 629-7100
Fax: (972) 629-7171
dlang@thompsoncoburn.com
apennetti@thompsoncoburn.com
Attorneys for Defendants Cyberlux
Corporation and Mark D. Schmidt UnofficialCopyOfficeofMarilynBurgessDistrictClerk
eventattribution
Counsel describe protective advance tender and requested instructions.
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
eventattribution
Motion filed and eService rows recorded SENT.
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
inferenceinference
The source’s own trust-custody statement makes tender and actual receiver receipt different stages. Its requested satisfaction finding remai
The source’s own trust-custody statement makes tender and actual receiver receipt different stages. Its requested satisfaction finding remains a legal contention,not completed transfer evidence.
inferenceinference
The total advance reconciles but the printed25%base does not; exact underlying calculation and court-approved fee basis are needed before tr
The total advance reconciles but the printed25%base does not; exact underlying calculation and court-approved fee basis are needed before treating this as settled debt.
inferenceinference
The eService record supports transmission of this motion to listed receiver staff but not by itself notice of a particular hearing or indivi
The eService record supports transmission of this motion to listed receiver staff but not by itself notice of a particular hearing or individual Berleth receipt.
omissiongap
Expressly relied-on declarations and controlling instruments are not present in the supplied motion-only file. This limits verification with
Expressly relied-on declarations and controlling instruments are not present in the supplied motion-only file. This limits verification without implying they were never filed elsewhere.
Read the anchor · page 2
2
subject of the Turnover Order, and the Receiver’s appointment .2
During that call, Legalist
indicated that its protective advance would be an amount sufficient to satisfy the
outstanding judgment, and would be a total of no less than $2,755,100.10.3
The total of Legalist’s protective advance included funds representing:
$2,111,086.01, the amount of the judgment listed in the Court’s Order
Appointing Receiver (the “Turnover Order”).4
$75,652.07, interest on the $2,111,086.01 from 2/18/2025, the date specified in
the order.5
$546,684.52, representing 25% of $2,186,422.60 (principal balance and interest
in the Court’s Turnover Order).
$21,677.50, representing attorneys’ fees incurred by Atlantic Wave. The
Southern District of Texas ordered Cyberlux and Schmidt to pay Atlantic Wave,
and this amount represents the total amount submitted by Atlantic Wave’s
counsel.6
At the end of the call, the Receiver indicated he would provide his office’s wire
instructions so Legalist could effectuate the transfer.7
The Receiver has not provided those
instructions.8
2 See Declaration of A. Pennetti, at ¶ 5, attached as Exhibit A; Declaration of Legalist counsel, J.
Prostok, attached as Exhibit B.
3
Exhibit B, at ¶ 5.
4
For the reasons described in Defendants Written Objections to the Court’s Turnover Order, the
Judgment balance (and any interest flowing therefrom) is incorrect and should be modified or
corrected.
5
Interest was calculated from this date because the “judgment balance” in the Turnover Order
appears to be inclusive of interest.
6 See Exhibit A, at ¶ 7.
7
Id., at ¶ 6.
8
Exhibit B, at ¶ 7.
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
otherattribution
Complete supplied 10-page source reviewed at SHA-256 390d6d30c7e5fec279a0172774a40f7cdb981c408b04a70417f9928753d5ac0f. Source assertions, or
Complete supplied 10-page source reviewed at SHA-256 390d6d30c7e5fec279a0172774a40f7cdb981c408b04a70417f9928753d5ac0f. Source assertions, original visual features, filing/communication context and identified missing attachments are retained. Allten pages text read; material amount,caption,custody,relief and service renderings inspected. No attachments silently substituted.
Read the anchor · page 1
1
CAUSE NO. 2024-48085
§
§
IN THE DISTRICT COURT OF
§
§
§
§
§ HARRIS COUNTY, TEXAS
§
§
§
§
§ 129TH JUDICIAL DISTRICT
ATLANTIC WAVE HOLDINGS, LLC
and SECURE COMMUNITY, LLC,
Plaintiff/Judgment-Creditor
v.
CYBERLUX CORPORATION and
MARK D. SCHMIDT, Individually,
Defendant/Judgment Debtors.
