META MATERIALS INC. — Entry #2978: Amended Declaration Of: Christina Lovato with Certificate of Service Filed by JEFFREY L HARTMAN on behalf of CHRISTINA W

Case 24-50792-gs       Doc 2978     Entered 09/22/26 16:11:19   Page 1 of 7


 1   Jeffrey L. Hartman, Esq.
     Nevada Bar No. 1607
 2   HARTMAN & HARTMAN
 3   510 W. Plumb Lane, Suite B
     Reno, NV 89509
 4   T: (775) 324-2800
     F: (775) 324-1818
 5   notices@bankruptcyreno.com
 6   Attorney for Christina Lovato, Trustee

 7                            UNITED STATES BANKRUPTCY COURT
 8                                      DISTRICT OF NEVADA
 9   In re                                          Case No.: 24-50792-gs
                                                    (Chapter 7)
10   META MATERIALS INC.,
11              Debtor.                             AMENDED DECLARATION OF
                                                    CHRISTINA LOVATO IN SUPPORT OF
12                                                  MOTION FOR ORDER AUTHORIZING
                                                    SALE AND ASSIGNMENT OF
13                                                  LITIGATION CLAIMS
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15                                                  Hearing Date: October 13, 2026
                                                    Hearing Time: 1:30 p.m.
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18   SEE ATTACHED
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 1 Jeffrey L. Hartman, Esq. – NSB #1607                  Kent R. Robison, Esq. – NSB #1167
   HARTMAN & HARTMAN                                     ROBISON LAW GROUP
 2 510 W. Plumb Lane, Suite B                            71 Washington Street
                                                         Reno, Nevada 89503
 3 Reno, Nevada 89509                                    T: (775) 329-3151
   T: (775) 324-2800                                     krobison@robison-law.com
 4 F: (775) 324-1818
   notices@bankruptcyreno.com
 5
                                                         Clayton P. Brust, Esq. – NSB #5234
 6                                                       Hannah E. Winston, Esq. – NSB #14520
                                                         SBW LAW GROUP
 7                                                       3600 Mayberry Drive
 8                                                       Reno, Nevada 89509
                                                         T: (775) 299-4051
 9                                                       cbrust@sbwlawgroup.com
                                                         hwinston@sbwlawgroup.com
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11 Attorneys for Christina W. Lovato, Chapter 7 Trustee
12                          UNITED STATES BANKRUPTCY COURT

13                                         DISTRICT OF NEVADA

14   In re                                               Case No.: 24-50792-gs
                                                         (Chapter 7)
15   META MATERIALS INC.,

16                Debtor.

17   CHRISTINA W. LOVATO,                                Adversary No.: 26-05037-gs
18                Plaintiff,
19   v.                                                  AMENDED DECLARATION OF
                                                         CHRISTINA LOVATO IN SUPPORT OF
20   AUTHENTIX, INC., a Delaware                         MOTION FOR ORDER AUTHORIZING
     corporation; AUTHENTIX SOLUTIONS                    SALE AND ASSIGNMENT OF LITIGATION
21   CANADA, INC., a British Columbia                    CLAIMS
22   corporation; and DOES I-V,
                                                         Hearing Date: October 13, 2026
23                Defendants.                            Hearing Time: 1:30 p.m.
24
25           Christina W. Lovato, under penalty of perjury of the laws of the United States, declares:
26           1.       I am the chapter 7 trustee for the estate of Meta Materials Inc. (“Meta” or “Estate”).
27   [ECF No. 14].
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 1          2.      This Amended Declaration is provided in support of my Motion For Order
 2   Authorizing Sale And Assignment Of Litigation Claims designated as [Adv. Nos: 26-05037
 3   (“Authentix”), and 26-05038 (“24M”)]. The proposed purchaser is BaileyBridge, Inc., a Texas
 4   corporation (“BaileyBridge” or “Purchaser”). The purchase price is $250,000 plus 20% of any net
 5   recovery by the Purchaser after attorneys’ fees and costs.
 6          3.      Meta was a publicly traded company on Nasdaq with operations in Canada,
 7   California and Maryland, as well as in the U.K. and Greece. The Schedules of Assets and
 8   Liabilities disclosed that Meta owned 100% of the equity in nine separate subsidiaries. [ECF No.
 9   5, page 4 of 24].
10          4.      As my administration of the case proceeded, I was able to recover certain insurance
11   premiums and sell tangible items of personal property. In consultation with counsel, I determined
12   that the Estate owned potential significant claims which held the possibility of substantial recovery
13   for creditors and, possibly, equity holders. The potential claims are in two separate categories:
14   claims against securities brokers and dealers for market manipulation, spoofing and naked short
15   selling; and voidable transfer claims under 11 U.S.C. §§ 544, 548, 550, and N.R.S. 112.010 et seq.
16   (“Avoidance Actions”).
17          5.      I sought and obtained approval to employ contingent-fee based litigation counsel
18   to investigate and determine whether there is a factual and legal basis to pursue potential claims of
19   market manipulation, naked short selling and spoofing. On August 7, 2026, I filed a Class Action
20   adversary proceeding as Adv. No. 26-05036 (“Class Action”).
21          6.      I also sought and obtained approval to employ separate litigation counsel, Robison
22   Law Group, and accounting specialists, to investigate and determine whether there is factual and
23   legal support to pursue the Avoidance Actions. 1 This task was complicated due to the inter-
24   relationship between the U.S. and Canadian entities as well as the challenge to locate
25   documentation pertinent to the inquiry. Following a lengthy analysis, which included, among other
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28    For the potential Avoidance Actions, the Trustee engaged Robison Sharp Sullivan & Brust. As of January
     1, 2026, coverage is by and between Robison Law Group and SBW Law Group.


