Reuters reported that MF Global Holdings will seek court approval of a plan to liquidate its assets and repay creditors.
Companies emerging from Chapter 11 as reorganized debtors as we used to know them have become rare. Attorney Jeffrey Wurst explains that middle-market companies generally cannot afford or withstand the high cost of a Chapter 11 in today’s environment and notes that alternatives will become even more popular.
Recently, a bankruptcy judge with a long tenure on the bench told a group gathered at an insolvency conference that the bench�s role in overseeing modern commercial bankruptcy cases amounts to running a laundry service, as most cases involve little more than putting the debtor in the bankruptcy washing machine to cleanse its valuable assets […]