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FILED

DALLAS COUNTY
11/29/2018 5:03 PM
FELICIA PITRE
DISTRICT CLERK

Shirley Montgomery
NO. DC-17-00183

ORIGIN RELEASING, L.L.C., § IN THE DISTRICT COURT


§
Plaintiff, §
§
vs. § 116TH JUDICIAL DISTRICT
§
HANNOVER HOUSE, INC., §
§
Defendant. § DALLAS COUNTY, TEXAS

APPLICATION FOR POST JUDGMENT TURNOVER ORDER,


AND APPOINTMENT OF A RECEIVER AND MASTER

TO THE HONORABLE JUDGE OF SAID COURT:

I.

Parties. Applicant ORIGIN RELEASING, L.L.C. (“Plaintiff” and

“Judgment Creditor”) in this cause, seeks the appointment of a Receiver and

turnover of the non-exempt property of judgment defendant, HANNOVER HOUSE,

INC., (“Defendant” or “Judgment Debtor”), pursuant to Sec. 31.002 of the Texas

Civil Practices and Remedies Code (the “Statute”), and appointment of a Master

pursuant to Rule 171, Texas Rules of Civil Procedure (the “Rule”).

II.

Certificate of Service. Copies of the application for turnover and proposed

order, are being served on the Defendant HANNOVER HOUSE, INC. by certified
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AND APPOINTMENT OF A RECEIVER AND MASTER
and first-class mail, at 300 N. College Avenue, Suite 311, Fayetteville, Arkansas

72701 on November 28, 2018, along with a copy to their attorney of record.

III.

Judgment. Plaintiff recovered judgement (the “Judgment”) against Defendant

on October 15, 2018, in the 116th Judicial District Court of Dallas County, Texas

for the sums of: (i) $600,855.48; (ii) $102,051.56 for Plaintiff’s attorney’s fees for

representation through trial; (iii) $25,000.00 for representation through the Supreme

Court of Texas in the event of an unsuccessful appeal; and (v) pre-judgment interest

of $103,542.61 and post-judgment interest at eighteen percent (18%) per annum on

all amounts until fully and finally paid. The judgment remains unsatisfied.

IV.

Property. Applicant has good faith reasons to believe that respondent owns

non-exempt rights to present or future property that cannot be attached or levied

upon by ordinary legal process. The property made the basis of this application is

not readily attachable by ordinary legal process. This property is not exempt under

any statute from attachment, execution, or seizure for the satisfaction of liabilities.

V.

Receiver. Applicant requests the appointment of a Receiver with the powers

granted in the statute and the attached order, and that the Judgment Debtor be ordered

to turn over to the Receiver all non-exempt property. Applicant believes that the
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AND APPOINTMENT OF A RECEIVER AND MASTER
Judgment Debtor owns or has rights to non-exempt personal property and/or real

property, but applicant needs the assistance of a Receiver and master to discover,

seize, administer, and sell the assets. The statute authorizes applicant to recover its

reasonable attorneys’ fees for preparing and urging this application.

VI.

Master in Chancery is needed. The appointment of a master is justified to aid

the Court in the performance of specific duties which a sitting court cannot

undertake, like “running” writs, levying on property, traveling throughout the state

to locate and inspect assets, delivering the property to sales lots, and advertising for

and locating prospective buyers, among other tasks. A master will conserve the

resources of the Court on routine post judgment matters, including locating and

liquidating property. Since the Court cannot order a witness to travel more than 150

miles, a master is needed to travel to interview witnesses.

A master is able to immediately issue orders, rather than incurring the delays

required for the opportunity to be heard in open court. Otherwise, property,

evidence, and witnesses can easily disappear before the hearing date. Plaintiff

requests that the Receiver be appointed Master in Chancery, to have the broadest

powers allowed by the rules. This is exceptional case due to its complexity and the

intensity needed to enforce the judgment. Good cause exists to appoint a master.