CYBERLUX CORPORATION AND MARK D. SCHMIDT’S EMERGENCY
MOTION TO STAY OR OTHERWISE SUSPEND
ORDER APPOINTING RECEIVER
COME NOW, Cyberlux Corporation and Mark D. Schmidt (“Cyberlux”), and file
their Emergency Motion to Stay or Otherwise Suspend Enforcement of the Court’s May
22, 2025 Order Appointing Receiver (the “Turnover Order”) based upon the tender1
of
sufficient funds to satisfy the judgment upon which the receiver was appointed. In support
thereof, Cyberlux respectfully shows:
1. Sufficient funds to satisfy the Judgment were tendered to the Receiver.
The Court’s Turnover Order is limited to the recovery of $2.11 million in favor of
Plaintiffs. On June 5, 2025, counsel for Legalist SPV III, LP (“Legalist”), counsel for
Judgment Debtors, and the Receiver held a teleconference during which Legalist advised
the Receiver that it was exercising its contractual right to act as attorney-in-fact for
Cyberlux and would issue a protective advance pursuant to an existing credit agreement
between Cyberlux and Legalist, for more than is required to satisfy the judgment that is the
1
In general, ‘an unconditional offer by a debtor or obligor to pay another ... a sum not less in
amount than that due on a specified debt or obligation’ is a tender of payment.” Bluntson v.
Wuensche Servs., Inc., 374 S.W.3d 503, 507 (Tex. App.—Houston [14th Dist.] 2012, no pet.))
(citing Baucum v. Great Am. Ins. Co. of New York, 370 S.W.2d 863 (Tex. 1963)).
6/6/2025 5:53 PM
Marilyn Burgess - District Clerk Harris County
Envelope No. 101743796
By: Shanelle Taylor
Filed: 6/6/2025 5:53 PM
UnofficialCopyOfficeofMarilynBurgessDistrictClerk
questionquestion
When were funds actually transferred,received and applied,and what legal effect did the court assign to the earlier tender?
questionquestion
Which original schedule resolves the printed receiver-fee base and contested judgment credits?
questionquestion
Which hearing notice and direct email were transmitted in addition to this motion’s recorded service?
questionquestion
What did the subcontract modification deduct from the approximate$25millionreceivable,and what authority governed receiver collection/sale a
What did the subcontract modification deduct from the approximate$25millionreceivable,and what authority governed receiver collection/sale activity?
distillatequestion
CONNECT
Reviewed relationships
The canvas follows the database: source to DISTIL record, DISTIL record to knowledge object, then reviewed relationship. Position alone means nothing.
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.supportsThe total advance reconciles but the printed25%base does not; exact underlying calculation and court-approved fee basis are needed before treating this as settled debt.
Specifically named source propositions support the bounded distinction or question.
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.supportsThe source’s own trust-custody statement makes tender and actual receiver receipt different stages. Its requested satisfaction finding remains a legal contention,not completed transfer evidence.
Specifically named source propositions support the bounded distinction or question.
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.supportsDoes this motion prove the receiver had received payment or that the appointment ended?
Specifically named source propositions support the bounded distinction or question.
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.supportsWhich original schedule resolves the printed receiver-fee base and contested judgment credits?
Specifically named source propositions support the bounded distinction or question.
Defendants allege receiver demand for the whole HII receivable exceeds a judgment they characterise at most$2.7million. They invoke§31.002(b)(3),distinguish turnover from general receivership/bankruptcy powers,and argue tender immediately nullifies the order. These are legal positions; tender is not independently adjudicated as satisfaction here.supportsWhat did the subcontract modification deduct from the approximate$25millionreceivable,and what authority governed receiver collection/sale activity?
Specifically named source propositions support the bounded distinction or question.
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their argument cites satisfaction/discharge cases and asks the court to find satisfaction,approve compensation and conclude proceedings. Holding funds in lender-counsel trust is distinct from receiver receipt.supportsThe source’s own trust-custody statement makes tender and actual receiver receipt different stages. Its requested satisfaction finding remains a legal contention,not completed transfer evidence.
Specifically named source propositions support the bounded distinction or question.
The ten-page file contains motion and service/conference certificates but not its cited exhibitsA/B,the order,credit agreement,subcontract modification or hearing notices. Repeated recipient rows are not independent notice events.supportsWhich hearing notice and direct email were transmitted in addition to this motion’s recorded service?
