llc, ; ^n 'ir.inia defendant.omnimgt.com/cmsvol2/pub_47324/738288_214.pdf · 2019-05-22 · in...

IN THE UNITED STATES DISTRICT COURTFOR THE MIDDLE DISTRICT OF GEORGIA

MACON DIVISION

VC MACON, GA LLC,

PlaintffiCivil Action File No.

v' : .,1 o ^,, ^n

roo .l-Do

'IR.INIA ..LLEGE LLC, ;

t'18-cv-00388-TES

:

Defendant. :

RECEIVER JOHN F. KENNEDY'S SIXTH APPLICATION FOR COMPENSATION

COMES NOW, John F. Kennedy, Receiver in the above-styled case, pursuant to the

Order Appoinling Receiver and Preliminary Injunction fied in this Court on November 14,

2018, and hereby applies to the Court for payment of the costs, fees, and expenses incurred by

the Receiver in the administration of this receivership estate (the "Application").

The Receiver shows that he has incurred $78,724.92 in fees and expenses from April 1,

2019 through April 30,2019. A detailed itemization of such fees and expenses is attached hereto

as Exhibit "A" and is being provided to the Court for review and approval.

Additionally, the Receiver has retained Maynard Cooper & Gale ("MCG") as special

connsel forthe Receiver. MCG has incurred $176,058.80 in fees and expenses from February l,

2019 through April 30,2019. A detailed itemization of such fees and expenses is attached hereto

as Exhibit "B" ar-rd is being provided to the Court for review and approval.

WHEREFORE, the Receiver prays tliat this Court enter an Order allowing the Receiver

to pay himself from the assets of the receivership estate in the total amount of $78,724.92 for the

Receiver's reasonable costs, fees, and expenses, including the professional fees and expenses he

has incurred and to allow MCG to be paid $176,058.80 from the assets of the receivership estate

1

Case 5:18-cv-00388-TES Document 214 Filed 05/21/19 of 3

for MCG's reasonable costs, fees, and expenses, including the professional fees and expenses it

has incurred.

This 21't day of May,2019.

/s/ Jantes F. BanterJOHN F. KENNEDYReceiver, Education Corporation of AmericaGeorgia Bar No. 414830JAMES F. BANTERCounsel to the ReceiverGeorgia Bar No. 581797

JAMES -BATES-BRANNAN-GROOVER-LLP231 Riverside DriveP. O. Box 4283Macon, Georgia 31208-4283(47 8) 7 42-4280 telephone(47 8) 7 42-8720 facsimilej kennedy@ amesbatesllp. com

2


CERTIFICA OF'SE,RVICE

I hereby certify that I have served a copy of the foregoing on the appropriate parties

electronically through the CM/ECF system.

This 2l't day of May,2019.

/.s/.Iames F. BanterJOHN F. KENNEDYReceiver, Education Corporation of AmericaGeorgia Bar No. 41,4830

JAMES F. BANTERCounsel to the ReceiverGeorgia Bar No. 581797

JAMES-BATES -BRANNAN-GROOVER.LLP231 Riverside DriveP. O. Box 4283Macon, Georgia 31208-4283(47 8) 7 42-42 80 telephone(47 8) 7 42-8720 facsimilej kennedy@ amesbatesllp.comjb anter @j ame sbate s I lp. co mcconley@i ame sbate s I I p. c o rn

aJ


JAMESITET\"E",[*I$JAI\IES I SATES T BRANINA\I I CROOW,R UP

231 Riverside DriveMacon, GA 31201

(478)742-4280 phone(47 8) 7 42-8720 facsimile

Federal Tax ID: 58-2472336

Please Retum this Page with Your

REMITTANCEAccount Summary

John F. Kennedy, Receiver231 Riverside DriveMacon, GA 31201

Statement Date:

File No.:

Statement No.:

Statement No.:

File No.:

May 15,2019

52316.000t

314940

Education Corporation of America Receivership

TotalAmount Due on this lnvoice

$78,724.92

$78,724.92

We accept Visa, I)iscover, MasterCard and American Express

CardType:VisaDiscoverMasterCardAMEXAmountRemitted:-CardAccount#: CheckNo:

CVV CVC oT CID: Expiration Date Statement Date:

CardholderName:

May 15,2019

3t4940

52316.0001Cardholder Address:

Cardholder Signature Daytime Phone Number

To pay by phone, please call: (478) 742-4280

or

Make checks payable to: James-Bates-Brannan-Groover-LlPMail payments to: P.O. Box4283, Macon, GA 31208

Please include your account number on your check

INTEREST CFIARGED ON UNPAID BALANCE AFTER 60 DAYS I.5% PER MONTH

Case 5:18-cv-00388-TES Document 214-1 Filed 05/21/19 Page 1 of 12

JAMESIJAI\{ES I BATES I BRAI{NAN I GROOVER LI-P

STATEMENTP er s onal and Confi dential

231 Riverside DriveMacon, GA 31201

(478) 742-4280 phone(47 8) 7 42-8720 facsimile

Federal Tax ID: 58-2472336

John F. Kennedy, Recetver231 Riverside DriveMacon, GA 31201

Statement Date:

File No.:

Statement No.:

May 15,2019

52316.0001

314940

Date

04t01t2019

$4oo

$1 15

$1 15

0.60

1.50

1.00

Amount

$136.50

$57.50

$1,033.s0

$240.00

$172.50

$1 15.00

$115.00

$97.50

ID


CURRENT SERVICES RENDERED

Description

Calls and emails with persons who received notices regarding theclaim filing process.

Review and respond to vendor emails and voicemails; update vendorcontact sheet.

Conference callwith Tres Cleveland and Leland Murphree regardingevaluations of bids for NECB and other litigation and Receivershipissues; call with Steve Agran to discuss bid process and bidprocedures; telephone call with Bill Winkowski regarding financialitems and update of monthly ED reporting; emails and discussions withHoward Horton and Aaron Lacey regarding strategy discussion forupcoming call with ED; review of NDA for NECB sale; discussions withSteve Agran regarding the upcoming location and time of the Auction.Review materials and communications.

Receive, review and sort all incoming mail for VC campuses.

Receive, review, and sort all incoming mail for Virginia Collegecampuses.Conference call with Aaron Lacey, Howard Horton, andrepresentatives from the Department of Education regarding NECBand the NECB auction process; debriefing and strategy call with AaronLacey and Howard Horton; emails with Ben DeGweck regardingemployee settlement under the AIG policy and tax issues; review ofemailfrom Geoff King and analysis of Monroe's answers regardingtheir ability to credit bid; review of emails from Howard Hortonregarding potential bidder; emailwith lvy Cadle regarding personalproperty bidder; emails with Chris Madaio regarding meeting todiscuss AR; telephone call with David Mills to provide him an update ofthe Receivership and the auction process; review of Best Associates'good-faith deposit.

Receipt, review and sort all incoming mail for VC campuses.

Review emails exchanged regarding upcoming auction.

Rate

$1 95

$1 15

$1 95

Hours

0.70

0.50

5.30

1.00

0.50

04t02t2019 JFB

CWA

FWR

JFB

JFK

LJJ

SAG

LJJ

cRc

$195 6.40 $1,248.00

04t0312019

$1 15

$195


ECA Receivership


Page 2

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.0001

314940

Date

04t04t2019

04t0512019

IqFWR

JFB

JWS

LJJ

SAG

JFB

JFK

JWS

LJJ

SAG

cRc

JFB

JFK

$1 15

$1 15

$195


Descriotion


Conference call with Howard Horton regarding auction and strategy toget approval of the successful bidder through the NECB board andregional accreditations; telephone call with Clifford Synar regardingpersonal property liquidation; discussions with JBBG staff regardinglogistics for the NECB auction to be held on 414; telephone call withMichael Goldberg regarding NECB Board's letter about HowardHorton; emails with CMAG regarding preparation for theAuction;review of Monroe's credit bid and APA; worked with John Sillay toanalyze Monroe's APA and term sheet and drafted comparison chartbetween Monroe's bid and Best; emailwith Joe Joseph; conferencewith John Kennedy and John Sillay to discuss evaluations of the bidsand to prepare for the auction; prepared and drafted auction script andreviewed the bidding procedures.

Discuss credit bid vs. cash bid with James Banter; prepare analysis ofdollar figures of bids; discuss terms of APAs with James Banter andJohn Kennedy; prepare comparison on APAs.


Receive, review, and sort all incoming mail for Virginia Collegecampuses.Reviewed and analyzed bid procedures in preparation forAuction;worked with John Sillay to review and analyze both Monroe's and BestAPA's and term sheets; created bid comparison chart; prepareddocuments for auction; wrote and prepared opening script for JohnKennedy; strategy conference with John Kennedy, CMAGrepresentatives, John Sillay, T. Cleveland and L. Murphree to prepareand evaluate current bids; opened and conducted auction, worked withReceivership team to meet and negoitate with the bidding parties.

Preparatory work and work with counsel and conduct Auction for saleof NECB; post Auction conferences and work.

Review analysis prepared by Carl Marks; complete bid analysis anddistribute to working group; discuss auction strategy with workinggroup; participate in auction proceedings.


Receive, review, and sort all incoming mail for Virginia Collegecampuses.Multiple conferences with James Banter regarding NECB sale andnext steps; exchange severalemails with counsel; telephone calls withcred itors regard i n g claims adminstration process.

Telephone conference with Tres Cleveland, Leland Murphreee, JohnKennedy, and others to discuss and plan the documents and evidencethat would need to be presented at the confirmation hearing; emailswith Howard Horton regarding next steps to secure regional approvalfor Monroe; drafted response to ED regarding update on the Auctionprocess and notifying ED of the winner; email with Ben DeGweckregarding employee claims; review of Monroe's APA; drafted notice ofsuccessful bidder; telephone calls with creditors regarding the claimsprocess; drafted highlights of the successful bid; telephone conferencewith Tres Cleveland, Leland Murphree, and representatives from stateAGs regarding student AR.

Conference with Judge Self regarding product of Auction and issuesrelated to same; issues discussed regarding other motions pending;

conference with James Banter regarding issues and post Auctionwork; administrative work and staff conferences.

Rate

$1 15

$1 95

Hours

0.50

11.00

$400 5.80

$265 6.80

1.50

1.00

$1 15

$1 15

1.00

1.00

Amount

$57.50

$1,833.00

$172.50

$1 15.00

$2,145.00

$2,320.00

$1,802.00

$115.00

$115.00

9.40

$265 6.50 $1,722.50

$195 3.00 $585.00

$195 7.10 $1,384.50

$400 2.60 $1,040.00


ECA Receivership


Page 3

Statement Date

File No.:

Statement No.:

May 15,2019

52316.0001

314940

Date ID

JWS

LJJ

JFB04t06t2019

04t07t2019 JFB

JFK

04t08t2019

JWS

cRc

JFB

JFK

JWS

SAG


Descriotion Rate

Review redlined purchase and sale agreement. $265Receive, review and sort all incoming mail for VC campuses. $1 15

Drafted and edited proffer for John Kennedy; preparation for upcoming $195confirmation hearing.

Drafted proffer for John Kennedy and Joe D'Angelo for upcoming sale $195confirmation hearing; reviewed Monroe's APA; edited notice ofsuccessful bidder.Communications with James Banter and general preparation work for $400hearing tomorrow.Review redlined purchase and sale agreement. $265Prepare for NECB sale confirmation hearing; multiple conferences with 9195James Banter, John Kennedy, Joe DeAngelo, and special counseltothe receiver; attend NECB sale confirmation hearing.