The master appointed should be familiar with post judgment enforcement.


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AND APPOINTMENT OF A RECEIVER AND MASTER
Appointment of a master will result in the need for fewer hearings, lower

attorneys’ fees, and protect the economic interests of both the debtor and creditor.

The master’s fees will be included in the Receiver’s fees, so no extra cost will be

incurred, and the master’s report will be useful to the Court.

VII.

Injunction. Plaintiff moves that Judgment Debtor be enjoined from

encumbering or transferring property to anyone, but the Receiver and that Judgment

Debtor be enjoined from concealing property, including through the use of third

parties, relatives, companies, trusts, agents, attorneys, pseudonyms or assumed

names. The Receiver’s bond should also serve as the bond for injunction.

VIII.

Compensation to Receiver. Receiver may pay himself fees not less than 25

percent of all proceeds coming into his possession (before deducting out of pocket

costs), which the Court finds to be a fair, reasonable, and necessary fee, and

distribute all remaining proceeds to plaintiff’s attorney in trust for the benefit of

plaintiff (not to exceed the total payoff of the judgment), without any further order.

If Receiver must pay a prior lien, Receiver shall receive his fee on the portion

recovered for the benefit of the lien holder, as the payment benefits the Plaintiff and

advances collection of the judgment. Receiver’s fees in excess of 25 percent of the

judgment may be awarded after application and a separate order. If the Defendants
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AND APPOINTMENT OF A RECEIVER AND MASTER
file bankruptcy, the Receiver/master’s fee shall be equal to 25 percent of the debt

owed at the time the bankruptcy is filed. The Receiver’s fees and costs are taxable

court costs.

IX.

Bond. Being a post-judgment matter, Plaintiff moves that a nominal bond for

the Receiver be required, which may be in cash, or that bond be waived.

X.

Attorneys’ Fees. Plaintiff has been required to employ counsel to file this

application and is entitled to recover reasonable and necessary attorney fees under

Tex. Civ. Prac. & Rem. Code Section 31.002(e).

PRAYER

WHEREFORE, PREMISES CONSIDERED, Plaintiff requests an order

granting this Application, and ordering:

a. That a Receiver and Master be appointed, and the Receiver’s bond be


set.

b. That Judgment Debtor be ordered to deliver all non-exempt property,

with necessary documents, properly endorsed for transfer to the Receiver.

c. That after ten days the property be liquidated by the Receiver or

Receiver’s agent, and that the proceeds and all the cash on hand be delivered to

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AND APPOINTMENT OF A RECEIVER AND MASTER
Plaintiff, after offset of the Receiver’s fee and costs, in reduction of the judgment

and all amounts awarded since judgment.

d. That Plaintiff have judgment against Defendant for all costs incurred,

including reasonable attorneys’ and Receiver’s fees.

e. That Defendant and third party be enjoined from concealing or

transferring any property until the Receivership is closed and the judgment paid.

f. Applicant prays that the Court grant all appropriate relief, at law or in
equity.

Respectfully submitted,

SHEILS WINNUBST
A Professional Corporation

By: /s/ Latrice E. Andrews


Latrice E. Andrews
State Bar No. 24063984
Kimberly Quirk
State Bar No. 24104776

1701 N. Collins Boulevard


Suite 1100
Richardson, Texas 75080
Telephone: (972) 644-8181
Facsimile: (972) 644-8180
Email: latrice@sheilswinnubst.com
Email: kimberly@sheilswinnubst.com

ATTORNEYS FOR PLAINTIFF

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AND APPOINTMENT OF A RECEIVER AND MASTER
CERTIFICATE OF SERVICE

I hereby certify that a true and correct copy of the above and foregoing was
served upon counsel for Defendant, James B. Carroll, III, via electronic service on
this 29th day of November, 2018.

/s/ Latrice Andrews


Latrice E. Andrews

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AND APPOINTMENT OF A RECEIVER AND MASTER