Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_08-cv-03074/USCOURTS-caed-2_08-cv-03074-12/pdf.json

Nature of Suit Code: 410
Nature of Suit: Antitrust
Cause of Action: 15:1 Antitrust Litigation

---

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

 

 

 

 

STIPULATION AND ORDER - 1 - CASE NO. 08-CV-3074 

Michael P. Lehmann 

Arthur N. Bailey, Jr. 

HAUSFELD LLP

600 Montgomer Street, Suite 3200 

San Francisco, CA 94111 

Telephone: (415) 633-1908 

Facsimile: (415) 358-49800 

mlehmann@hausfeldllp.com

abailey@hausfeldllp.com

Class Counsel 

[Additional counsel on signature page] 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA, SACRAMENTO DIVISION 

DIVERSIFIED FOODS AND SEASONING, 

INC., on behalf of itself and all others similarly 

situated, 

Plaintiffs, 

v. 

SK FOODS, L.P., INGOMAR PACKING 

COMPANY, LOS GATOS TOMATO 

PRODUCTS, SCOTT SALYER, STUART 

WOOLF and GREG PRUETT, 

Defendants. 

Case No. 08-cv-03074 KJM EFB 

STIPULATION AND ORDER TO 

CONTINUE STATUS CONFERENCE

Date: March 5, 2020 

Time: 2:30 p.m. 

Place: Courtroom 3 

Judge: Hon. Kimberly J. Mueller 

 WHEREAS, on September 16, 2014, the United States Bankruptcy Court for the Eastern 

District of California entered an order confirming the "Second Amended Joint Plan of Liquidation 

of SK Foods, LP and its Substantively Consolidated Affiliates (July 16, 2014)" [Dkt. No. 4980] 

(the "SK Foods Bankruptcy Plan") in the Chapter 11 bankruptcy action filed by Defendant SK 

Foods, L.P. (Case No. 09-29162-D-11); and 

 WHEREAS, Class counsel has informed undersigned counsel for Scott Salyer of the 

following facts relating to SK Foods bankruptcy proceedings; and 

Case 2:08-cv-03074-KJM-JDP Document 124 Filed 03/02/20 Page 1 of 5
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

 

 

STIPULATION AND ORDER - 2 - CASE NO. 08-CV-3074 

WEREAS, all funds from the Class settlements with Ingomar Packing Company, Los 

Gatos Tomato Products, Stuart Woolf and Greg Pruett have been paid and distributed to the Class 

and Final Judgment has been entered as to these Defendants in the consolidated cases Four in 

One Company v. SF Foods, LP, et al. (Case No. 2:08-cv-03017-KJM-EFB), Diversified Foods 

and Seasoning, Inc. v. SK Foods, et al. (Case No. 2:08-cv-03074 KJM-EFB), Bruce Foods 

Corporation v. SK Foods, LP, et al. (Case No. 2:09-cv-00027-KJM-EFB), and Cliffstar 

Corporation v. SK Foods, LP, et al. (Case No. 2:09-cv-00442-KJM-EFB) (the “Consolidated 

Cases”); and 

WHEREAS a portion of the funds previously recovered through the SK Foods bankruptcy 

action have been paid and distributed to the Class in the Consolidated Cases, and the only 

potential source of further distributions to the Class are additional funds recovered pursuant to the 

SK Foods Bankruptcy Plan in the bankruptcy action; and 

WHEREAS, Defendant SK Foods had affiliated companies in Australia, including SK 

Foods Australia Pty Ltd., (“SKFA”) which were liquidated; and the liquidators of SKFA did not 

follow proper procedures in paying themselves approximately five million seven hundred 

thousand Australian dollars (“AUD”) from the liquidation thereby requiring the liquidators to file 

an application for approval of remuneration with the Federal Court of Australia; and 

WHEREAS, on February 12, 2019, the Federal Court of Australia issued a ruling on the 

liquidators’ remuneration application providing for a reduction in their allowed compensation, 

and on June 12, 2019, issued an order regarding implementation of the reduction and providing 

that the liquidators will have to refund approximately AUD$1.9 million, plus interest, or around 

AUD$2.7 million; and 

WHEREAS, the Chapter 11 Trustee informed Class Counsel that the liquidators repaid 

AUD$2.7 million to SKFA and affiliated companies, and that ninety (90%) percent of the funds 

refunded by the liquidators (less currency conversion fees) have been paid to the Trustee; and that 

the Trustee was preparing for distribution to unsecured creditors pursuant to the SK Foods 

Bankruptcy Plan, an amount of approximately USD$1.6 million (90% of the AUD$2.7 at the 

estimated exchange rate); and 

Case 2:08-cv-03074-KJM-JDP Document 124 Filed 03/02/20 Page 2 of 5
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