Emails with Steve Agran regarding ECA and NECB tax returns; $195conference callwith Leland Murphree, Geoffrey King, Peter Siddiqui,and others to discuss and examine outstanding items with MonroeAPA; emails with Steve Agran and Andrew Detrick regarding dataroom; emails with Chris Madaio regarding stateAG deadline to fileproof of claim, emails with Tres Cleveland and Leland Murphree todiscuss same; emails with potential creditors to discuss claims processupdate; reviewed proposed order and submitted same to Katten forreview; reviewed emails concerning Best's deposit; reviewed andedited proposed sale order and notice of successful bidder with L.Murphree, filed same; attended hearing before Judge Self to confirmsale of NECB; debrief conference with John Kennedy, Tres Cleveland,and Joe D'Angelo; worked with Leland Murphree regarding MonroeAPA.Review materials to prepare for hearing today; review draft of proffer of $400testimony; review of documents; various conferences with JamesBanter and others; conference with James Banter and John Sillayregarding review of issues to present to the court today at hearing toconfirm sale; review of documents and materials in preparation forhearing today; multiple meetings with Receiver's Team including TresCleveland, Joe De'Angelo and others; review proffers of testimony;review testimony to the provided; go to court and meet with Judge Selfregarding upcoming hearing; attend hearing; return to office.Conference with James Banter regarding hearing on auction $290scheduled for this afternoon and preparation for same.Review emails regarding PSA; participate in conference call regarding $265remaining issues; discuss issues with Leland Murphree, JohnKennedy, and James Banter.

Receipt, review and sort all incoming mail for VC campuses. $1 15

Receive, review, and sort all incoming mail for Virginia College $115campuses.Conference with James Banter regarding due diligence negotiations $195with Monroe; review emails exchanged between ECA personnel andMonroe; telephone calls with potential creditors regarding claimsprocess.

Hours

0.50

1.00

2.70

Amount

$132.50

$115.00

$526.50

5.30 $1,033.50

1.70 $680.00

$132.50

$760.50

8.20 $1,599.00

6.20 $2,480.00

0.30 $87.00

9742.002.80

0.50

3.90

1.00

1.00

JN

LJJ $11s.00

$1 15.00

04t09t2019 cRc 0.90 $175.50


ECA Receivership


Page 4

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.0001

314940

Date ID

JFB

JFK

JWS

SAG

04t10t2019 cRc

JFB

JFK

JWS


Descriotion

Conference call with Receivership Team and counsel from Monroe todiscuss and examine outstanding material items in Monroe APA;emails with John Sillay and L. Murphree regarding provisions in Best'sAPA; examined Monroe's APA and provided outline memo regardingMonore's requested terms to be included in APA, circulated anddiscuss said memo with Receivership Team; emails with Steve Agranregarding 401k audit; emails with Howard Horton to discuss courthearing and ECA statement of principles; conference call with BillWinkowski to go over several financial issues with ECA and Title lVupdate, also discussed requested disbursements; drafted updateresponse to ED regarding and discussed such with H. Horton andAaron Lacey; review motion for comfort order and discuss such withTres Cleveland; continued discussions with Receivership teamregarding Monroe APA; review of Monroe's latest draft APA.

Conference with James Banter regarding receipt of request fromMonroe Capital for 75 day extension on due diligence; discussion ofissues, concerns and effect that same may have on current status ofbid and sale; conference call with Receivership Team including CarlMarks representatives and counselto review discussion of Monroe'srequest for additional due diligence time and analysis in dealing withsame; work regarding Auction transaction, sale transaction and reviewof multiple materials and work with counsel.Review emails regarding APA and backup bidding;conference call todiscuss APA.Receipt, review and sort all incoming mail for VC campuses.

Receive, review, and sort all incoming mail for Virginia Collegecampuses.Review email correspondence regarding NECB sale in preparation forconfirmation hearing.

Conference callwith John Kennedy, receivership team, andrepresentatives from Monroe regarding status of Monroe APA and todiscuss outstanding terms; emails with potential creditor about claimsprocess; review of MCG corporate comments about Monroe APA,added comments to said document; emails with Receivership team todiscuss Monroe APA; review of AIG EEOC settlement agreement;emails with Michael Goldberg and Howard Horton to discuss MonroeAPA, additionaltelephone calls with both to discuss regulatory processand impact of APA on said process; telephone call with Monroecounsel to discuss student population provision in APA; edited MonroeAPA and reviewed said document, sent APA to Monroe; review ofvoicemails concerning ECA, returned calls; review of motion forclarification from Tres Cleveland; review of questions from Kaplan anddiscussions with Tres Cleveland regarding response; final review ofMonroeAPA, discussions with John Kennedy regarding execution;filed APA and accompanying documents with Court.

Conference with counsel for Monroe Capital and Receivers Teamregarding negotiating terms of the Asset Purchase Agreement; workand review of documents and materials regarding same; various andmultiple conferences with James Banter, John Sillay, and counsel inBirmingham and others to work on finalizingAPA; reviewAPAforpresentation to court tomorrow; communications with Judge Self;Review Receivership materials, emails and other documents.Review emails regarding APA; conference calls to discuss remainingissues; review APA and discussions regarding the same.


Rate

$1 95

Hours

8.90

Amount

$1,735.50

$400 2.40 $960.00

$265

$1 15

$1 15

$1 95

$1 95

$265 6.00

$115 1.50

$344.50

$172.50

$230.00

$97.50

$1,404.00

$1,s90.00

$172.50

1.30

LJJ 1.50

2.OO

0.50

7.20

$400 4.30 $1,720.00

LJJ


ECA Receivership


Page 5

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.0001

314940

Date

SAG

04t't1t2019 cRcFWR

JFB

JFK

04t't2t2019

JWS

LJJ

FWR

JFB

SAG

04t15t2019 CRC

ID


Description

Receive, review, and sort all incoming mail for Virginia Collegecampuses.Conference with James Banter.

Review and respond to vendor emails and voicemails; update vendorcontact spreadsheet.Emails with potential creditor regarding outstanding balance andclaims process; emails with BillWinkowskiand representatives fromED regarding Brightwood teachouts; email and correspondences withHoward Horton to discuss confirmation hearing; emails with BillWinkowski to discuss ED title lV updates; review and approval ofrequested disbursements; review Kaplan request and discuss samewith Receivership team; review of compensation package for NECB;review of subpoena to Monroe; emails with Willis Stein representativesregarding missing W2, work to locate W2; review of email from CMAGto ED regarding Title lV disbursement.Various conferences with counsel and work to prepare for hearingbefore Judge Self today on Motion to Approve Asset PurchaseAgreement for the sale of NECB assets; go to court and appear forMotion to Approve Asset Purchase Agreement for sale of assets toMonroe Capital; meet with Judge Self and discuss issues related tosame; return to office; further conference with Tres Cleveland andJames Banter regarding next steps, issues related to continuedoperations of NECB, issues related to claims procedures and otherrelated administrative matters; review General Release andAgreement regarding AMI Scarbrough v. Virginia College; conferencewith James Banter regarding details of General Release Agreementinvolving AMI Scarbrough v. Virginia College and concerns aboutsame; conference with James Banter regarding phone conference hehad with Willis Stein's representatives today; further administrativework.

Discuss APA terms with James Banter in preparation for hearing.



Continued review of subpoena to Monroe, emails with Receivershipteam discussing said issue; drafted and sent emailto ED to provideupdate of the auction and conclusion of the confirmation sale process;emails with Tres Cleveland and counsel to Kaplan regarding upcomingcall; emails to potential creditors to provide claims form anddocuments.Receive, review, and sort all incoming mail for Virginia Collegecampuses.Telephone calls with multiple creditors regarding the claimsadministration process; exchange emails with ECA personnel.

Review of sensitive claim submission from Sallie Mae; review ofemails with Tres Cleveland and representatives from Omni regardingclaims registry; emails with Howard Horton and representatives fromED to discuss update of Howard's appearance before NECHE onFriday; emails with Receivership team regarding response to Kaplanrequest.

Rate

$1 15

$195

$1 15

$1 95

Hours

2.00

0.50

0.50

Amount

$230.00

$97.50

$57.50

6.30 $1,228.50

$400 4.40 $1,760.00

$265

$1 15

$1 15

0.40

0.50

0.50

$1 15 1 .00

$195 1.10

$195 1.50

$106.00

$57.50

$57.50

$1 15.00

$214.50

$292.50

$195 2,10 $409.50

JFB


ECA Receivership


Page 6

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.0001

314940

Date ID

JFK

LJJ

SAG

04t16t2019 CRC

CWA

JFB

JFK

04t17t2019

LJJ

SAG

cRc

CWA

FWR


Description

Phone call from Zeta Global regarding status of Receivership, proof ofclaim process and other related matters; conference with JamesBanter regarding same; receive and review emails from Steve Agranand others at Carl Marks; review Scarbrough SettlementAgreementdocument with James Banter and discussion of same; executedocuments; conference with James Banter regarding informationreceived from the Department of Justice and their position regardingstatutes effecting distribution of assets; analysis of same.Receipt, review and sort all incoming mail for VC campuses.

Receive, revieq and sort all incoming mail for Virginia Collegecampuses.Review letter from the Department of Justice and confer with JamesBanter regarding the same.

Call to student in reply to voicemail message; left message withinstructions to submit claim via the website.Conference callwith John Kennedy and Receivership team to discussand plan strategy for NECB's next steps; review of DOJ letterregarding government's claim against ECA for loan discharges; legalresearch on Federal Priority Statute and prepared research for JohnKennedy and Tres Cleveland; emails with Howard Horton to discussstatus of NECB; conference callwith Howard Horton andrepresentatives of Monroe to discuss and plan change of ownershipproposalto NECHE and others.

Conferences with staff regarding operations and administrative issues;follow up work and analysis of post Auction issues and other matters;conference with James Banter regarding filings received last night forclass action matter from California; phone call from and conferencewith Judge Self regarding developments concerning recent pleadings,filings and other administrative matters; conference with James Banterregarding administrative matters regarding Monroe, Willis Stein,Kaplan and others; extended phone conference with counsel, NECBPresident Howard Horton and others on the phone call concerningnext steps toward closing on sale of NECB and transfer of theadministrators responsibilities; phone conference with Tres Cleveland,Leland Murphree and James Banter regarding various pendinglitigations and other matters; administrative work.


Receive, review, and sort all incoming mail for Virginia Collegecampuses.Multiple telephone calls from creditors regarding the claimsadministration process; conference callwith Tres Cleveland andLeland Murphrey and James Banter; Review correspondence betweenECA personnel.

Returned calls from voice mail messages received from studentsinquiring about the claims process.

Receive and review emails and voicemails from vendors; updatevendor contact sheet.Emails with Howard Horton planning and scheduling the Receiver's tripto inspect NECB; emails with lvy Cadle and Vito Mitria regardingSymbeo and other property's personal property; work and emails withstudent financial team to find data as to number of students in

Tennessee schools, emails and discussions with Tennessee AGregarding such; emails and discussions with Vito Mitria regardingpersonal property and locations; discussion with Steve Agranregarding taxes in state of Texas; emails with Chris Madeio regardingstudent AR; additional administrative work with receivership team.

Rate

$400

Hours

2.10

Amount

$840.00

$1 15

$1 15

1.50

1.50

$195 0.80

$195 0.10

$19s 5.40

$172.50

$172.50

$156.00

$19.50

$1,053.00

$1 15.00

$149.50

$409.50

$195.00

$57.50

$1,34s.50

$400 4.30 $1,720.00

$1 15

$1 15

$195

1.00

1.30

$1 e5

$1 1s

$195

2.10

1.00

0.50

6.90JFB


ECA Receivership


Page 7

Statement Date:

File No.:

Statement No.:

May 15,2019

52316.0001

314940

Date ID

JFK

JWS

SAG

o4t18t2019 CRC

JFB

JFK

SAG

04t1912019

LJJ


Descriotion

Various conferences with staff; review emails; review materialsregarding Department of Justice's position of alleged priority over othercreditors; review issues and materials regarding NECB operations'

Discuss federal priority issues with James Banter.


