Baker Donelson attorneys M. Ruthie Hagan and Zachary B. Busey dissect the tumultuous In re CTLI, LLC bankruptcy case involving and including a debtor, a derivative action, Chapter 11, an order to surrender social media account passwords, the U.S. Marshals Service and even jail time. The resulting ruling will be frequently cited in future social media cases.
There are wonderful things to be said about Facebook, YouTube, Twitter and their many rivals. But, without careful management, they also have the potential to make a minor happenstance into a major problem, and a major problem into a life-threatening crisis. And that’s bad news for every business going through restructuring or reorganization, trying its darnedest to avoid those alternatives. The somewhat good news is that there are things a business can do to dodge some of the social media bullets.