RESPONSE

TO MOTION FOR RELIEF FROM AUTOMATIC STAY TO PROCEED IN UNDERLYING

LITIGATION – PAGE 1

Gerrit M. Pronske

State Bar No. 16351640

Vickie L. Driver

Texas Bar No. 24026886

Christina W. Stephenson

State Bar No. 24049535

PRONSKE & PATEL, P.C.

2200 Ross Avenue, Suite 5350

Dallas, Texas 75201

(214) 658-6500 – Telephone

(214) 658-6509 – Telecopier

Email: gpronske@pronskepatel.com

Email: vdriver@pronskepatel.com

Email: cstephenson@pronskepatel.com

COUNSEL FOR JEFFREY BARON

IN THE UNITED STATES BANKRUPTCY COURT

FOR THE NORTHERN DISTRICT OF TEXAS

DALLAS DIVISION

In re: §

ONDOVA LIMITED COMPANY, § CASE NO. 09-34784-SGJ-11

Debtor. § Chapter 11

RESPONSE TO MOTION FOR RELIEF FROM AUTOMATIC

STAY TO PROCEED IN UNDERLYING LITIGATION

TO THE HONORABLE STACEY G. C. JERNIGAN,

UNITED STATES BANKRUPTCY JUDGE:

Jeffrey Baron (“Baron”), a creditor in this case, hereby files this his Response to Motion

for Relief from Automatic Stay to Proceed in Underlying Litigation (“Response”) filed on October

12, 2009 by Manila Industries, Inc. and Netsphere, Inc. (collectively, the “Netsphere Parties”) and

in support thereof, respectfully represent as follows:

I. RESPONSE

Paragraphs 1 through 17 of this Response reply to the paragraphs of the Motion for Relief

from Automatic Stay to Proceed in Underlying Litigation ("Stay Motion") bearing the same

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number.

1. Baron admits the allegations contained in Paragraph 1 of the Stay Motion.

2. Baron denies the allegations contained in Paragraph 2 of the Stay Motion. Baron

further denies that the settlement agreement referenced in Paragraph 2 is enforceable.

3. Baron denies the allegations contained in Paragraph 3 of the Stay Motion.

4. Baron denies the allegations contained in Paragraph 4 of the Stay Motion, except

for the existence of contentious litigation. The Netsphere Parties failed to carry out the terms of

the Settlement Agreement.

5. Baron denies the allegations contained in Paragraph 5 of the Stay Motion.

6. Baron denies the allegations contained in Paragraph 6 of the Stay Motion.

7. Baron admits that the Debtor filed its voluntary petition under Chapter 11 of the

Bankruptcy Code in the Northern District of Texas, Dallas Division on or about July 27, 2009.

8. Baron denies the allegations contained in the first sentence of Paragraph 8 of the

Stay Motion. Baron admits the allegation that the Netsphere Parties have filed an objection to a

motion filed by the Debtor. Baron admits that Debtor’s bankruptcy counsel filed an emergency

motion to continue the hearing. Baron denies the allegations contained within the remainder of

Paragraph 8 of the Stay Motion.

9. Baron admits the allegations contained in Paragraph 9 of the Stay Motion.

10. Baron is without sufficient information to admit or deny the content of his

testimony as allegedly summarized in Paragraph 10 of the Stay Motion.

11. Baron admits the allegations contained in Paragraph 11 of the Stay Motion.

12. Baron admits the allegations contained within the first sentence of Paragraph 12

of the Stay Motion. Baron is without information to admit or deny the allegations contained

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within the second and third sentence of Paragraph 12 of the Stay Motion. Baron admits that

Judge Ferguson stated that he may appoint a receiver in the case, but denies the remainder of the

allegations contained within the fourth sentence of Paragraph 12 of the Stay Motion.

13. Baron admits the allegations contained within the first sentence of Paragraph 13

of the Stay Motion. Baron admits that he properly invoked his Fifth Amendment rights at the

September 11, 2009 hearing.

14. Baron admits that Daniel J. Sherman was appointed as Chapter 11 Trustee, but

denies the remainder of the allegations in Paragraph 14 of the Stay Motion.

15. Baron is without sufficient information to admit or deny the allegations contained

within Paragraph 15 of the Stay Motion.

16. Baron denies the allegations contained within Paragraph 16 of the Stay Motion.

17. Baron admits the allegations contained within Paragraph 17 of the Stay Motion.

II. RELIEF REQUESTED

18. The balance of the contentions in the Stay Motion are legal contentions which

Baron need not admit or deny. To the extent the remainder of the Stay Motion contains any

factual allegations, Baron denies that there is cause to lift the stay to allow the District Court

litigation to be pursued in its entirety to conclusion.

19. Additionally, Baron submits that the automatic stay should be lifted for the

purpose of allowing Mr. Peter Vogel to be paid out of the trust account of Friedman & Feiger,

LLP as ordered by Judge Ferguson of the Federal District Court. Baron does not agree that the

stay should be lifted to allow payment to be made to Equivalent Data.

III. CONCLUSION

20. Movant has failed to sufficiently plead or prove “cause” as a basis for lifting the

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stay under 362(d)(1). Moreover, the Stay Motion fails to show how the Property is not necessary

to the Debtor’s reorganization. Accordingly, it has failed to carry its burden under 362(d)(2) as

well. Therefore, Movant is not entitled to relief from the stay.

WHEREFORE PREMISES CONSIDERED, Baron respectfully requests this

Court deny the Stay Motion and grant Baron such other and further relief whether in law or

equity, to which Baron is entitled.

Dated: October 27, 2009 Respectfully submitted

By: /s/ Gerrit M. Pronske____

Gerrit M. Pronske

Texas Bar No. 16351640

Vickie L. Driver

Texas Bar No. 24026886

Christina W. Stephenson

Texas Bar No. 24049535

PRONSKE & PATEL, P.C.

2200 Ross Avenue, Suite 5350

Dallas, Texas 75201

Telephone: 214.658.6500

Facsimile: 214.658.6509

Email: gpronske@pronskepatel.com

Email: vdriver@pronskepatel.com

Email: cstephenson@pronskepatel.com

COUNSEL FOR JEFFREY BARON

CERTIFICATE OF SERVICE

I, the undersigned, hereby certify that on October 27, 2009 I caused to be served the

foregoing pleading upon all parties registered to receive electronic notice via the Court’s

electronic transmission facilities.

/s/ _Gerrit M. Pronske______

Gerrit M. Pronske

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