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The Court entered an Interim Dismissal Order authorizing the Guardian debtors’ Chapter 11 wind-down and setting the conditions for a later final dismissal order. The debtors may pay ordinary-course administrative claims and the specified DHS payment, and may pay up to $125,000 of projected operating expenses.
The order requires final fee applications by August 4, objections by August 18 or seven days before the applicable hearing, and a September 1 fee hearing if needed. Professionals and Eisner must also submit September 11 supplemental statements for gap-period fees; the debtors cannot seek final dismissal until they certify payment of U.S. Trustee fees, administrative claims and DHS, completed operating reports, and final approval and payment of professional fees. The case is therefore in a controlled dismissal phase, with remaining cash and professional-fee resolution determining the timing of final closure.
The court granted the debtors’ dismissal motion but made dismissal effective only upon entry of a subsequent final dismissal order. Under the interim dismissal order, that final order will follow a certification confirming payment of U.S. Trustee quarterly fees, ordinary-course administrative claims and the DHS payment; completion of monthly operating reports; resolution of supplemental fee objections; and final approval and agreed payment of professional fees. The debtors may also pay up to $125,000 of projected operating expenses.
Professionals must file final fee applications by August 4, 2026, covering work through July 31 and estimating fees through September 11. Objections are due August 18 or seven days before the applicable hearing, whichever is later, with a September 1 hearing reserved for contested applications and September 11 supplements required for actual gap-period fees. The framework puts the cases on a defined exit track, while making payment of administrative and professional obligations the principal remaining condition to dismissal.
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