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 1   things, determinations related to solvency, I filed two adversary proceedings:          26-05037
 2   (“Authentix”), and 26-05038 (“24M”).
 3          7.      I received an offer to acquire the Authentix and 24M Avoidance Actions. The
 4   purchaser is BaileyBridge. The terms to acquire Authentix and 24M Avoidance Actions are
 5   $250,000 payable after an Order approving this Motion is final and non-appealable, plus 20% of
 6   net recovery on either or both claims after payment of attorney’s fees and expenses. A copy of the
 7   Assignment of Litigation Claims Agreement (“Assignment”), is attached as Exhibit 1. Notably,
 8   the Agreement includes an indemnity provision at Section 5.3.
 9          8.      BaileyBridge is owned and controlled by Greg McCabe. Mr. McCabe is one of the
10   largest shareholders of MMAT shares. As a result, I believe Mr. McCabe has an incentive to
11   successfully prosecute the Avoidance Actions.
12          9.      On a separate matter, I have entered into a tolling agreement with Mr. McCabe
13   concerning transactions between Mr. McCabe and Meta in 2023, including his acquisition of Meta
14   common stock and his purchase of Meta’s secured lender position in certain Next Bridge
15   Hydrocarbons notes and related collateral (the “McCabe Tolling Agreement”). Separately, and
16   unrelated to those 2023 transactions, the earlier MMTLP spin-off resulted in shares of Next Bridge
17   Holdings going to a certain group of equity claimants in December 2022. In January 2024, McCabe
18   and Meta executed a Board-approved release agreement addressing the stock purchase
19   arrangement. Out of an abundance of caution, I have entered into the McCabe Tolling Agreement
20   to preserve any claims the Estate may hold against Mr. McCabe. I do not believe that the McCabe
21   Tolling Agreement creates a conflict and it is not material to the § 363 analysis.
22          10.     Mr. McCabe has engaged the law firm of Cooper & Levenson to represent
23   BaileyBridge in connection with the proposed acquisition of the Avoidance Actions.
24          11.     In the exercise of my business judgment and in consultation with my professionals,
25   I have concluded that the Assignment has the positive benefit for the Estate of recovering a
26   substantial portion of the investigatory fees and costs incurred in developing a very complex fact
27   scenario. Additionally, BaileyBridge will bear the fees and costs on a going-forward basis,
28   including but not limited to discovery and expert witness fees. In addition, in the event of a