Receive, review, and sort all incoming mail for Virginia Collegecampuses.Multiple telephone calls with creditors of ECA; prepare for meeting withJohn F. Kennedy regarding potentialclaims that the receivership mightpursue; meeting with John F. Kennedy regarding the same; researchAIG insurance policy issues.

Conference call with Tres Cleveland, John Kennedy, and Aaron Laceyto discuss ED letter and steps to discuss with ED Title lV funding;conference meeting with John Kennedy and Chris Conley to discussstatus of receivership and possible litigation matters; emails with Bill

Winkowski regarding close out audits; telephone callwith BenDeGweck regarding federal priority statute and such; emails and

discussiosn with Vito Mitria regarding personal property and othermatters.Phone conference with James Banter and Tres Cleveland regardingvarious items of pending litigation, issues involving demand from theDepartment of Justice, issues involving attempts to obtain funding duefrom Department of Education, discussion of matters related to Kaplan

and claims made by them and other issues; phone conference withAaron Lacey, regulatory counsel from DC along with James Banterand Tres Cleveland; review issues related to Department of Educationwithholding funds, issues of strategic thinking on trying to securerelease of funds due to ECA and other related matters; furtherconference with James Banter; extended discussion with JamesBanter and Chris Conley regarding various issues related to D&Opolicies, potential causes of actions against various parties and

analysis of causes of actions that the Receiver may have and thepossible pursuit of same.Receipt, review and sort all incoming mail for VC campuses.

Receive, review, and sort all incoming mail for Virginia Collegecampuses.Telephone calls and email to student regarding potential claim.

Conference callwith Tres Cleveland, Leland Murphree, and counseltoKaplan regarding demand to inspect; emails with Carlos Alexanderregarding creditor calls.

Receive and review emails from James Banter, Tres Cleveland, AaronLacey and others; review associated documents and materialsregarding NECB, Monroe Capital and other entities.


Emails with counsel to Kaplan regarding inspection of records.

Telephone call with Jo Meeks regarding potential lawsuit on D & Oinsurance policy; research on the same; conference with John F.

Kennedy and James Banter regarding the same; review D & Oinsurance policy.

Review and respond to vendor emails and voice mails; update vendorcontact spreadsheet.

$265

$1 15

$1 15

$1 95

$1 95

0.30

1.00

1.00

Rate

$400

Hours

2.30

Amount

$920.00

$79.50

$115.00

$1 15.00

$1 15.00

$172.50

$58.50

$331.50

$172.50

$39.00

$624.00

$195 3.70 $721.50

$195 4.80 $936.00

$400 2.50 $1,000.00

LJJ $1 15

$1 15

1.00

1.50

0.30

1.70

$1 15

$1 95

$195

1.50

0.20

3.20

CWA

JFB

JFK

LJJ

JFB

cRc

$400 0.90 $360.00

04t2012019

04t2212019

FWR $1 15 0.50 $57.50


ECA Receivership


Page I

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.0001

314940

Date ID

JFB

JFK

LJJ

cRcCWA

Rate

$195

Hourc

5.70


Descriotion

Conference call with Jo Meeks and Chris Conley to discuss insurancepolicies and litigation; emails with Bill Winkowski and Steve Agranregarding software platform for ECA; conference callwith BillWinkowski, SteveAgran, and counsel for workday regarding ongoinguse of Workday; review of cash forecast; conference call withreceivership team and Howard Horton regarding cash forecast;telephone call with former employee regarding claims process; emailsand discussions with receivership team regarding insurance policy forNECB; emails with Department of Education regarding upcoming calland topics for NECB; drafted letter to Department of Justice.Phone conference with James Banter regarding issues related toNECB funding and other matters; review associated materials.Receipt, review and sort all incoming mail from VC campuses.

Exchange emails with ECA personnel; research D & O policy.

Call back to student who left voicemail message regarding claimprocedure.

Conference callwith John Kennedy and Receivership team to discussTitle lV funding for ECA and new cash forecasts; conference call withHoward Horton regarding NECB cash flow and preparation forupcoming callwith ED; conference callwith Howard Horton, BillWinkowski, and representatives from ED regarding HCM2 Title lVfilings for NECB; emails with Shari Mecca regarding expectations andtimelines for NECB Title lV funding; debriefing call with Howard Hortonand BillWinkowskito discuss and analyze ED call; emails with HowardHorton and Steve Agran regarding credit card with holdings for NECB;emails with Tres Cleveland and Dennis Madigan regarding insurancecoverage for NECB and ECA.

Conference with James Banter preparatory to our conference call withallcounsel and NECB President and Carl Marks regarding newbudgeting issues created by recent Department of Education decisionsand announcements; attend conference call with all counsel anddiscuss same, phone conference with James Banter and Departmentof Education personnel to discuss issues related to funding and othermatters; administrative review of materials, documents and work.


Callwith PaulWallace to discuss signature forms for NECB letter ofcredit; conference callwith John Kennedy, Tres Cleveland, LelandMurphree and representatives from DOJ regarding closed-school loandischarges; emails with Howard Horton regarding agenda forupcoming travel to Boston to meet with officials from NECB; emailswith Tres Cleveland and Dennis Madigan regarding insurance policiesfor NECB; review of Horward Horton's letter to be sent to credit cardcompany; draft letter to DOJ to describe Receiver's position in regardsto the federal priority statute; review of requested disbursements.Phone conference with James Banter, other counsel and Departmentof Justice's attorneys; review draft and revised draft of letter to send toKaplan Educational attorneys; review and revise correspondence tosend to Department of Justice; preparatory work for meeting withNECB.


Conference with John F. Kennedy regarding trip to Boston and statusof research on D&O insurance policy.


Amount

$1,111.50

04t23t2019

JFB

JFK

04t24t2019

LJJ

JFB

JFK

04t25t2019 CRC

$1 15

$195

$1 95

1.00

0.50

0.10

$195 7.00

$400 2.90 $1,160.00

$400 0.50 $200.00

$1 15.00

$97.50

$19.50

$1,365.00

$207.00

$1,579.50

$1 15.00

$97.50

$1 15

$1 95

1.80

8.10

$400 1.40 $560.00

LJJ $1 15

$195

1.00

0.50

FWR $115 0.50 $57.50


ECA Receivership


Page I

Statement Date:

File No.:

Statement No.:

May 15,2019

52316.0001

314940

Date ID

JFB

JFK

04t26t2019 FWR

JFB

JFK

04t28t2019

LJJ

JFB

04t29t2019 CRC

JFB


Descriotion

Email updates with Tres Cleveland and Dennis Madigan regardinginsurance coverage; reviewed different coverages for both NECB andECA; emails with Receivership team to discuss the Receiver's positionwith the credit card company's withholding of funds due to NECB;review of DOJ response letter; draft and edit DOJ response letter,discuss and review said letter with John Kennedy; strategy conferencewith John Kennedy to discuss ECA insurance policy and additionallitigation strategies; working dinner with President Howard Horton ofNECB, John Kennedy, and other NECB representatives to discussNECB and other materials concerning NECB; travelwith JohnKennedy to NECB.

Travel to Atlanta and on to Boston for meetings in Boston with HowardHorton; conference with James Banter enroute and review and workon ECA issues; conferences with James Banter preparatory to meetingtomorrow with NECB Officers and personnel.

Receipt, review and sort all incoming mail for all VC campuses.

Review and respond to vendor emails and voicemails; update vendorcontact sheet.Meeting with Howard Horton, the Provost of NECB, VP for elearning,and John Kennedy to discuss the overview of NECB; meeting withDennis Madigan and John Kennedy to discuss NECB finances andstudent financial aid awarding; examined and reviewed NECB humanresource policies; conference with John Kennedy, Scott Harshbargeras chairman of the NECB board, and the board's counsel to discussthe Receivership and address the change in ownership for NECB;discussions with Debra Leahy, provost for NECB, regarding academicleadership for NECB; conference call with chief marketing officer forNECB regarding marketing efforts for NECB; review of the NECB cashforecast with Dennis Madigan and Howard Horton; strategy andtimeline discussions with Howard Horton and John Kennedy regardingtriad of regulatory approval for NECB; review and discuss DOJ letterwith John Kennedy; emails with Tres Cleveland regarding insurancepolicies; reviewed and signed insurance policies for Semmes, ALproperty; travelto Macon from Boston.

Meet with NECB President and multiple other officers, staff andinterested persons regarding NECB operations in Boston; reviewmaterials received and presentations; return travelto Macon.

Receive, review and sort all incoming mail for VC campuses.

Drafted Receiver's Sth report for the Court; prepared cash flowforecast exhibits for the Receiver's report.

Review D & O insurance policy; prepare notes on the same; conferwith James Banter.

Conference meeting with Chris Conley and Jack Nichols to discussinsurance policy and interpretation of such; emails with Shari Meccaregarding student information and close-out audits; emails with BenDeGweck regarding ECA property insurance and inspection of such;review of disbursements and professional invoices; meeting with JohnKennedy to discuss DOJ response letter, edited and drafted said letter;emails with Aaron Lacey regarding pre-acquisition review; emails withHoward Horton and Steve Agran regarding credit card withholding ofstudent payments; telephone conference with Dennis Madigan todiscuss cash flow and status update on NECB; telephone callwithPaul Detuch regarding claims process notices.

Rate

$1 95

Hours

'10.20

Amount

$1,989.00

$400 6.60 $2,640.00

LJJ $1 15

$1 15

$1 95

$1 15

$1 95

$1 95

$195

1.00

0.50

2.00

5.40

6.40

7.40

$1 15.00

$57.50

$2,574.00

$230.00

$1,053.00

$1,248.00

$1,443.00

13.20

$400 13.20 $5,280.00


ECA Receivership


Page 10

Statement Date:

File No.:

Statement No.:

May 15,2019

52316.0001

314940

Date

04t30t2019

Date04t01t20't9

ID

JFK

JN

AMW

cRc

JFB

JFK

LJJ

SAG


Descriotion

Conference with James Banter to review follow up work to be done foradministration of Receivership Estate including discussion of duties ofCarl Marks, duties of the Maynard Cooper and other analysis relatedto financial and insuring work is done while being mindful of currentfinancial projections; discussion of follow up work regarding NECBrelated to meeting on Friday and issues including Monroe's visit toNECB today and Cad Mark's visit to NECB today and other matters;review notes and materials received from Howard Hortman of NECBon Friday; conference with staff regarding developments from trip toBoston on Friday and follow up work to be done; receive and reviewmultiple emails from NECB Officers and others; review, revise andfinalize correspondence to Department of Justice.

Conference with James Banter regarding insurance policy andinterpretation of same for potential claim for receiver to file.

Email to James Banter inquiring about taxes.

Telephone calls with creditors regarding the claims process;conference with James Banter regarding D & O Policy.

Telephone callwith Tres Cleveland to discuss outstandingReceivership matters including Workday services; conference call withChris Conley to discuss insurance policy and applicable terms;telephone call with Dennis Madigan and emails with Steve Agranregarding credit card withholdings; emails with Howard Hortonregarding LOC signatures.

Receive and review Federal Express documents from NECB;conferences with staff; receive and review emails.


Receive, review, and sort all incoming mail for Virginia Collegecampuses.