Specifically named source propositions support the bounded distinction or question.
Defendants6June2025motion seeks stay/suspension of the22May2025turnover order in Harris County129thDistrict Court2024-48085, based on asserted sufficient tender. It seeks balance correction,Schmidt removal,accounting/fee review,dissolution,excess return,satisfaction and lien releases. This is a motion,not the appointment order suggested by its inventory title.supportsDoes this motion prove the receiver had received payment or that the appointment ended?
Specifically named source propositions support the bounded distinction or question.
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their argument cites satisfaction/discharge cases and asks the court to find satisfaction,approve compensation and conclude proceedings. Holding funds in lender-counsel trust is distinct from receiver receipt.supportsDoes this motion prove the receiver had received payment or that the appointment ended?
Specifically named source propositions support the bounded distinction or question.
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,100.10to satisfy the judgment. Credit agreement and declarations of Pennetti/Prostok cited as exhibitsA/Bare absent.supportsThe source’s own trust-custody statement makes tender and actual receiver receipt different stages. Its requested satisfaction finding remains a legal contention,not completed transfer evidence.
Specifically named source propositions support the bounded distinction or question.
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their argument cites satisfaction/discharge cases and asks the court to find satisfaction,approve compensation and conclude proceedings. Holding funds in lender-counsel trust is distinct from receiver receipt.supportsDefendants assume the protective advance plus tender satisfies the legal prerequisite for ending turnover enforcement despite funds still being held in lender-counsel trust.
Specifically named source propositions support the bounded distinction or question.
On information and belief defendants allege continuing offers/negotiations to sell wholly-owned operating Datron World Communications despite tender,and contact with unsecured creditors as a quasi-bankruptcy trustee. They predict harm and cite receiver attendance at16January2025hearing as awareness of ongoing business. Sale completion,value and actual harm are not established.supportsWhat did the subcontract modification deduct from the approximate$25millionreceivable,and what authority governed receiver collection/sale activity?
Specifically named source propositions support the bounded distinction or question.
Defendants say tendered funds remain in Vartabedian Hester & Haynes LLP IOLTA for Legalist,who wishes to pay and end receivership. Their argument cites satisfaction/discharge cases and asks the court to find satisfaction,approve compensation and conclude proceedings. Holding funds in lender-counsel trust is distinct from receiver receipt.supportsWhen were funds actually transferred,received and applied,and what legal effect did the court assign to the earlier tender?
Specifically named source propositions support the bounded distinction or question.
Pennetti signs for Thompson Coburn,with Douglas S.Lang listed; conference certificate repeats5Junetender/refusal allegation and says further conference impractical because of feared further receiver activity. Counsel certifies6Juneservice.supportsThe eService record supports transmission of this motion to listed receiver staff but not by itself notice of a particular hearing or individual Berleth receipt.
Specifically named source propositions support the bounded distinction or question.
Automated eService envelope101743796records6June2025 5:53:19PMsubmission,status snapshot9June7:55AM CST,and SENT rows including Micah Jackson,Sheli Davis,Tristian Harris and Corinne Martin. Robert Berleth is not listed as an individual recipient in these tables. No hearing notice or direct email is supplied,so motion service and hearing notice remain distinct.supportsThe eService record supports transmission of this motion to listed receiver staff but not by itself notice of a particular hearing or individual Berleth receipt.
Specifically named source propositions support the bounded distinction or question.
The ten-page file contains motion and service/conference certificates but not its cited exhibitsA/B,the order,credit agreement,subcontract modification or hearing notices. Repeated recipient rows are not independent notice events.supportsExpressly relied-on declarations and controlling instruments are not present in the supplied motion-only file. This limits verification without implying they were never filed elsewhere.
Specifically named source propositions support the bounded distinction or question.
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,100.10to satisfy the judgment. Credit agreement and declarations of Pennetti/Prostok cited as exhibitsA/Bare absent.supportsWhen were funds actually transferred,received and applied,and what legal effect did the court assign to the earlier tender?
Specifically named source propositions support the bounded distinction or question.
Defendants state government inspection and shipment of Spring,Texas drones/equipment,with final shipment in the week of26May2025and receiver staff observing. They describe an approximately$25millionHII receivable expressly subject to subcontract-modification reductions; no acceptance/shipping/modification records are attached.supportsWhat did the subcontract modification deduct from the approximate$25millionreceivable,and what authority governed receiver collection/sale activity?