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 1   successful recovery, the Estate will share in 20% of the net recovery in either or both of the
 2   Adversary Actions.
 3          12.     In the event the litigation proceeds to a successful conclusion, I will comply with
 4   F.R.Bankr.P. 9019 for a determination that the resolution is fair and equitable.
 5          13.     I am also requesting the Court make a finding that the sale and assignment to Bailey
 6   Bridge is made in good faith as contemplated by 11 U.S.C. § 363(m). I believe the requirements
 7   for a finding of good faith are satisfied. As noted in ¶ 11, I believe the up-front acquisition price
 8   of $250,000 is fair value. Next, the Agreement includes a potential 20% upside recovery at little
 9   to no expense or risk to the Estate. My counsel, Robison Law Group will assist in the transition
10   of the supporting materials and analysis to Purchaser’s counsel. The transaction was negotiated at
11   arm’s length, with no prior relationship or undisclosed connections between BaileyBridge and me
12   that would suggest self-dealing. Fourth, there is no fraud, no collusion, nor any secret side deals,
13   and finally, the material terms of the Agreement are fully disclosed. Although I believe there is no
14   conflict, I have fully disclosed the existence and pendency of McCabe Tolling Agreement and Mr.
15   McCabe’s relationship to BaileyBridge.
16          DATED: September 22, 2026.
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18                                                 /s/ Christina W. Lovato
                                                   Christina W. Lovato, Trustee/Plaintiff
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 1                                  CERTIFICATE OF SERVICE
 2          I certify that I am an employee of Hartman & Hartman, and that on September 22, 2026, I
 3   caused to be served, the following document(s):
 4                 AMENDED DECLARATION OF CHRISTINA LOVATO IN SUPPORT OF
                   MOTION FOR ORDER AUTHORIZING SALE AND ASSIGNMENT OF
 5                 LITIGATION
 6          I caused to be served the above-named document(s) as indicated below:
 7           a. Via ECF to:
 8      x   MICHAEL R. BRUNET          mbrunet@cooperlevenson.com
 9
        x   CLAYTON BRUST          cbrust@sbwlawgroup.com, iesguerra@rssblaw.com
10
        x   DAVID D. BURNETT          dburnett@schneiderwallace.com
11
        x   DAVID ERNESTO CHAVEZ chavezd@ballardspahr.com,
12          LitDocket_West@ballardspahr.com
13      x   BRADLEY A. COSMAN            Brad.Cosman@ashurstperkins.com
14      x   JIMMY F. DAHU        jdahu@mcdonaldcarano.com, sbettinger@mcdonaldcarano.com
15      x   KAWA FOAD         kfoad@kf-law.com
16      x   JEFFREY L HARTMAN           notices@bankruptcyreno.com, abg@bankruptcyreno.com
17      x   MICHAEL R. HOGUE hoguem@gtlaw.com, michael-hogue-
18          0383@ecf.pacerpro.com;flintza@gtlaw.com;JavieAnne.Bauer@gtlaw.com;andersonel@
            gtlaw.com;navarrom@gtlaw.com
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        x   MATTHEW L. JOHNSON mjohnson@mjohnsonlaw.com,
20          annabelle@mjohnsonlaw.com;kristi@mjohnsonlaw.com;admin@mjohnsonlaw.com
21      x   CHRISTINA W. LOVATO           trusteelovato@att.net, NV26@ecfcbis.com
22      x   DAVID S. NORRIS david.norris@squirepb.com,
23          tanya.skeet@squirepb.com,sarah.conley@squirepb.com,phx_dckt@squirepb.com

24      x   TERESA M. PILATOWICZ           tpilatowicz@gtg.legal, bknotices@gtg.legal

25      x   JARROD L RICKARD jlr@semenzarickard.com,
            oak@semenzarickard.com,alb@semenzarickard.com
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        x   KENT R ROBISON         krobison@rssblaw.com, jferretto@rssblaw.com
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        x   U.S. TRUSTEE - RN - 7      USTPRegion17.RE.ECF@usdoj.gov
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 1     x   ABRAN E. VIGIL VigilA@ballardspahr.com,
           Docketclerk_lasvegas@ballardspahr.com
 2
       x   MARK M. WEISENMILLER mark@abwfirm.com, mark-weisenmiller-
 3         1991@ecf.pacerpro.com;weisenmiller.markm.b117998@notify.bestcase.com;melissa@a
 4         bwfirm.com

 5     x   HANNAH E. WINSTON           HWINSTON@SBWLAWGROUP.COM,
           cobrien@rssblaw.com
 6
       x   RYAN J. WORKS rworks@mcdonaldcarano.com,
 7         kkirn@mcdonaldcarano.com;bgrubb@mcdonaldcarano.com
 8     x   MATTHEW C. ZIRZOW mzirzow@lzlawnv.com,
 9         hannah@lzlawnv.com;carey@lzlawnv.com;trish@lzlawnv.com;jennifer@lzlawnv.com;b
           chambliss@lzlawnv.com
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11         I declare under penalty of perjury that the foregoing is true and correct.

12         DATED: September 22, 2026.

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                                                /s/ Angie Gerbig
14                                              Angie Gerbig
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