For Current Services Rendered

TIMEKEEPER SUMMARY

Houns

0.10

28.80

2.20

4.00

159.80

68.1 0

0.70

25.'t024.30

t6.30

Rate

$400

Houns

2.80

Amount

$1,120.00

$290

$1 50

$1 95

$1 95

0.40 $116.00

$15.00

$234.00

$468.00

$240.00

$1 15.00

$230.00

0.10

't.20

2.40

$400

$1 15

$1 15

0.60

1.00

2.00

Timekeeoer

April Westmoreland

Christopher R Conley

Carlos W. Alexander

Felisha W. Roberts

James F Banter

John Kennedy

Jack Nichols

John W Sillay

Lauren J Jackson

Samantha A Goble

Total

$15.00

$5,616.00

$429.00

$460.00

$31,161.00

$27,240.00

$203.00

$6,651.50

$2,794.50

$1,874.50

$76,444.50

Amount$23.05

Rate

$1 50

$1 95

$1 95

$1 15

$1 95

$400

$290

$26s

$1 15

$1 15

ADVANCES

DescriotionSimmer Cafe & Coffee - Lunch for John F. Kennedy and James Banter03120119

John F. Kennedy - Travelfrom State Capitalto JBBG Atlanta Office03t20t19

o4to112019 $11.60


ECA Receivership


Page 11

Statement Date:

File No.:

Statement No.:

May 15, 2019

52316.000'l

314940

04t04t2019

04t25t2019

04t25t2019

Sam's Club - Assorted Fruit, Vegetable, Cookie and Brekfast Trays

John F. Kennedy - Travel to/from Atlanta Airport

Delta Airlines - Plane tickets for John F. Kennedy and James Banterfrom Atlanta to Boston to meet with NECB President and othersregarding NECB operations, etc.

Hyatt Regency Boston - Hotel stay for John F. Kennedy and JamesBanter in Boston to meet with NECB President and others regardingNECB operations ect.

West Payment Center - Online Research

Pacer Service Center - Online Research

Total Advances

EXPENSES

DescriotionPostage Expense

Reproduction Expense

Color Copies Expense

Total Expenses

STATEMENT SUMMARY

$88.00

$81.78

$885.20

$624.90

9274.29

$19.00

04t25t2019

04t29t2019

04t30t2019

Date

04t30t2019

04t30t2019

04t30t2019

Fees

Expenses & AdvancesTotal current charges

Plus balance forward from previous invoice

$2,007.82

Amount$5.75

$248.25

$18.60

$76,444.502,280.42

$272.60

78,724.92

$0.00

PLEASE PAY THIS AMOUNT $78,724.92

Balance

$100,000.00

Date

4t12t2019

Transaction

Balance as of 0411212019

TRUST ACCOUNT ACTIVITY

Pavments Deoosits


]VAYNARtrI Remit to:Maynard Cooper & Gale1901 SixthAvenueNorth2400 Regions/Harbert PlazaBirmingham, AL 35203-261 8

ByWire:Regions BankABA: 062005690 / SWIFT: UPNBUS44USD Account: 0001323776Account Name: Maynard Cooper & Gale Operating

CC]OPER C,A.LEFEDERAL t.D. 63-0864426

Education Corporation of AmericaJohn F. Kennedy, ReceiverJames Bates Brannan Groover, LLP231 Riverside DriveMacon, GA 31201

RE:VC Macon, GA - USE -24131-0004

For Legal Services Rendered Through 04t30119

FeesExpenses

TotalThis lnvoice

lnvoice Nolnvoice Date

Client NoMafter No

111252205/1 0/1 9106050395

$154,573.50$5,154.30

$159,727.80


10605-0395VC Macon, GA - USE 24131-0004

Education Corporation of AmericaJohn F. Kennedy, ReceiverJames Bates Brannan Groover, LLP231 Riverside DriveMacon, GA 31201

RE:VC Macon, GA - USE -24131-0004

May 10,2019Page2

lnvoice No:lnvoice Date:

Client No:Matter No:

111252205/1 0/1 9106050395

NarrativeLitvine (WARN): Research regarding motion to compelarbitration in WARN act context.Smith (WARN): Research regarding motion to compelarbitration in WARN act context.Townsend (WARN): Research regarding motion to compelarbitration in WARN act context.Litvine (WARN): Drafted motion to compelarbitration andstrike class claims.Litvine (WARN): Reviewed and analyzed arbitrationagreements of 28 plaintiffs in connection with draftingmotion to compel.Litvine (WARN): Research in connection with motion tocompel arbitration.Litvine (WARN): Research regarding ratification andovercoming issues with respect to different types of e-signatures.Litvine (WARN): Reviewed and revised motion to compeland circulated to working group.Litvine (WARN): Updated exhibits to motion to compel.Litvine (WARN): Additional research regarding arbitrationunder the WARN act, as well as on ratification of arbitrationagreement by actions.Smith (WARN): Additional research regarding arbitrationunder the WARN act, as well as on ratification of arbitrationagreement by actions.Townsend (WARN): Additional research regardingarbitration under the WARN act, as well as on ratification ofarbitration agreement by actions.Correspondence re strategy for reply brief in support ofmotion to compel arbitration.Correspondence with C.Miller regarding S.Gillmore claimagainst VC receivership for taxes related to past settlement.Review correspondence from R. Swa rtzwelder regard i n g

FOIA request.Review correspondence from M.Kirby and case onarbitrability of PAGA.Phone call and emails with Banter regarding sale status andstrategy for auction and next steps moving forward; attentionto issues with same.Review motion for clarification filed by Kevin Robinson andproposed order; analyze response deadlineTelephone call with J. Banter and L. Murphree regardingvarious litigation matters and NECB saleExchange emails with Omni regarding website changes

02107119 K. Bushby

Date02t06t19

02t06t19

02t06t19

02t06t19

o2t06t19

02t06t19

o2t07t19

02t08t1902t08t19

02t08t19

02t08t19

03/06/19

o4t01t19

04t01t19

o4t01119

041011'19

o4t01t19

04t01t19

04t01t19

Hours0.30

0.30

0.30

1.50

1.20

TimekeeperK. Bushby

K. Bushby

K. Bushby

K. Bushby

K. Bushby

K. Bushby

K. Bushby

K. BushbyK. Bushby

K. Bushby

K. Bushby

B. Hiil

B. DeGweck

B. DeGweck

B. DeGweck

J. Murphree

L. Juarez

T. Cleveland

T. Cleveland

0.50

0.50

0.40

0.400.20

0.20

0.20

0.40

0.30

0.50

0.20

2.00

0.60

0.90

0.40


10605-0395VC Macon, GA - USE 2413I-0004

Date Timekeeper0410'1119 T. ClevelandO4lO1l19 L. Juarez

Hours0.300.50

May 10,2019Page 3

NarrativeExchange emails with state AGs regarding statusReview motion for clarification and proposed order filed byRobinson; analyze response deadline and strategizeresponseConduct research into FOIA objection rules.Strategize FOIA response.Read annotations, National Parks case and Critical Masscase and analyze law as applied to ECA facts.Conversation with R.Swartzwelder regarding preacquisitionreview, competing legal standards.Read recent D.C. Circuit cases on voluntary submissions forFOIA objection.Exchange emails with state AGs regarding collectionsTelephone callwith Delaware WARN Act counsel regardingstatusTelephone calls with various landlords regarding statusExchange emails with C. Marks regarding NECB saleReview and analyze credit agreements and issues withMonroe credit bidding as lender; emails with G King and JBanter.Emails with AG's and Banter regarding claims for studentAR and noncollection of same; attention to issues withsame.Review Best's APA and A/R analysis; attention to issueswith same; emails with Best regarding same.Correspondence with R.Swartzwelder regarding inquiry fromG.Bacerra about Palm Springs campus.Correspondence with l.Cadle regarding lT equipmentpurchaser.Correspond with R.Swartzwelder regarding FOIA.Review new Ransaw PAGA complaint.Review statute of limitations issue for PAGA case.Work on FOIA objection.Drafting FOIA objection.Review lnner City Press case, and draft correspondence toR.Swartzwelder.Prepare for auction; review documents; travel to Atlanta.Attention to the order of garnishment dismissal in theGeorgia case of Tiffany Pitts.Attention to order of garnishment dismissal in the Georgiacase of Beth Dodds.Prepare for auction in Macon, GADiscuss various NECB issues with J. BanterExchange emails with R. Swarzwelder regarding legalmattersTelephone calls with various landlords regarding statusDiscuss and strategize case status, auction process, FOIAresponse with T. Cleveland.Reviewing credit facility documents concerning creditprovisions related to lender's ability to credit bid at auctionand distribution of proceeds.Final revisions and transmission to client of FOIA objectiondraft.Travelto maconAttend auction of NECBPrepare for auction of necbReview amendments to credit agreement.Prepare for auction of NECBAttend auction of NECB

04t02t19 B. DeGweck

04t02t19 B. DeGweck

o4to2t1904t02t1904t02t19

04t02t19o4to2t19

04t02t1904t02t19o4to2t19

04t03t19

04t03119

04t03t1904t03t1904t03t1904t03t1904t03t1904t03t19

04t03t1904t03t19

04t03t19o4t03t1904t03t19

o4t0311904t04l't9

04t04t1904t04l1904t04t1904t04t1904t0411904t04119

B. DeGweckB. DeGweckB. DeGweck

T. ClevelandT. Cleveland

T. ClevelandT. ClevelandJ. Murphree

B. DeGweckB. DeGweckB. DeGweckB. DeGweckB. DeGweckB. DeGweck

J. MurphreeW. Smith

T. ClevelandT. ClevelandT. Cleveland

T. ClevelandB. DeGweck

W. BulgarellaT. ClevelandT. Cleveland

0.50

1.80

0.300.40

0.500.602.90

0.50

1.40

0.10

0.10

1.000.302.00

3.800.10

04102119 J. Murphree

04t02t19 J. Murphree

B. DeGweck

B. DeGweck

0.101.000.300.501.500.30

o4t03t19 W. Smith 0.10

3.900.400.30

0.400.50

3.30

0.50

2.006.001.800.501.604.30

04t04t19 E. Parrott

04t04t19 B. DeGweck

J. MurphreeJ. MurphreeJ. Murphree


10605-0395VC Macon, GA - USE 24131-0004

Date TimekeeperO4lO4l19 T. Cleveland

Hours0.30

May 10,2019Page 4

NarrativeTelephone callwith landlords regarding termination ofleasesExchange emails with state AGs regarding a/r balancesAttention to outstanding local counsel invoicesPrepare asset purchase agreement.Final review of FOIA objection.Revisions to FOIA objection.Travelfrom Macon to BirminghamDraft proffer of testimony for John Kennedy.Reviewing and preparing proffers in support of saleconfirmation.Review draft APA and closing documentsDiscuss NECB sale with MCG team and J. Bates teamExchange emails with A. Lacey and H. Horton regardingregulatory approvalTelephone call with State AGs regarding student AR andclaims processExchange emails regarding Delware Warn class actionReview order denying Salle Mae's motionReview letter from KaplanConference callwith AG's regarding student claims;attention to issues with same.Conference calls with client team regarding further revisionsto APA, discussions with Monroe and Best, next steps inmoving toward sale and confirmation hearing; reviseproposed sale order; draft notice of successful bidder.Email with potential buyer of curriculum.Attention to issues with Kaplan demand for records.Prepare asset purchase agreement.Review monroe revisions to apa and order; review MCGteam comments to monroe revisions.Emails with Banter regarding WS communications andissues with same.Review and revise Monroe revised APA and Sale Order;assist with preparation for sale hearing; review and reviseproffers.Prepare asset purchase agreement and correspondence toKatten re: asset purchase agreement.Callwith Katten and receivership team regarding revisionsto APA and comments to same; attention to issues withsame.Calls with receivership team regarding revisions to APA andpreparation for hearing; attention to issues with same.Attend sale hearing; prepare for same.Draft notice of proposed order; revise proposed order andnotice of successful bidder; attention to issues with same;emails with Katten and receivership team regarding same.Attend NECB sale hearing in Macon, GAVarious telephone calls with J. Banter and Monroe regardingNECB sale hearingReview proffers of Receiver and G. MarksExchange emails with state AGs regarding NECB and claimdeadlineDiscuss NECB sale with KaplanEmails with AG's regarding claims deadlines and resolutionof student claim issues.Conference calls with Katten and Bates re: asset purchaseagreement; review Monroe asset purchase agreement;prepare asset purchase agreement.

