Uncle Nearest Real Estate Holdings, LLC v. Phillip Young, et al.

District Court, E.D. Tennessee·Decided August 17, 2026·No. 3:26-cv-00137·Unknown

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF TENNESSEE AT KNOXVILLE

UNCLE NEAREST REAL ESTATE ) HOLDINGS, LLC, ) ) Case No. 3:26-cv-137 Appellant, ) ) Judge Atchley v. ) ) Magistrate Judge Poplin ) PHILLIP YOUNG, et al., ) ) Appellees. )

MEMORANDUM OPINION AND ORDER1

Before the Court are Fawn Weaver’s2 “Motion[s] to Strike or, in the Alternative, set Aside the Bankruptcy Court’s Supplemental Memorandum Opinion Dkt. Ent. 72” [3:26-cv-135, Doc. 23; 3:26-cv-136, Doc. 22; 3:26-cv-137, Doc. 20], Phillip G. Young, Jr.’s (the “Receiver”) “Motion[s] to Dismiss Appeal” [3:26-cv-135, Doc. 29; 3:26-cv-136, Doc. 27; 3:26-cv-137, Doc. 25], Fawn Weaver’s “Motion[s] to Extend Time to File Appellant’s Brief Nunc Pro Tunc to June 1, 2026” [3:26-cv-135, Doc. 31; 3:26-cv-136, Doc. 29; 3:26-cv-137, Doc. 27], and the merits of

1 This Memorandum Opinion and Order shall be entered in each of the three bankruptcy appeals arising from the Bankruptcy Court’s March 19, 2026, dismissal of the Chapter 11 petitions filed by Fawn Weaver on behalf of Uncle Nearest, Inc., Nearest Green Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC.

2 Fawn Weaver is the former CEO of Uncle Nearest, Inc. and the individual who signed the Chapter 11 petitions on behalf of Uncle Nearest, Inc. Nearest Green Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC—the dismissal of which led to these appeals. Fawn Weaver’s authority to take any action on behalf of these companies is a core issue on appeal. Accordingly, and to avoid any potential confusion, the Court will refer to Fawn Weaver when referring to the Appellants. these appeals.3 For the reasons that follow, Fawn Weaver’s “Motion[s] to Extend Time to File Appellant’s Brief Nunc Pro Tunc to June 1, 2026” [3:26-cv-135, Doc. 31; 3:26-cv-136, Doc. 29; 3:26-cv-137, Doc. 27] will be GRANTED; the Receiver’s “Motion[s] to Dismiss Appeal” [3:26-cv-135, Doc. 29; 3:26-cv-136, Doc. 27; 3:26-cv-137, Doc. 25] will be DENIED AS MOOT; Fawn Weaver’s

“Motion[s] to Strike or, in the Alternative, set Aside the Bankruptcy Court’s Supplemental Memorandum Opinion Dkt. Ent. 72” [3:26-cv-135, Doc. 23; 3:26-cv-136, Doc. 22; 3:26-cv-137, Doc. 20] will be DENIED; and the Bankruptcy Court will be AFFIRMED. I. BACKGROUND Last year, Farm Credit Mid-America, PCA—an agricultural lending cooperative—filed suit in this Court against Uncle Nearest, Inc., Nearest Green Distillery, Inc., Uncle Nearest Real Estate Holdings, LLC, Fawn Weaver (Uncle Nearest, Inc.’s largest shareholder and its then CEO), and Keith Weaver (Fawn Weaver’s husband), generally alleging they had defaulted on a more than $100 million credit agreement. Farm Credit Mid-America, PCA v. Uncle Nearest, Inc., 4:25-cv- 38, Doc. 1 (E.D. Tenn) (the “Farm Credit Case”).4 Alongside its complaint, Farm Credit filed a

motion asking the Court to appoint a receiver over Uncle Nearest, Inc., Nearest Green Distillery, Inc., Uncle Nearest Real Estate Holdings, LLC, and certain other related companies and property during the course of the Farm Credit Case. 4:25-cv-38, Doc. 3. The Court granted this motion on August 14, 2025, and appointed Phillip G. Young, Jr. of Thompson Burton, PLLC to the role of

