The Fifth Circuit rejected a bankruptcy court's implication that a liquidating Chapter 11 plan cannot be in good faith, correctly concluding that a liquidating plan is permissible.
the Fifth Circuit relied on § 1123(b)(4) as providing authority for either sale of all of the property of the estate or distribution of all or part of it to creditors.
Debtors should be aware that there are several alternatives to chapter 7 relief. With the court's permission, however, individual debtors may pay in installments.
Grand Rapids-based MC Sports filed for Chapter 11 bankruptcy Tuesday and will immediately begin liquidating all 68 of its stores, 22 of which are in Michigan.It owes about .8 million to Nike and .4 million to Under Armour with totals in the hundreds of thousands for others such as Adidas Group, Columbia Sportswear and Wilson Team Sports, among others.The company also has almost 5,000 in debt for media and marketing services, court filings show.ABI encourages participants to ask questions during sessions both live and on demand.If you have a question for a panelist during a session you should email the panelist your question and the panelist will respond to you promptly.The debtor is required to attend a Section 341 hearing which is commonly called the first meeting of the creditors. Creditors of the debtor are allowed the opportunity to ask questions of the debtor regarding the statements and schedules filed by the debtor with the Court.