04t04t1904t04t19o4t05t1904t05t1904t05t1904t05t't904t05t1904t05t19

0.300.304.100.700.505.002.100.50

04t05t1904t05t19o4t05t19

04t05t1904t05t1904t05t1904t05t19

04t05t1904t05t1904t06t1904t06t19

04t06t19

04t07t19

04t08t19

o4t08t19

04t08t19

04t08t1904t08t19

04t08t1904t08t19

04t0811904t08t19

04t08t19o4t08119

T. ClevelandL. JuarezJ. PickleB. DeGweckB. DeGweckJ. MurphreeW. BulgarellaR. Thompson

T. ClevelandT. GlevelandT. Cleveland

levelandlevelandlevelandurphree

J. MurphreeJ. MurphreeJ. PickleJ. Murphree

J. Murphree

J. Murphree

J. Pickle

J. Murphree

J. Murphree

MurphreeMurphree



T. ClevelandJ. Murphree

04105119 T. Cleveland

3.101.800.50

1.10

0.300.300.200.90

1.90

T.CT.CT.CJ.M


0.200.305.701.80

JJ

0.30

7.90

0.80

2.60

2.20

1.901.00

5.501.00

0.800.50

0.400.30

04t09t19 J. Pickle 3.40


10605-0395VC Macon, GA - USE 24131-0004

Date Timekeeper04/09/19 C. Pereyda

04t09t19 E. Parrott

04109119 C. Pereyda

04109119 C. Pereyda

04t09t19

Hours0.40

1.80

2.10

2.80

1.20

3.50

May 10,2019Page 5

NarrativeReceive instruction to research issues related to courts'authority to allow receiver to sell property of thereceivership's estate free and clear and without successorliability provided that the court finds the transfer is made ingood faith. Conference on prior research conducted in case.Reviewing and analyzing case law and statutory authorityconcerning the Court's ability to grant certain saleprovisions.Begin drafting memorandum. Draft portions advising onauthorities under Bankruptcy Code Section 541 definingclaims that the debtor or a creditor of a bankruptcy estatecan assert on the petition date as property of the bankruptcyestate to be applied by analogy to receivership context andsetting out relevant factual background.Attention to anticipated objections to sale motion. Researchauthorities under Bankruptcy Code Section 541 definingclaims that the debtor or a creditor of a bankruptcy estatecan assert on the petition date as property of the bankruptcyestate to be applied by analogy to receivership context.Attention to receivership authority to sell property free andclear, with related buyer protections.Research and draft memo regarding receivership saleissues.Review draft APA and closing documentsVarious telephone calls with MCG team, J. Batner, Monroe,and C. MarksReview draft email to Department of EducationExchange emails with A. Lacey regarding regulatory issuesReview Best APAVarious emails and telephone calls with J. Banter regardingPAGA class actionsPrepare for and attend conference call with Monroe.Call with Banter regarding Monroe APA issues.Review revised APA; detailed attention to Monroe APAissues, responsive comments to APA and reaching out toBest.Analyze issues with respect to potential objections to sale.Continue drafting memorandum. Add points of authority onapplication of bankruptcy law by analogy in receivershipcontext and illustrations of cases interpreting the applicationof Bankruptcy Code Section 363.Review Monroe asset purchase agreement; prepare assetpurchase agreement; conference call with Receiver,Monroe, Katten, and Bates re: asset purchase agreement.Review correspondence and motion from J.Hammond rePAGA claim.Review PAGA plaintiffs class action waiver for proof ofclaim process, read motion, correspondence with J.Banter.Continue drafting memorandum. Add illustrations of casessetting out broad equitable powers of federal district courtsin receivership context.Review lease termination noticeConference on items required to complete assignment.Discuss points of law for which additional authority isneeded. Discuss application of bankruptcy law by analogy.Revise memorandum. Publish same together withexplanation of revisions.

04t09t19

04t09t19o4t09t19

04t09t1904t09t1904t09t19o4t09l19

04t09t1904t09t19o4to9t19

04t09t1904t10t19

04t10t19

04t10t19

o4t10119

04t10t1904t10119

R. Thompson

W. Bulgarella


levelandlevelandleveland


J. MurphreeC. Pereyda

B. DeGweck

B. DeGweck

C. Pereyda

L. JuarezC. Pereyda

landleveT.CT.CT.CT.C

o.200.200.400.80

1.201.40

0.700.401.30

0.801.60

04t10t19 J. Pickle 5.00

0.50

2.00

1.60

200.300

04110119 C. Pereyda 0.90


10605-0395VC Macon, GA - USE 24131-0004

Date Timekeeper04110119 L. Juarez

May 10,2019Page 6

NarrativeReview and revise response to Robinson's Motion forClarification; emails with J. Banter and T. Clevelandregarding same; review and revise order regarding responseto motion to clarification; finalize response and order forfiling with CourtPreparing summary of receivership authorities in support ofsale order.Review various NECB closing documentsExchange emails and telephone calls with Monroe, C.Marks, and J. Banter regarding NECBExchange emails with state AGs regarding studentinformationDiscuss PAGA claims with J. BanterDiscuss Robinson plaintiffs counsel issue with J. BanterTelephone calls and emails with Willis Towers regardinginsuranceDiscuss Kaplan letter with J. BanterExchange emails with Kaplan regarding exchange ofrecordsResearch and draft memo summarizing receivership saleissues.Attention to response to K. Robinson's motion forclarification and response to the same, including reviewingdraft proposed order.Review insurer correspondence for use in following up oninformation requests and discuss same with client.Analyze issues with respect to potential objections to sale;outline potential response.Review and revise new draft of APA from Monroe; attentionto issues with same.Conference call and emails with receiver team regardingMonroe APA and negotiations and preparation forconfirmation hearing.Conference call and emails with Monroe counsel andreceiver team regarding Monroe APA and negotiations oversame.Draft notice of final APA with Monroe.Emails with Kaplan regarding APA questions.Review Kaplan document demand letter and analyze issuesand response to same.Review Order entered regarding Robinson's motion forclarification; review Order entered authorizing saleReceive instruction to draft Motion to Approve Assignmentand Assumption of Executory Contracts Agreement. Brieflydiscuss context.Create preservation copies of PST data for EddienaAlbanese case per B. DeGweck.Attend NECB sale hearing in Macon, GAMeet with J. Kennedy and J. Banter regarding to do andstatusExchange emails with plaintiffs counsel regarding DelawareWARN classReview Order approving NECB SaleExchange emails with MCG team regarding Kaplan recordrequestConference callwith Banter regarding sae hearing.Prepare for and attend telephonic sale hearing.Callwith Banter regarding Willis Stein and NECB sale;attention to issues with same.

Hours1.30

1.4004t10t19

04t10t1904110t19

04t10t19

04t10t1904t10t1904t10t19

04t10t1904t10t19

04t10t19

04t10t19

04t10t19

04t10t19

o4t10t19

04t10t19

04t1111904t11t19

04t11119o4t11119

04t11t19o4t11t19o4t11119

R. Thompson


T. Cleveland

T. ClevelandT. ClevelandT. Cleveland


W. Bulgarella

K. Bushby

J. Baker

J. Murphree

J. Murphree

J. Murphree




04t10t1904t10119o4t10t19

04t11t19 L. Juarez

G. Pereyda

L. Bains

04t11t19

04t11t19


3.70

0.40

0.40

1.00

1.00

1.50

0.90

0.500.50

0.200.300.70

1.501.10

5.100.90

0.30

0.300.400.80

0.50

0.10

0.90

04t11t19 T. Cleveland 0.40

0.200.60


0.501.000.80


10605-0395VC Macon, GA - USE 24131-0004

Date Timekeeper04111119 J. Murphree

May 10,2019PageT

NarrativeAttention to strategy and next steps in NECB sale to movetowards closing; attention to closing checklist andassumption motion.Revise sale order.Analyze response to Kaplan information request; memo tofile regarding same.Review subpoena to MonroeEmails with working group regarding Kaplan request forrecordsReview Kaplan demand and analyze RFl.Analyzing the garnishment judgment in the Georgia case ofBeatrice Rouzeau.Strategize Kaplan's document requestExchange various emails with Kaplan's counsel regardingstatusTelephone callwith J. Baker regarding Willis SteinExchange emails with Omni regarding student claimsExchange emails with H. Horton regarding NECB saleExchange emails with R. Swartzwelder regarding variouslegal noticesAttention to Monroe supoena and attention to strategy withsame.Emails with Kaplan regarding records request; attention toissues with same; memo to file regarding same.Emails with AG's; attention to information requests andlimitations on student collections.Attention to claims process notice; emails with MCG teamregarding sameReview notice of subpoena filed by plaintiffsAttention to Motion to Assume and Assign ExecutoryContracts. Research ability of receivers to assume andassign contracts and courts' broad equitable powers toapprove procedures consistent with receivers' fiduciary dutyof maximizing liquidation value of receivership property.Analyze exemplary orders granting motions for assumptionand assignment of executory contracts.Research Delaware books and records law; preparesummary of Delaware books and records law and responseto Jones Day books and records request.Strategize and research regarding Kaplan documentrequest.Review analysis of Rule 220 request for Kaplan.Review letter regarding document requests from Kaplan;strategize response; meeting with working group regardingsame; review ECA stockholders agreementDiscussion regarding PAGA attorney's appearance in case.Begin to review filing by Hammond firm for class POC.Research for and draft memo regarding issues with Kaplanrequest for inspection.Attention to Kaplan subpoena and analysis of the same.Attention to status of claims process, next steps and updateon student claims.Telephone calls with counsel regarding status of demand toinspect books and recordsTelephone calls with J. Banter regarding Kaplan recordrequestReview objections under Kaplan's request to inspectdocumentsMeet with L. Murphree regarding to do re NECB

Hours1.00

0.301.30

04t11t1904t11t't9

04111t1904t11t19

04t12t1904t12t19

04112t1904t12t19

04t12t1904t12t1904t12t1904t12t19

04t12t1904t14t19

04t15t1904t15119

04t15t1904t15t1904t15t19

04t15t1904t15t19

04t15t19

04115t19

04t15t19

04t15119

L.JL.J

J. MurphreeJ. Murphree

uatezualez

B. DeGweckW. Smith

levelandleveland

T. ClevelandT. ClevelandT. ClevelandT. Cleveland

L. JuarezC. Pereyda

B. DeGweckL. Juarez

B. DeGweckB. DeGweckW. Bulgarella

K. BushbyK. Bushby

T. Cleveland

T. Cleveland

T. Cleveland

0.500.50

T.CT.C

1.000.20

0.900.40

0.400.400.300.40

0.30

0.80

0.30

0.50




04112119 L. Juarez

0.502.10

04t15t19 J. Pickle

04t15t19 B. DeGweck

1.20

1.50

0.200.504.20

0.203.10

0.500.50

0.80

0.40

1.00

0.60T. Cleveland


10605-0395VC Macon, GA - USE 2413I-0004

May 10,2019Page 8

NarrativeStrategize issues regarding claim processStrategize WARN Act defensesReview claim/notice letter to the Department of EducationExchange emails with insurance brokers regarding coveragestatusReview claim filed by PAGA lawyerAttention to NECB sale next steps, claims procedurescompliance, class actions and class POC's, Kaplan requestand Monroe issues.Meeting to discuss response to letter from Kaplandemanding to inspect books and records.Consider strategy in WARN Act cases.Review and analyze DOJ letter regarding claims against theReceivership estate.Continue drafting motion, proposed order, and proposedform of notice of rejection.Review Santos and Miller's application for class treatment;analyze response deadline; strategize response withworking groupAttend to motion for entry of order authorizing receiver toassume and assign certain executory contracts. Receivefurther instruction on goals of motion and ultimate reliefrequested. Receive further instruction on structure ofmotion.Research process for participation in the false certificationdismissal process.Gathering case research for response to class based proofof claim.Review letter from Department of Justice; strategizeresponseResearch Delaware books and records law; preparesummary of Delaware books and records law and responseto Jones Day books and records request.Analyze applicable precedents under Bankruptcy CodeSection 365 and cases under federal common law allowingassumption and assignment of executory contracts.

