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JUDITH A. DESCALSO Cal. Bar No. 103211 

LAW OFFICE OF JUDITH A. DESCALSO 

960 Canterbury Pl., Ste. 340 

Escondido, CA 92025 

Phone: (760) 745-8380 

Email: jad@jdescalso.com 

Attorneys for Creditor 

CM DISTRIBUTORS, INC. 

UNITED STATES BANKRUPTCY COURT 

NORTHERN DISTRICT OF CALIFORNIA 

SAN FRANCISCO DIVISION 

In re: ) Case No. 19-30088 (DM) 

 ) 

 ) 

PG&E CORPORATION ) Chapter 11 

- and - ) (Lead Case) 

PACIFIC GAS AND ELECTRIC ) (Jointly Administered) 

COMPANY, ) 

 ) NOTICE OF DEMAND FOR 

 Debtors. ) RECLAMATION PURSUANT 

_______________________________) TO 11 U.S.C. §546(c) BY 

 Affects PG&E Corporation ) CM DISTRIBUTORS, INC. 

 Affects Pacific Gas and Electric ) 

 Company ) 

 Affects both Debtors )

 ) 

*All papers shall be filed in the Lead Case, )

No. 19-30088 (DM) ) 

_______________________________) 

 

 PLEASE TAKE NOTICE that CM Distributors, Inc. (“CM”), sold goods to 

the Debtor in the ordinary course of business and received by the Debtor during the 

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 45 days prior to the commencement of the Debtor’s Chapter 11 case. CM 

demanded that the Debtor immediately surrender the Goods to CM. Attached 

hereto as Exhibit “A” is a list of the goods sold and the dates they were received by 

the Debtor (the “Goods”). Pending the prompt return of the Goods, CM demands 

that the Debtor protect and segregate the Goods and refrain from selling, using or 

disposing of the Goods pursuant to 11 USC §361 and 363(c). 

 PLEASE TAKE FURTHER NOTICE that CM reserves all of its rights with 

respect to the Goods, including without limitation (i) its right to be paid in the 

ordinary course of business as a post-petition creditor of the Debtor to the extent 

that the Goods were delivered to the Debtor on or after the Petition Date; (ii) its 

right to assert a 20-day administrative priority claim pursuant to 11 USC 

§503(b)(9); (iii) its right to assert a “new value” defense to any preference demand 

pursuant to 11 USC 547(c)(4); (iv) its right to demand payment of any portion of 

these invoices as a “cure” payment in connection with the Debtor’s assumption of 

any executory contract between CM and the Debtor, if any, pursuant to 11 USC 

§365; (v) its right to seek payment of its pre-petition invoices from any non-debtor 

parties that are co-obligors; (vi) its right to amend, correct, supplement or modify 

the Reclamation Demand (including filing additional evidence in support thereof) 

or to file additional demands or claims, including without limitation, a proof of 

claim in the Debtor’s chapter 11 case and all other claims at law or in equity; (vii) 

its right to setoff or recoupment; and (viii) its right to assert any other rights under 

applicable law. 

 PLEASE TAKE FURTHER NOTICE that the filing of this Notice is not 

intended to constitute an election of remedies or to waive any of CM’s rights under 

the Bankruptcy Code or any applicable non-bankruptcy law. By filing the Notice 

of Demand for Reclamation, CM does not consent to the entry of final orders by 

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the bankruptcy court on non-core issues and claims and does not waive any 

jurisdictional defenses. 

Dated: May 2, 2019 LAW OFFICE OF JUDITH A. DESCALSO 

 By: /s/ Judith A. Descalso

 Judith A. Descalso 

 Attorneys for CM Distributors, Inc. 

 

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