Light Energy Installers, LLC et al, Plaintiffsv.Kyocera International, Inc., Kyocera Solar, Inc., Defendants
DECISION AND ORDERI. INTRODUCTION In May 2015 and August 2015, Plaintiffs New York Light Energy, LLC, Light Energy Administrative Services, LLC, Light Energy Partners Group, LP, U.S. Light Energy, LLC, Light Energy Installers, and Light Energy Management II, LLC (collectively, the “Light Entities”) filed petitions for relief under Chapter 11 of Title 11 of the United States Code (“Bankruptcy Code”) in the Bankruptcy Court for the Northern District of New York. See Dkt. No. 1 at 11. On November 11, 2015, the Light Entities initiated an adversary proceeding by filing a complaint against Defendants Kyocera International, Inc. and Kyocera Solar, Inc. (collectively “Kyocera”). See id. On January 22, 2016, Kyocera filed an answer and counterclaims and on March 24, 2016, Kyocera filed amended counterclaims against the Light Entities. See id. at 11-12. On April 28, 2016, Kyocera filed a motion to withdraw the reference of the adversary proceeding to this Court. See id. at 1. While the Light Entities initially opposed withdrawal, see Dkt. No. 3, on December 12, 2017, the administrators for the Light Entities withdrew their opposition to Kyocera’s motion to withdraw the reference, see Dkt. No. 8.Currently before the Court is Kyocera’s motion to withdraw the reference. For the following reasons, the motion is denied.II. BACKGROUNDBeginning in 2013, Kyocera and the Light Entities entered into business in order to take advantage of federal solar panel tax credits. Light Energy Installers, LLC v.Kyocera Int’l, Inc. (In re N.Y. Light Energy, LLC), No. 15-11121, Dkt. No. 1 at 27 (Bankr. N.D.N.Y. Nov. 11, 2015). Plaintiff Light Energy Management II, LLC (“LEM II”) created Light Energy Fund II, LLC (“Fund II”).1 See id. at 28. Fund II owned 97.5 percent of NKJV I, LLC (“NKJV”), a New York limited liability company, and LEM II owned the remaining 2.5 percent of NKJV. See id. at 34. On October 14, 2013, Kyocera International, Inc. (“KII”) purchased 99 percent of Fund II’s membership for $15,369,000. See id. at