Begin drafting motion, proposed order, and proposed formof notice of rejection.Research and review cases regarding Federal Priority Actfor response to DOJ;Review research on Delaware records and books request,Paul ECA Kaplan purchase and sale agreement andI ncorporation certificate.Review documents from Monroe regarding Monroe's debtComplete first draft of motion, proposed order, andproposed form of notice of rejection.Review exemplar motions and notices. Note authoritiesrelied on in receivership context and bankruptcy, to beapplied by analogy.Attention to DOE correspondence re: claims bar date.Research regarding receivership standing issues andcauses of action held by creditors and/or receivers.Attention to issues with class actions and assertions of classPOC's/Attention to issues with motion to assume and assign andNECB closing issues; memo to file regarding same.Conference call with client team regarding regulatory issuesand NECB next steps; attention to issues with saame.

Date04t15t1904t15t1904t15t1904t15t19

Hours0.400.301.300.70

04t15t19

04t15t1904t16t19

04t16t19

04t16t19

04t16t19

04t16t19

04t16t19

04t16t19

04t16119

04t't6t19

04t16t19

04t16t1904t16t19

04t16t1904t16119

04t16119

04t16t19

04t16t19

TimekeeperT. ClevelandT. ClevelandT. ClevelandT. Cleveland

B. Hiil

B. HiilB. DeGweck

C. Pereyda

L. Juarez

B. DeGweck

B. DeGweck

L. Juarez

J. Pickle

C. Pereyda

B. DeGweck

B. DeGweck

L. JuarezC. Pereyda

R. ThompsonW. Bulgarella

J. Murphree

J. Murphree

J. Murphree

04115119 T. Cleveland04115119 J. Murphree

0.402.80

0.50

0.301.30

2.10

1.00

04116119 C. Pereyda 0.20

0.80

0.80

0.80

1.20

3.00

3.00

0.30

0.302.40

0.80

0.202.50

0.70

1.30

1.00

04116119 C. Pereyda


10605-0395VC Macon, GA - USE 24131-0004




Hours2.40

0.70

1.10

1.201.10

0.600.900.700.400.40

0.80

2.203.40

3.10

0.30

0.20

0.20

1.001.00

1.30

0.30

0.20

0.10

May 10,2019Page 9

NarrativeConference callwith client team regarding USDOJ letter andpriority dispute and issues with same, response to andissues with Monroe; research law regarding priority issueswith gov't and attention to issues with same.Conference callwith Kaplan team and Receivership teamregarding requests for information on claims.Attention to issues with Kaplan requests for information onclaims.Strategize response to DOJ claimCallwith J. Banter and MCG team regarding to do andstrategyCall with Kaplan regarding requested documentsStrategize response to PAGA class motionReview claims registerReview emails regarding NECB saleReview local counsel invoices; emails with working groupregarding sameStrategize document retention; review various emials sentby ECA regarding document retention and shreddingPrepare transaction checklist.Complete first draft of Motion for Entry of AssignmentProcedures and Assignment Confirmation Orders. Draftproposed orders. Ensure provisions binding all parties andexpediting hearing on Motion.

Revise and edit documents. Publish for comment an review.Review and analyzein re Sacred Heart, ln re Charter and several other cases tostrategize response.Phone callwith T.Cleveland regarding instructions fromreceiver on DOJ response.Attention to request for production delivered by counsel forKaplan. Conference to discuss authority to substantiateresponse.Receive instruction to research applicable law and assist in

drafting response to Kaplan request for production aimed atobtaining information to ostensibly assert claims againstdirectors and officers of ECA in Kaplan's capacity asshareholder of ECA.Strategize arguments for response to Rule 23 motion.Begin drafting response in opposition motion to certify Rule23 Paga claim.Revise response to request for production. lncludeadditional quotations; clarify substantive positions; correctgrammatical errors; and revise for clarity and style.Research DOE regulations regarding discharge of loans forfalse certification.Researching ECA HR sortwarre systems for Garnisheeresponse.Advise on final revisions to response to request forproduction.Review garnishment, check Cvue and other records.Drafting opposition to POC motion.Emailwith T. Cleveland re 0365 preservation costs.Attention to additionalgarnishment papers in the Georgiaaction against Beatrice Rouzeau.Drafting answer to garnishment proceedings on VirginiaCollege's behalf.

o4116t19o4116t19

04t16t1904t16t1904t16t1904t16t19o4116t19

04t17t1904t17t19

04t17t19

04t17t19

levelandleveland

T. ClevelandT. ClevelandT. ClevelandT. ClevelandL. Juarez

J. PickleC. Pereyda

B. DeGweck

C. Pereyda

B. DeGweckB. DeGweck

B. DeGweckB. DeGweckL. BainsW. Smith

T.CT.C

04t16t19 L. Juarez

04t17t19 B. DeGweck

04117119 C. Pereyda

04t1711904t17t19

04117119 C. Pereyda

04t17t19 B. DeGweck

04t17119 B. DeGweck

04117119 C. Pereyda

o4t17119o4t17119o4t17119o4t17119

0.200.50o.200.30

04t17t19 W. Smith 0.60


10605-0395VC Macon, GA - USE 24131-0004




04t17t19 B. Hiil

Hours1.40

3.60

0.50

0.60

0.400.801.200.60

0.800.90

0.40

0.50

0.401.20

1.10

0.10

1.300.50

0.40

0.50

0.60

0.60

0.200.30

May 10,2019Page 10

NarrativeConference callwith receivership team regarding Kaplanresponse, insurance issues, response to DOJ letter.Detailed analysis of responses to Kaplan letter and DOJletter and positions on same; research law regarding same;review draft responsive letter to Kaplan; review documentssent by Kaplan; analysis of class POC claims and allowanceof same; attention to next steps in NECB closing and motionto assume/assign contracts.Emails with Omni regarding status of claims; review claimsregister regarding same; attention to possible second textblast.Correspondence with expert Jennifer Ligon regardingdeclaration to submit in response to Deborah Santos andPamela Miller's Motion to Apply FRCP to Proof of Claim.Exchange emails with state AGs regarding Title lV reconStrategize response to DOJ and Kaplan lettersTelephone callwith J. Banter regarding status and to do listTelephone calls with R. Swartzwelder regarding KaplanBoard seat and fake certification guidelinesDiscuss insurance issues with broker and J. BanterReview Kaplan's proof of claim and exchange emails withKaplan's counselReview emailfrom TN AG requesting information; reviewdocuments to provide to TN AGStrategize document retention; emails with working groupregarding litigation holdReview and analyze Kaplan request for production.Review and analyze federal authorities on receiver'sexclusive authority to pursue actions for the benefit ofreceivership estate when vested with such authority by courtorder. Advise on same.Draft response to request for production, explaining reasonsfor denial of request.Review Grewal arbitration filing to assist in our opposition toclassPOC.Drafting Opposition to Motion for Class POC.Research Mobile Welding property closing records andcomplete insurance application document for Cobbs Allen.Overview of VCP compliance statement for NECB a01(k);conferwith J. Everest regarding same; review emailregarding same.Conversation with CobbsAllen regarding Mobile property,emailto J.Roberds at NAI in Mobile regarding access to thesite.Conversation with J.Banter, review of Moore case and draftcorrespondence to J.Banter with research.Review VCP compliance statement for NECB 401(k) Plan;confer with B. Beaube regarding same; emailcorrespondence with T. Cleveland about execution, etc.Review claims register to see if KHEC filed claim.Conference on DOJ letter and Kaplan letter. Coordinateresponse and discuss outstanding issues.Attention to response to letter from the Department ofJustice. Consult secondary literature on the Federal PriorityAct. Compile and analyze Supreme Court precedentsapplying Federal Priority Act, with specific attention tocourts' decisions on the effect of the statute on the priority ofsecured creditors'claims when such creditors hold priorsecurity interests.

04t17 t19 L. Juarez

04t17t19 L. Juarez

04t17t1904t17t1904t17t1904t17t19

04t17 t1904t17 t19

04t17t1904t17t19

04t17t19

04t18t19

04t1811904t18t19

04t18t19

04t18119

04t18t19

04t1811904t18t19

T. ClevelandT. ClevelandT. ClevelandT. Cleveland


C. PereydaC. Pereyda

C. Pereyda

B. DeGweck

B. DeGweckB. DeGweck

E. Beaube

B. DeGweck

J. Everest

B. DeGweckC. Pereyda

04t18t19 B. DeGweck

04118119 C. Pereyda 2.60


r060s-0395VC Macon, GA - USE 2413I-0004

Date Timekeeper04118119 L. Juarez04118119 C. Pereyda

04t18t19 C. Pereyda

04t18t19

04t18t19

04t18t1904t18t19

04t18t19

04t1811904t18t1904t18t1904t18t1904t1811904t18119

04t18119

04t18t1904t18t1904t18t19

04t1811904t19119

W. Bulgarella

W. Bulgarella

L. BainsL. Bains

J. Murphree

T. ClevelandT. ClevelandT. ClevelandT. ClevelandT. ClevelandT. Cleveland

L. Juarez

L. JuarezL. JuarezL. Juarez

L. JuarezC. Pereyda

Hourc0.202.60

0.60

1.00

4.40

0.300.20

1.40

1.30

2.40

1.100.400.700.700.500.80

0.40

0.5040

0.50

0.200.40

0.90

May 10,2019Page 11

NarrativeReview Rouzeau garnishment answerAttention to response to letter from the Department ofJustice. Draft email memorandum analyzing Supreme Courtprecedents applying Federal Priority Act, with specificattention to courts' decisions on the effect of the statute onthe priority of secured creditors' claims when such creditorshold prior security interests. Provide basis for argument thatthe Act does not permit the United States to prime priorperfected secu rity interests.Analyze letter from the Department of Justice claiming thatthe Federal Priority Act renders the United States'claimsagainst ECA prior to all other creditors, including securedcreditors, and that sale of NECB renders receiver personallyliable to the Department of Education for allowing paymnt toother creditors before the Department of Education.

Conference on contents of letter and strategy for respondingto same.Research and communication with B. Hillon Kaplan letterresponse.Research and prepare memo in response to Dept. of Justiceletter.Callwith KLDiscovery re preservation quote.Emailwith T. Cleveland and B. DeGweck re preservationcosts.Analyze issues related to DOJ letter and responsive letter toDOJ; research law regarding same; memo to file regardingsame.Review letter from Kaplan demanding to inspect ECA'sbooks and records and conduct related research.Various telephone calls with J. Banter and A. Laceyregarding Title lV issues, DOJ letterDiscuss Kaplan letter with ReceiverReview NECB 401(k) planStrategize PAGA class responsesExchange emails and Omni regarding claims processDiscuss Kaplan response with B. Hill and L. MurphreeReview and discuss communications from ED regardingTitle lV fundingEmails and telephone calls with local counsel regardingoutstanding invoices; emails with working group regardingsameStrategize response to Kaplan request for recordsReview claim registryStrategize response to Santos and Miller's motion; emailswith working group regarding sameReview Order granting Sth application for compensationAttention to response to DOJ Letter. Advise on SCOTUSprecedents with respect to the United States' priority underthe Federal Priority Act, and determine need to addresssovereign immunity claims.Review revised Kaplan letter and redline comparison.Analyze new precedents. Further revise Kaplan letter tomore clearly articulate applicable legal principles beforeapplication to facts and return revised draft together withredline copy.Attention to assertion by DOJ that sovereign immunityrenders Court's injunction ineffective as to the United States.Analyze applicable precedents.

