What Happens After You File A Proof Of Claim, and When You Might Get Paid
It is frustrating, after extending credit based on a long relationship and verbal assurances, when a customer files for bankruptcy, leaving a balance that cannot be collected without court approval. Moving forward it is important to protect your rights to maximize both pre and postpetition value to your company. But after filing a proof of claim, the bankruptcy process can be a black box for suppliers trying to make the best decision going forward. Read More
How To Fill Out A Bankruptcy Proof of Claim Form (and Preserve Your Legal Rights)
To preserve your legal rights to payment, it is important that you submit to the Bankruptcy Court a completed proof of claim form that memorializes how much the Debtor owes you, and why. This is not a legal pleading that must be completed by an attorney (although it is a good idea to consult an attorney if you can). Your proof of claim will be kept by the Clerk of the Bankruptcy Court (or a claims agent), but will not appear on the docket of the bankruptcy case. Make sure to submit your proof of claim form as soon as possible, and in any event well in advance of any deadline to submit proofs of claim, known as the Claims Bar Date. Read More
Geokinetics Files for Bankruptcy (Again)
On June 25, 2018, Geokinetics filed for bankruptcy in Houston. The lead case title is Geokinetics Inc., et al., number 4:18-bk-33410. The first day hearing was held on June 26 with a hearing scheduled for June 29 at noon.
On the agenda for the June 29 hearing is the bid procedures motion along with the critical vendor motion. Read More
Why File a Proof of Claim?
Filing a proof of claim against a bankrupt company that owes you money is the most important step you can take to protect your claim. Read More
Filing a Proof of Claim for Toys R Us Administrative Expenses
With the liquidation of all Toys R Us stores in the US, suppliers will need to file a proof of claim for postpetition invoices to ensure payment. These admin claims then get paid out by the estate if and when cash becomes available from the liquidation of unencumbered assets. Read More
Value Implications of Toys R Us Bid Rejection
An auction for the Toys R Us Canadian assets is scheduled to be held on Monday, with Fairfax bidding for the unit as a going concern at $300 million CAD and likely sitting as the stalking horse. The US stores, it appears, will be liquidated as announced in March. Isaac Larian’s bid for the US business was rejected by the Company as unqualified. A short analysis of the liquidation value of Toys R Us US assets reveals the reason. Read More
Tops Bankruptcy
On February 21, 2018, Tops Holding II and its subsidiaries filed for bankruptcy. Tops is a grocery chain in the northeast with 169 owned stores and five franchise stores in upstate New York, northern Pennsylvania, and Vermont. 2017 audited financials showed a net loss of $80M on revenue of $2.5B ($14.3M per store, or $275k per store per week). Tops stores average about 45k sqare feet. Both size and sales are right on the per store industry average. Read More
Toys r no longer US
Recommended Reading
The following articles provide insight to the practice of trading in bankruptcy claims and were published by parties with no connection to Bankruptcy Claim Exchange:
An Introduction to Bankruptcy Claims Trading
Bankruptcy Claims Trading: What is it? How do I maximize my returns?
Monetizing Your Bankruptcy Claims: An Introduction To The Claims Trading Market