Specifically named source propositions support the bounded distinction or question.
Automated eService envelope101743796records6June2025 5:53:19PMsubmission,status snapshot9June7:55AM CST,and SENT rows including Micah Jackson,Sheli Davis,Tristian Harris and Corinne Martin. Robert Berleth is not listed as an individual recipient in these tables. No hearing notice or direct email is supplied,so motion service and hearing notice remain distinct.supportsDoes this motion prove the receiver had received payment or that the appointment ended?
Specifically named source propositions support the bounded distinction or question.
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,100.10to satisfy the judgment. Credit agreement and declarations of Pennetti/Prostok cited as exhibitsA/Bare absent.supportsDoes this motion prove the receiver had received payment or that the appointment ended?
Specifically named source propositions support the bounded distinction or question.
The motion itemises$2,111,086.01judgment,$75,652.07interest from18February2025,$546,684.52receiver fee,and$21,677.50Atlantic Wave legal fees. These add to$2,755,100.10. It labels the receiver fee25%of$2,186,422.60,although principal plus interest is$2,186,738.08and the stated fee is25%of the latter. The printed base discrepancy remains visible.supportsWhich original schedule resolves the printed receiver-fee base and contested judgment credits?
Specifically named source propositions support the bounded distinction or question.
Automated eService envelope101743796records6June2025 5:53:19PMsubmission,status snapshot9June7:55AM CST,and SENT rows including Micah Jackson,Sheli Davis,Tristian Harris and Corinne Martin. Robert Berleth is not listed as an individual recipient in these tables. No hearing notice or direct email is supplied,so motion service and hearing notice remain distinct.supportsWhich hearing notice and direct email were transmitted in addition to this motion’s recorded service?
Specifically named source propositions support the bounded distinction or question.
Defendants say at a5Junecall Legalist invoked contractual attorney-in-fact rights and proposed a protective advance of no less than$2,755,100.10to satisfy the judgment. Credit agreement and declarations of Pennetti/Prostok cited as exhibitsA/Bare absent.supportsDefendants assume the protective advance plus tender satisfies the legal prerequisite for ending turnover enforcement despite funds still being held in lender-counsel trust.
Specifically named source propositions support the bounded distinction or question.
Defendants say the receiver promised wiring instructions at the end of the call but had not provided them. They challenge the judgment/interest balance while describing the protective advance as sufficient. No completed wire is alleged in this motion.supportsWhen were funds actually transferred,received and applied,and what legal effect did the court assign to the earlier tender?
Specifically named source propositions support the bounded distinction or question.
The ten-page file contains motion and service/conference certificates but not its cited exhibitsA/B,the order,credit agreement,subcontract modification or hearing notices. Repeated recipient rows are not independent notice events.supportsThe eService record supports transmission of this motion to listed receiver staff but not by itself notice of a particular hearing or individual Berleth receipt.
Specifically named source propositions support the bounded distinction or question.
Defendants allege receiver demand for the whole HII receivable exceeds a judgment they characterise at most$2.7million. They invoke§31.002(b)(3),distinguish turnover from general receivership/bankruptcy powers,and argue tender immediately nullifies the order. These are legal positions; tender is not independently adjudicated as satisfaction here.supportsDefendants assume the protective advance plus tender satisfies the legal prerequisite for ending turnover enforcement despite funds still being held in lender-counsel trust.
Specifically named source propositions support the bounded distinction or question.
The motion itemises$2,111,086.01judgment,$75,652.07interest from18February2025,$546,684.52receiver fee,and$21,677.50Atlantic Wave legal fees. These add to$2,755,100.10. It labels the receiver fee25%of$2,186,422.60,although principal plus interest is$2,186,738.08and the stated fee is25%of the latter. The printed base discrepancy remains visible.supportsThe total advance reconciles but the printed25%base does not; exact underlying calculation and court-approved fee basis are needed before treating this as settled debt.
Specifically named source propositions support the bounded distinction or question.
WEIGH
Explained weighting
A score appears only when its components and change threshold are published.
No published WEIGH run
The active Website Edition contains no applied score snapshot for this source or its connected objects. That means not assessed—not zero.