04t18119 B. Hiil

04t18t19 T. Cleveland

0

04119119 C. Pereyda

04119119 C. Pereyda 0.80


10605-0395VC Macon, GA - USE 24131-0004

May 10,2019Page 12

NarrativeDrafting and revising opposition to class proof of claim.Begin drafting letter in response to DOJ Letter.Read new cases and continue editing and draftingopposition regarding Rule 23 Paga claim.Research for and communications with L. Murphree and C.Pereyda on response letter to Deptof Justice letter.Multiple phone calls and emails with J Banter regardingKaplan issues and response to demand letter.Conference call with Kaplan regarding demand letter andinitial positions on same.Attention to issues with response to Kaplan demand letterand response to DOJ priority letter and ED letter regardingECA Title lV funds; review revised draft of Kaplan responseletter.Revise draft letter and conduct related research in responseto letter from Kaplan demanding to inspect ECA's books andrecords.Review and analyze letter from DOJ to Receiver regardingpriority of claims.Attention to NECB DOE and other receivership issuesEmails with Kaplan's counsel regarding document requestsAttend to response to DOJ. Continue drafting letter; set outarguments that the Federal Priority Statute does not applybecause the DOE held no claim when Receiver wasappointed and because later sale was not a voluntaryassignment by ECA; begin setting out argument that Statutedoes not allow the DOE to prime prior perfected securityinterests.Complete first draft of letter to DOJ. Provide argument forwaiver of sovereign immunity.E-mails regarding response to Dept. of Justice letter.Emails with Kaplan regarding document requests.Emails with Kaplan regarding requests for information anddocuments.Review and revise draft response letter to Dept. of Justiceletter.Further revise response to DOJ Letter.Drafting and editing opposition to class proof of claimmotion.Conference on current draft of letter. Discuss revisionsmade and need for further revisions.Receive revised response to DOJ letter. Review same.Review and organize ECA historical financials received fromA. TangermanDraft and revise response letter to Dept. of Justice.Research sovereign immunity issues.Discuss PAGA class response with L. HargroveExchange emails with Omni regarding student claimsDiscuss DOE letter with receiverTelephone callwith B. DeGweck regarding propertyinsuranceExchange emails with J. Banter regarding AIG policyAttention to issues regarding DOJ and ED responses, cashflow and collections issues, additional claims notices, NECBprogress and additional issues; emails with receivershipteam regarding same.Emails with DOJ regarding call.Conduct legal research and analysis for Receiver'sresponse to DOJ letter.

o4t19t19 B. Hiil

04t19t19 B. Hiil

04t19t19o4t19t1904t20t19

TimekeeperB. DeGweckC. PereydaB. DeGweck

W. Bulgarella

J. Murphree

J. Murphree

J. Murphree

T. ClevelandT. ClevelandC. Pereyda

W. BulgarellaJ. MurphreeJ. Murphree

C. PereydaB. DeGweck

C. PereydaL. Juarez

W. BulgarellaW. BulgarellaT. ClevelandT. ClevelandT. ClevelandT. Cleveland

T. ClevelandJ. Murphree

J. MurphreeB. Hill

Date04t19t1904t19t1904t19t19

04t19t19

o4t19t19

04t19t19

04t19t19

04t20t1904t20t19o4t20119

04t22t19o4t22119

04t22t1904t22t19

o4t22t1904t22t1904t2211904t2211904t22r19o4t22119

o4t22119o4t22119

o4t22t19o4t22119

Hours1.001.302.30

3.30

0.30

0.80

1.90

3.80

0.60

04120119 C. Pereyda

3.501.503.60

o.201.20

0.300.300.30

1.80

0.60

0.801.20

0.20

04121119 W. Bulgarella

04122119 C. Pereyda

2.700.800.200.900.900.70

0.30'1.40

0.203.20


10605-0395VC Macon, GA - USE 2413I-0004

Date Timekeeper04123119 L. Hargrove

04123119 C. Pereyda

Hours0.30

0.10

May 10,2019Page 13

NarrativePAGA class action response: Review and analysis of VCMacon GA LLC Motion for Application of Rule 23 as toClaimant's Proof of ClaimConference on Assignment and Assumption Agreement andclosing of NECB sale.Research sovereign immunity issues.Attention to status of response to Kaplan.PAGA Class Action Response, research thereonConference call with receiver team regarding various issues,including revised cash flow forecast, NECB approval andclosing status and status of ED discussions; attention toissues with same.Revise responsive letter to Kaplan; attention to issues andlaw regarding same.Conduct legal research and analysis for Receiver'sresponse to DOJ letter; draft response letter.Telephone callwith Receiver, Carl Marks, and MCGregarding cash flow, DOE, and NECBDraft response to class action PAGAReview Kaplan responseReview draft response letter to KaplanConversation with W.Barton at CobbsAllen regarding MobileWelding School.Draft and revise opposition motion regarding Rule 23 Pagaclaim.Emails regarding class proof of claim motion.Review and revise response to motion for class regardingproof of claimsReview and revise response to DOJRevise draft letter to DOJ and draft email memorandumaddressing follow up questions on disputed issues of lawrelated to United States' priority under the Federal PriorityStatute and sovereign immunity.Review garnishment response and investigate GraceConyers employment records.Attention to responding to DOJ Letter. Analyze precedentsapplying Federal Priority Statute with particular attention toauthorities on the fixed nature required for a claim. Analyzeprecedents on sovereign immunity.Attention to responding to DOJ Letter. Correspondence oncurrent drafts of response. Receive revised letter and reviewsame. Conference to discuss issues in need of furtherresearch.Research and communications regarding response to DOJletter.Continue drafting letter on behalf of Receiver in response toDOJ letter.Attention to wage garnishment pleadings filed in the matterof Grace Conyers.Corresponding with R. Swartzwelder regarding ECA'sgarnishment answer in matter of Grace Conyers.Review documents related to employee sent by R.

SwartzwelderReviewed Claimants' motion for class-based proof of claimand began reviewing and revising draft of the same.Exchange emails and telephone calls with NECB andbrokers regarding insurance coverageReview draft Kaplan response letter

o4t23t1904t23t1904t23t19o4t23t19

04t23t1904t23t1904t23t1904t24t19

04t24t1904t24t19

04t24t1904t24t19

04t24t19

04t24t19

04t24t19

04t24119

04t24119

04t24119

04t24119

04t24119

04t24t19

04t24119

W. BulgarellaR. ThompsonL. HargroveJ. Murphree

T. ClevelandT. ClevelandL. JuarezB. DeGweck

B. DeGweckL. Juarez

L. JuarezC. Pereyda

B. DeGweck

C. Pereyda

W. Bulgarella

B. Hill

W. Smith

W. Smith

L. Juarez

K. Bushby

T. Cleveland

T. Cleveland

1.500.100.901.80


04t23t19 B. Hill

04123119 T. Cleveland

1.40

2.90

2.20

0.800.400.400.30

1.50o4t24t19 B. DeGweck

0.301.20

0.601.90

04124119 C. Pereyda

0.20

1.60

0.60

2.10

3.50

0.20

0.20

0.30

1.60

1.70

0.70


10605-0395VC Macon, GA - USE 24131-0004

Date Timekeeper04124119 T. Cleveland

May 10,2019Page 14

NarrativePrepare for and participate in call with DOJ regarding lienpriorityDraft response letter to DOJExchange emails with W. Smith and R. Swartzwelderregarding garnishmentsDraft response to PAGA Rule 23 requestExchange emails with Monroe regarding APAConference callwith DOJ regarding ED priority dispute.Conference call with TC and JB in advance of call with DOJFollow up callwith TC and JB regarding callwith DOJ andnext steps.Finalize Kaplan response letter and attention to issues withsame.Emails with Monroe regarding list of assigned contracts;attention to motion to assume and assign.Review draft letter responding to DOJ and providecomments to same; research law regarding same; memo tofile regarding same.Correspondence with expert Jennifer Ligon regardingdeclaration to submit in response to Deborah Santos andPamela Miller's Motion to Apply FRCP to Proof of Claim.Strategize response to DOJ with working groupMake edits to Response in Opposition and draft emailtoB.Hill regarding Ligon deposition.Attention to responding to DOJ Letter. Analyze 20 U.S.C.Section 1087 and 34 C.F.R. Section 685.214 with specificattention to deemed assignment of student borrower'srefund claims following closed-school discharge andadministrative process for obtaining closed-schooldischarge.Review and revise response to DOJ; strategize same withworking groupCorrespondence and review of quote for insurance forMobile property.Discuss DOJ letter and waiver of sovereign immunity to theextent the government is asserting a lien.Research and draft response to DOJ Letter.Draft and revise final section of opposition brief regardingRule 23 Paga claim.Review Employer Notice of Change in Employment and theEmployer Acknowledgment of Wage Withholding for GraceConyersReview and comment on D&O insured v. insured exclusionand discuss same with T. Cleveland.Draft complaint and motion for temporary restraining orderto file against Global Payments Direct, lnc. for withholding$600,000 from NECB.Drafting garnishment answer in the matter of formeremployee Grace Conyers.Strategize dispute with credit card processorExchange various emails and telephone calls regardinginsurance coverageTelephone call with Omni regarding student text messagesRevise letter on behalf of Receiver in response to DOJletter.Attention to issues with Bancard dispute and strategy withrelease of funds; review agreements and law regardingsame.