3 The Court finds it unnecessary to hold oral argument before resolving these appeals because “the facts and legal arguments are adequately presented in the briefs and record, and the decisional process would not be significantly aided by oral argument.” FED. R. BANKR. P. 8019(b)(3). 4 See Buck v. Thomas M. Cooley Law Sch., 597 F.3d 812, 816 (6th Cir. 2010) (stating that “a court may take judicial notice of other court proceedings”). receiver eight days later on August 22, 2025.5 4:25-cv-38, Docs. 32, 39. Since then, the Receiver has exercised complete control over every company and asset that makes up the receivership estate. This, however, did not stop Fawn Weaver from filing Chapter 11 bankruptcy petitions on behalf of Uncle Nearest, Inc., Nearest Green Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC. [3:26-cv-135, Doc. 20-1; 3:26-cv-136, Doc. 19-1; 3:26-cv-137, Doc. 16-1]. Both

the Receiver and Farm Credit promptly moved to dismiss these petitions, arguing (among other things) that Fawn Weaver lacked authority to file them.6 [3:26-cv-135, Docs. 20-2, 20-3; 3:26-cv- 136, Docs. 19-2, 19-3; 3:26-cv-137, Docs. 16-2, 16-3]. The Bankruptcy Court held a hearing on these motions on March 19, 2026.7 [3:26-cv-135, Doc. 22-1; 3:26-cv-136, Doc. 21-1; 3:26-cv-137, Doc. 18-1]. At this hearing, the Bankruptcy Court dismissed each of the three Chapter 11 petitions from the bench, holding that Fawn Weaver lacked authority to file them as the Receiver was exclusively vested with the power to place Uncle Nearest, Inc., Nearest Green Distillery, Inc., and Uncle

5 The Court did not appoint a receiver at the time it granted Farm Credit’s motion so it could receive supplemental materials from the parties regarding who should serve as receiver. 4:25-cv- 38, Doc. 32 at 10–11. Young was the defendants’ proposed candidate. 4:25-cv-38, Doc. 37.

6 The Receiver requested in the alternative that he be recognized as the authorized representative of Uncle Nearest, Inc., Nearest Green Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC. [3:26-cv-135, Doc. 20-2; 3:26-cv-136, Doc. 19-2; 3:26-cv-137, Doc. 16-2]. Farm Credit made a somewhat similar request, arguing in the alternative that the Receiver should be appointed as Chapter 11 trustee for Uncle Nearest, Inc., Nearest Green Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC. [3:26-cv-135, Doc. 20-3; 3:26-cv-136, Doc. 19-3; 3:26-cv-137, Doc. 16-3]. As neither of these alternative requests have any bearing on the instant appeals, they are not discussed further.

7 The Receiver’s and Farm Credit’s motions to dismiss were not the only motions the Bankruptcy Court heard at the March 19, 2026, hearing. [See 3:26-cv-135, Doc. 22-1 at 3–4 (describing the motions before the Bankruptcy Court); 3:26-cv-136, Doc. 21-1 at 3–4 (same); 3:26-cv-137, Doc. 18-1 at 3–4]. But as the resolution of these other motions have no bearing on these appeals, they are not discussed further. Nearest Real Estate Holdings, LLC in bankruptcy.8 [See 3:26-cv-135, Doc. 22-1 at 31–47; 3:26- cv-136, Doc. 21-1 at 31–47; 3:26-cv-137, Doc. 18-1 at 31–47]. The Bankruptcy Court entered a short Order memorializing this decision the same day, March 19. [3:26-cv-135, Doc. 20-4; 3:26- cv-136, Doc. 19-4; 3:26-cv-137, Doc. 16-4]. Fawn Weaver—still purporting to act on behalf of Uncle Nearest, Inc., Nearest Green

Distillery, Inc., and Uncle Nearest Real Estate Holdings, LLC—appealed the Bankruptcy Court’s decision the next day. [3:26-cv-135, Doc. 1; 3:26-cv-136, Doc. 1; 3:26-cv-137, Doc. 1]. Three days later on March 23, the Bankruptcy Court entered a “Supplemental Memorandum Opinion on Motions to Dismiss” for the stated purpose of “clarify[ing], but not alter[ing],” its March 19, 2026, decision. [3:26-cv-135, Doc. 20-6; 3:26-cv-136, Doc. 19-6; 3:26-cv-137, Doc. 16-6]. In the days that followed, Fawn Weaver amended her notices of appeal to address this opinion. [3:26-cv-135, Doc. 20-7; 3:26-cv-136, Doc. 19-7; 3:26-cv-137, Doc. 16-7]. Roughly a month after these appeals were docketed, Fawn Weaver filed an “Emergency Motion to Expedite Appeal Pursuant to F.R.B.P. 8013(B), and in the Alternative, for Certification

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Uncle Nearest Real Estate Holdings, LLC v. Phillip Young, et al., (E.D. Tenn. 2026).

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