The ChamberWise Education Consortium, and Financial Poise are pleased to announce the on-demand release of their jointly-produced webinar, “Intro to Securitization.”
Available today, this webinar is designed to help C-level executives and attorneys understand types of financial assets typically securitized; advantages/disadvantages of securitization; risks, rules and exemptions.
“A securitization transaction is structured so that assets will be isolated from bankruptcy risk of asset seller,” according to one panelist. “Everything from mortgage and auto or corporate loans to intellectual property licenses and credit card receivables need to produce predictable cash flows to support regular interest payments of principal at maturity.”
“There are several reasons why a company would get financing through a securitization rather than a secured loan and there are advantages and disadvantages,” says attorney Doug Rutherford. “Misuse increases risk and creates incentive to make imprudent loans and over-leverages the financial markets. Another issue is that complexity of the structure of a securitization can be daunting and that can affect individual users.”

(posted 1 week 12 hours ago)

eShares issues electronic shares for private companies and then acts as the registration agent for those companies. To use the service, a company sets up an account and designates certain people who can issue and sign certificates. eShares then manages the workflow of getting existing shares entered into the system. Once that is complete, everyone with shares or options receives a notice saying that their paper certificates have been replaced with electronic shares, which they can see in their eShares portfolio.
Accredited Investor Markets likes the concept because it seems to put the responsibility of tracking who owns what percentage of a company into the hands of a presumably neutral third party expert. This seems to us to be an advantage for the investor.
Accredited Investor Markets recently sat down with eShares CEO, Henry Ward to learn more. Read the interview here:

(posted 1 week 20 hours ago)

bankruptcy petition
The Judicial Conference has approved a fee increase effective June 1, 2014.
The fees for filing a chapter 7 case will increase from $306.00 to $335.00.
The fees for filing a chapter 13 case will increase from $281.00 to $310.00
This is a $29.00 increase in the filing fees.
The fees for filing an adversary proceeding will increase to $350.00 (Debtors are not charged filing fees for adversary proceedings).
Chapter 11 filing fees will increase to $1,717.00.
It gets more and more expensive for folks to achieve any relief from their debts.

Bankruptcy Law Network
(posted 1 week 22 hours ago)

The company behind the chemical spill that tainted the water supply of 300,000 people in West Virginia spent $1.9 million on attorneys and advisers in the first months of its bankruptcy case.

Freedom Industries Inc.’s lead bankruptcy law firm, McGuireWoods LLP, billed top dollar, according to court papers filed Tuesday. The law firm charged nearly $746,000 in fees and expenses for work performed between Jan. 17, when Freedom filed for bankruptcy, and the end of March.
Two specialist law firms, one for environmental matters and one for litigation, billed a combined $535,000 in fees and expenses for work during the same timeframe.
Less than 5% of the bills from bankruptcy professionals come from lawyers representing Freedom’s committee of unsecured creditors, whose members include people claiming injury or other damages from the disastrous Jan. 9 chemical spill from a Freedom-owned tank farm. Bankruptcy Beat
(posted 1 week 1 day ago)

How does bankruptcy work when you are married?
Here is a quick 3 point summary of how does bankruptcy work when you are married?

Los Angeles Bankruptcy Blog
(posted 1 week 1 day ago)

th (4)A former commercial real estate agent and businessman who pled guilty in 2012 to various federal charges was recently sentenced in court.  Michael Wayne Harding, 59, of Keswick, Virginia pled guilty to one count each of bankruptcy fraud and wire fraud after waving his right to an indictment. Harding will complete 30 months in federal […]

(posted 1 week 1 day ago)

Smaller bank holding companies are faced with a potentially significant problem if their risk controls are judged insufficient for the current regulatory environment.

(posted 1 week 1 day ago)

Money is the single largest source of stress in the US.
Other sources of stress are work, the economy, family and relationships.  I can’t offer a remedy for these stressors.  But I have the cure for debt troubles.
On National Stress Awareness Day, the connection between money, stress and bankruptcy merits  some thought.
The debt plan that scares me
Of all the chilling things my clients say to me, the pronouncement that they will just continue to juggle their money worries rather than file bankruptcy is the worst.
Scared of taking steps to get rid of debt, they consign themselves to worry, sleepless nights, and constant tension over their money problems.

(posted 1 week 1 day ago)

Florida’s 4th DCA Issues Opinion Likely to Tip the Scales in Favor Of Involuntary Bankruptcy Filings Last week, Florida’s 4th District Court of Appeals held that a Florida court does not have jurisdiction to require a Florida judgment debtor to turn over a stock certificate held by the debtor outside the State of Florida. This [...]

Leshaw Law
(posted 1 week 1 day ago)

While recent case law developments under Chapter 15 might suggest a retrenchment from the international comity and cooperation goals of cross-border insolvency law, reports from Mexico indicate that there might yet be hope for global harmony in the insolvency world.
The Mexican reorganization of Vitro S.A.B. de C.V. opened a rift between Mexico and the United States when the U.S. courts refused to enforce Vitro’s reorganization plan.  See In re Vitro, 701 F.3d 1031 (5th Cir. 2012).  Among the most troubling aspects of the Vitro plan for U.S. creditors was its extinguishment of guarantees owed by non-debtor subsidiaries of Vitro.  In addition, the requisite creditor majority votes for plan confirmation came from votes cast by Vitro affiliates that were based on intercompany claims that arose under suspicious circumstances.
Apparently Mexican authorities found those aspects as troubling as did the U.S. courts.  In January, a major amendment to Mexico’s commercial insolvency law (Ley de Concursos Mercantiles) became effective.  While the amendment makes a number of important improvements that should make the law more effective, it also addresses the major Vitro abuses.  First, non-consensual non-debtor releases like those involved in Vitro are not permitted in reorganization plans.  Second, the Vitro voting problem is addressed by subordinating most subsidiary and affiliate debt and requiring a majority vote of non-insider creditors for plan confirmation in cases with substantial insider debt.

GT Restructuring Review
(posted 1 week 1 day ago)