T.CT.C

Hours1.50

0.700.30

04t25t19 W. Smith

04t25t1904t25t19

levelandleveland

levelandlevelandurphreeurphreeurphree

L. JuarezB. DeGweck

L. Juarez

B. DeGweck

C. Pereyda

W. BulgarellaB. DeGweck

L. Juarez

J. Baker

B. Hill

T. ClevelandB. Hiil

04t24t1904t24119

04t24t1904t2411904t24t1904t24t1904t24t19

04t24t1904t25t19

04t25t19

04t25t19

04t25t19

04t25t1904t25t19

04t25t19

04t25t19

04t25119

04t25t1904t25t19

T.CT.CJ.MJ.MJ.M

0.500.500.300.300.30




04t24t19 B. Hill

0.30

0.50

2.50

0.30

0.500.40

0.80

0.60

0.30

0.20

4.300.50

0.30

0.50

2.70

0.50

2.501.40

04125119 C. Pereyda

T.CT.C

landleveleveland

0.500.90

04125119 J. Murphree 1.40


10605-039sVC Macon, GA - USE 24131-0004


04t25t19 B. Hiil

04t25t1904t25t1904125t19

04t26t19 B. DeGweck

Hours3.70

0.30

May 10,2019Page 15

NarrativeResearch law regarding issues and arguments in DOJresponse letter regarding federal priority statute; memo tofile regarding same.Correspondence with expert Jennifer Ligon regardingdeclaration to submit in response to Deborah Santos andPamela Miller's Motion to Apply FRCP to Proof of Claim.Review and comment on draft DOJ response letter.Email with Monroe regarding status of assigned contract list.Attention to issues with additional text blast for studentclaimants and emails with Madaio regarding studentinformation.Correspondence with J.Banter and W.Durbin regardingbinding coverage.Strategize motion in opposition to class POC.Revising rule 23 section of brief.Revising last section of Opposition brief regarding dueprocess and unfairness.Draft complaint and motion for temporary restraining orderto file against Global Payments Direct, lnc. for withholding$600,000 from NECB.Prepare for and participate in call with credit card processorregarding payments to NECBVarious telephone calls and emails with insurance brokersExchange emails with Kaplan's Counsel regardingdocument requestAttention to issues with forcing turnover of fund fromBancard and negotiation/litigation strategy; multiple emailswith receiver team regarding same.Phone calls and emails with Kaplan counsel regardingcancellation of call and Receiver's responsive letter.Research law regarding arguments for DOJ responsiveletter.Draft declaration on behalf of expert Jennifer Ligonregarding ECA's process for employees entering arbitrationagreements to submit in response to Deborah Santos andPamela Miller's Motion to Apply FRCP to Proof of Claim.Review receiver's report.Look up student records for Dept. of Ed., student loandischarge application.Review email and correspond with W.Durbin regardingMobile property.Review legal correspondence from R.Swartzwelder forclient, Burnham Properties cas and J.Brown case.Follow up on response to DOJ letter.Review and analyze opposition to Rule 23 proof of claim.Draft opposition to claimant's motion for class regardingproof of claims; review and gather documents for use asexhibitsReview revisions to draft, research bankruptcy issue of Rule7023.Receive email from James Banter; review final letter to DOJattached thereto.Email correspondence with J. Banter regarding Jacksonvillelease amendment.Review PAGA issue for opposition to rule 23 motion.Review final letter to Dept. of Justice.(PAGA) revising and analyzing Class proof of claim, motionfor application of Rule 23 and Bankruptcy rule 7023 to proofof claim, and draft response thereto


0.800.100.30

0.302.500.50

0.30

04t26t't904t26t1904t26t19

04t26t19

04t26t19

04t26t1904t26t19

04t26t19

o4t26t19

04t26t19

04t28t19

04t28t1904t28119

04t29t1904t29t1904t29t19

04t29r19

04t29119

04t29119

04t29119o4t29t1904t29t19


T. Cleveland


J. Murphree

J. Murphree

J. Murphree

B. Hill

J. MurphreeB. DeGweck

C. PereydaB. DeGweckL. Juarez

B. DeGweck

C. Pereyda

B. DeGweck

B. DeGweckW. BulgarellaL. Hargrove

B. Hill 5.90

1.80

1.400.30

0.70

04t29119 B. DeGweck

04t29t19 B. DeGweck

0.30

2.00

2.70

0.4012.00

0.20

o.20

0.100.301.20

1.00

0.10

0.10

0,20o.202.10


10605-0395VC Macon, GA - USE 24131-0004

Date Timekeeper04129119 K. Bushby

04129119 K. Bushby

Hours1.90

3.10

0.302.30

0.700.400.400.400.300.200.70

0.50

1.20

0.80

1.10

2.50

May 10,2019Page 16

NarrativeResearch in connection with opposition to motion for class-wide proof of claim.Reviewed and revised opposition to motion for class-wideproof of claim.Review final response letter to DOJDiscuss DOJ, DOE, credit cards, Kaplan and other issueswith J. BanterStrategize response to credit card processorDraft response to PAGA Rule 23 requestReview various communications from insurance brokersExchange emails with A. LaceyReview draft DOJ letterAttention to receipt of claim not mailed to Omni.Review communications with Bancard dispute and attentionto motion to compelturnover.Correspondence with expert Jennifer Ligon regardingdeclaration to submit in response to Deborah Santos andPamela Miller's Motion to Apply FRCP to Proof of Claim.suggested revisions to response to Class Claimant's motionfor application of Rule 23 to proof of claimCorrespondence with L.Hargrove and K.Bushby regardingPAGA strategy for opposition to POC.Reviewed updates to class-based proof of claims oppositionand began analyzing revisions to the same.Edit and revise brief based on comments regarding Rule 26Paga claim.Review Jenny Ligon declaration from B.Hill.Review final edits to Opposition to Rule 23 motion.Correspondence with storage unit owner in Palm Springs.Communication with J. Banter.Revised class-based proof of claims opposition.Emails with receiver team regarding partial resolution ofBancard dispute.Emails T. Cleveland and J. Banter regarding refund checkTelephone call with J. Banter regarding credit cardprocessor, Kaplan, DOJ and other strategy issues; reviewemails with credit card processor; review Rule 23 PAGAproof of claim

04t29t1904t29t19

04t29t1904t29t1904t29t1904t29t1904129t1904t29t1904t29t19

04t29t19 B. Hiil

04t30t19

04t30t19

04t30t19

04t30t19

04t30t1904t30t1904t30t19

04t30t1904t30t19

04t30t't904t30t19

L. JuarezT. Cleveland

levelandlevelandlevelandlevelandlevelandurphreeurphree

L. Hargrove

B. DeGweck

K. Bushby

B. DeGweck


K. BushbyJ. Murphree

L. JuarezT. Cleveland

T.CT.CT.CT.CT.CJ.MJ.M

0.300.300.30

1.500.30

0.205.00

Total

Summarv bv Timekeeper

TimekeeperL. BainsJ. BakerE. BeaubeW. BulgarellaK. BushbyT. ClevelandB. DeGweckJ. EverestL. HargroveB. HiilL. JuarezJ. MurphreeE. Parrott

PositionI nformation Technology ConsultantShareholderShareholderAssociateOf CounselShareholderShareholderShareholderShareholderAssociateParalegalShareholderAssociate

471.90

Hours1.600.900.40

37,7016.60

106.8064.400.604.50

30.4021.70

102,205.10

Rate Billed360.00375.00375.00200.00375.00375.00375.00375.00375.00200.00125.00375.00200.00

Fees Billed576.00337.50150.00

7,540.006,225.00

40,050.0024,150.00

225.001,687.506,080.002,712.50

38,325.001,020.00


10605-0395VC Macon, GA - USE 24131-0004

Summarv bv Timekeeper

TimekeeperC. PereydaJ. PickleW. SmithR. Thompson

PositionOf CounselAssociateShareholderShareholderTotal all timekeepers

Summary of Disbursements & ExpensesScan to File

03/18/19 MERCHANT: Cleveland, Tres's , Date: 311812019 -Mileage for travel to/from Macon, GA for hearing

03/18/19 MERCHANT: Macon Marriott City Center, Date:311812019 hotel in Macon, GA for hearing

03118119 MERCHANT: Downtown Grill, Date: 311812019dinner with T. Cleveland and L. Murphree in Macon,GA for hearing

03119119 MERCHANT: Downtown Grill, Date: 311912019dinner in Macon, GA for hearing with T. Cleveland, L.

Murphree, and James Banter03120119 MERCHANT: Pilot, Dale:312012019 lunch during trip

to Macon, GA for hearing03126119 VENDOR: United States Patent and Trademark

Office; INVOICE#: 4309016; DATE: 312612019 -Combined Declaration of Use and lncontestabilityUnder Sections 8 and 15

03129119 VENDOR: United States Patent and TrademarkOffice; INVOICE#: 4309144; DATE: 312912019 -Combined Declaration of Use and lncontestabilityunderSectionsS&15

04103119 MERCHANT: The Ritz-Carlton, Date:41312019 -Travel to/from Macon, GA for Auction


04103119 MERCHANT: Murphree, J. Leland's, Date: 41312019- Mileage for Travel to/from Macon, GA for Auction

04103119 MERCHANT: Cleveland, Tres's , Date: 41312019 -Mileage for travel to/from Macon, GA for NECB SaleAuction

04103119 MERCHANT: Ritz Carlton, Date: 41312019 hotel inGeorgia for NECB Sale Auction

04103119 MERCHANT: Jasmine Chinese Cuisine, Date:41312019lunch during NECB Sale Auction

04103119 MERCHANT: Pacific Rim Bistro, Date:41312019dinner with L. Muphree during NECB Sale Auction

04104119 MERCHANT: The Ritz-Carlton, Dale:41412019 -Travel to/from Macon, GA for Auction



04104119 MERCHANT: ChickJil-A, Date: 41412019 - Travelto/from Macon, GA for Auction

O4lO4l19 MERCHANT: Marriott Macon City Center, Date:41412019 hotel during NECB Sale Auction

04104119 MERCHANT: Marriott Macon City Center, Date:41412019 hotel for Leland Murphree during NECB

May 10,2019Page l7

Hours49.8023.60

2.203.40

471.90

(28 at $0.10)

Rate Billed375.00200.00375.00375.00

Fees Billed18,675.004,720.00

82s.005.00

154,573.50

2.80288.26

474.67

94.90

186.06

10.68

325.00

425.00

248.15

45.00

266.80

288.84

293.15

34.96

112.74

33.91

14.95

27.91

5.55

366.26

357.26


10605-0395VC Macon, GA - USE 24131-0004

04t04t19

04t04t19

04t05t19

o4tost19

04t08t19

04t08t19

04t08t19

04t09t19

04t09t19

04t10t19

04t10t19

04t11t19

Sale AuctionMERCHANT: Subway, Date:41412019 lunch duringNECB Sale AuctionMERCHANT: Uber, Dale:41412019 Uber to dinnerduring NECB Sale AuctionMERCHANT: Marriott Macon City Center, Date:41512019 - Travel to/from Macon, GA for AuctionMERCHANT: Subway, Date:41512019 lunch duringNECB Sale AuctionMERCHANT: Cleveland, Tres's , Date: 41812019 -Mileage for travel to/from Macon, GA for NECB salehearingMERCHANT: TownePlace Suites, Date: 41812019hotel in Macon, GA for NECB sale hearingMERCHANT: AMlCl, Dale:41812019 lunch withJames Banter during NECB sale hearingMERCHANT: Springhill Suites, Dale: 41912019 hotelin Macon, GA for NECB sale hearingMERCHANT: Bonefish Grill, Date: 41912019 dinnerwith James Banter during NECB sale hearingMERCHANT: Towneplace Suites, Date: 411012019hotel in Macon, GA for NECB sale hearingMERCHANT: Bearfoot Tavern, Date: 41 1012019dinner with James Banter during NECB sale hearingMERCHANT: Jason's Deli, Date: 4l1112019lunch inMacon, GA for NECB sale hearing

Total for disbursements and expenses

Total for selices, disbursements and expenses

May 10,2019Page 18

12.51

20.28

19.12

8.99

300.44

194.24

35.68

215.90

97.82

249.54

85.62

11.31

$5,154.30

$159,727.80


1060s-0395VC Macon, GA - USE 24131-0004

lnvoice1112522

Date05t10t19

Payments(0.00)

May 10,2019Page 19

Total159,727.80

ACCOUNT SUMMARY

OUTSTANDING INVOICES AS OF O5/10/19

Fees Disbursements154,573.50 5,154.30

Total Due 154,573.50 5,154.30 (0.00) 159,727.80

ACCOUNT AGING

0 - 30 Days

31 - 60 Days

61 - 90 Days

91 - 120 Days

Over 120 Days

$159,727.80

$0.00

$0.00

$0.00

$0.00


10605-039sVC Macon, GA - USE 24131-0004

May 10,2019Page20

MAYNAFItr'C(fCf FsER C,A,LE

lnvoice date:

lnvoice number:

Client name:

Matter number:

Totalservices billed this invoice

Total disbursements billed this invoice

TOTAL DUE THIS INVOICE

STATEMENT

05t10t19

1112522

Education Corporation of America

1 0605-0395

$154,573.50

$5,154.30

$159,727.80

TERMS: PAYMENT DUE UPON RECEIPTPLEASE RETURN THIS PAGE WITH YOUR REMITTANCE


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