IN RE METROPOLITAN MORTGAGE SECURITIES CO., INC. (Bankr.E.D.Wash. 2004)

PATRICIA WILLIAMS, Chief Judge, Bankruptcy

THIS MATTER having come before the court on the Debtor's Omnibus Motion to Permit Sales and Foreclosures in the Ordinary Court of Business (the "Motion"), the Court having reviewed the Motion and the Declarations filed in support thereof, Metropolitan's Official Unsecured Creditors' Committee ("OUCC") filed a limited objection and the creditors' committee for Summit Securities, Co, Inc. joined in that objection, and the parties have resolved those objections and the parties submit this order as an agreed order; the Court finding that Debtor in the ordinary course of its business services loans and that such servicing necessarily involves the sale of real property and/or the foreclosure of interests in real property, that the adjustment of such loans occurs in the ordinary course of the Debtors' business, and that requiring the Debtors to move for approval by the Court of such real estate sales or foreclosure on real estate interests which do not exceed $500,000.00 in gross value of the property or loan, would unnecessarily hinder the Debtors' business operations, would interfere with the efficient operation of the Debtors' business, would waste estate resources and would not prejudice the interest of the creditors, and otherwise finding that good cause exists to grant the Motion, now, therefore,

IT IS HEREBY ORDERED

1. The Motion is granted but the provision regarding notice of sale of property and notice of write down of loans to the counsel for the creditors' committees is stricken.

2. The Debtor may enter into Purchase and Sale Agreements for sales of its owned or recovered real estate with a gross value of $500,000.00 or less (the "REO") in the ordinary course of business without further Court order.

3. The Debtor is authorized to close already pending sales of its REO without further Court order. The Debtor may close any sale for which notice was given without additional notice unless there have been material changes to the terms of the sale prior to closing.

4. In connection with sales of its REO, the Debtor will be authorized to hire real estate agents and brokers, enter into listing agreements, hire appraisers and other real estate consultants (collectively, the "Real Estate Professionals"), and pay the fees and costs of such Real Estate Professionals at closing or pursuant to a cash collateral order, all without further Court order. The Debtor will not, however, employ any related party, insider, attorneys or professional without Court order and notice under 11 U.S.C. § 363.

5. The Debtor is authorized to foreclose any of its loans in the ordinary course of business without notice to the OUCC.

6. The Debtor may adjust, write down, or compromise loans in its loan portfolio without further court order and without notice to OUCC.

7. If necessary to facilitate the closing of any sale of real property in the ordinary course of business as contemplated by this Order, the Debtor may present an order, ex parte, approving the sale free and clear of all liens.