 

 

STIPULATION AND ORDER - 3 - CASE NO. 08-CV-3074 

 WHEREAS, The Chapter 11 Trustee has informed Class Counsel that, in addition to the 

Australian funds, the Trustee was preparing approximately $3.4 million to distribute resulting in 

total distribution of approximately $5 million to the unsecured creditors; and 

WHEREAS, on January 13, 2020, the Chapter 11 Trustee mailed a check to the escrow 

agent of Class Counsel for $306,954.36, an amount representing the second distribution to the 

Class of the Allowed General Unsecured Claim Amount of $10.6 million based on a distribution 

rate of 2.895796%, which was deposited into the escrow account for this case held by Class 

Counsel (the “Escrow Account Funds”); and 

WHEREAS, the Chapter 11 Trusted has informed Class Counsel that as of approximately 

January 16, 2020, the Trustee has made final distributions of bankruptcy funds to unsecured 

creditors and the Class, but anticipates some uncashed checks and returned mail, which under the 

plan and trust agreement the Trustee must wait 90 days for those checks to settle out, after which 

time the Trustee will file a motion to address any unclaimed funds or redistributions, if needed, 

and close the case; and 

WHEREAS, pursuant to the SK Foods Bankruptcy Plan, Class Counsel is in the process 

of arranging for the pro rata distribution of the Escrow Account Funds to Class members in 

accordance with the plan of allocation approved by this Court, subject to the fees awarded to 

Class Counsel by the bankruptcy court; and 

WHEREAS, the claims administrator anticipates the claims distribution process to take up 

to approximately six months to complete, depending on how many uncashed checks remain at the 

initial 90-day void date, and the response the claims administrator receives from outreach to the 

class members with uncashed checks; and 

WHEREAS, the Court has a Status Conference scheduled for March 5, 2020; 

 NOW THEREFORE, the parties hereby stipulate, subject to this Court's approval, that the 

March 5, 2020 status conference be continued until September 10, 2020, or any other date 

convenient for the Court, to address status of the final distributions to the Class and the closing of 

this action. 

Case 2:08-cv-03074-KJM-JDP Document 124 Filed 03/02/20 Page 3 of 5
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

 

 

STIPULATION AND ORDER - 4 - CASE NO. 08-CV-3074 

DATED: February 27, 2020 By: /s/ Arthur N. Bailey, Jr. 

 Michael P. Lehmann

Arthur N. Bailey, Jr. 

HAUSFELD LLP 

600 Montgomery Street, Suite 3200 

San Francisco, CA 94111 

Telephone: (415) 633-1908 

Facsimile: (415) 358-4980 

mlehmann@hausfeldllp.com

abailey@hausfeldllp.com 

DATED: February 27, 2020 By: /s/ Steig Olson (as authorized on 2/27/20)

Stephen R. Neuwirth 

Steig Olson 

QUINN EMANUEL URQUHART & SULLIVAN, 

LLP 

51 Madison Avenue, 22nd Floor 

New York, New York 10010 

Telephone: (212) 849-7000 

Facsimile: (212) 849-7100 

stephenneuwirth@quinnemanuel.com

steigolson@quinnemanuel.com

Class Counsel

DATED: February 27, 2020 By: /s/ Malcolm Segal (as authorized on 2/26/20)

 Malcolm Segal 

SEGAL & ASSOCIATES LLP 

400 Capitol Mall, Suite 2550 

Sacramento, CA 95814 

Telephone: (916) 446-0886 

msegal@segal-pc.com

Attorneys for Defendant Scott Salyer 

 

DATED: February 27, 2020 By: /s/ Gregory C. Nuti (as authorized on 2/26/20)

Gregory C. Nuti 

Kevin W. Coleman 

NUTI HART LLP 

411 30th Street, Suite 408 

Oakland, CA 94609 

Telephone: (510) 506-7152 

gnuti@nutihart.com

kcoleman@nutihart.com

Attorneys for Bradley D. Sharp, Chapter 11 Trustee for

SK Foods, LP

Case 2:08-cv-03074-KJM-JDP Document 124 Filed 03/02/20 Page 4 of 5
1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

STIPULATION AND ORDER - 5 - CASE NO. 08-CV-03074 

ORDER 

GOOD CAUSE APPEARING THEREFORE, IT IS HEREBY ORDERED: 

The March 5, 2020 status conference shall be continued until September 24, 2020 

to address the status of the distributions to the Class and the closing of this action. 

IT IS SO ORDERED. 

DATED: February 28, 2020. 

Case 2:08-cv-03074-KJM-JDP Document 124 Filed 03/02/20 Page 5 of 5