Filing a notice of federal tax lien does that at least against unsecured creditors.
On September 18th it was appointed by Lehman Brothers' unsecured creditors to defend their interests.
In bankruptcy proceedings, unsecured creditors such as shareholders and employees are last in line.
The parties include the two airlines, their pilot unions and the unsecured creditors committee in the AMR bankruptcy.
One week later, the union returned with another deal, negotiated not with the management but with the unsecured creditors.
Talks broke down, and the union struck a deal instead with unsecured creditors.
Reiman is liquidating the company and doesn't expect unsecured creditors to get anything.
Furious unsecured creditors tried to stop the deal, arguing that the "quick fire sale" left them out in the cold.
As balance sheets have become more unencumbered, the pool of assets available to support claims by unsecured creditors has diminished.
This is a temporary order that provides some relief from both the unsecured creditors and the lender attempting to collect money.
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The bondholders are protected from the bankruptcy filing, but unsecured creditors and especially city employees, both current and retirees, will suffer most.
Unsecured creditors received permission to go ahead with their plans to sue--but not before the judge sees a reorganization plan by May 15.
Unsecured creditors who hold CDSs might prefer default to a lengthy restructuring: to them, the insurance policy is worth more than the house.
The company said it hopes to file a plan in bankruptcy court by next Friday incorporating settlements with unsecured creditors and major senior lenders.
Regardless of who wins the battle to be the DIP lender, Ramirez, Jones and the other players who are unsecured creditors will likely be paid.
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Instead, you could be pushed into a Chapter 13 plan requiring you to use all your disposable income for five years to repay unsecured creditors.
Workers would also become unsecured creditors of the company, he said.
"I've never seen anything like it, " says David Honig, a San Francisco attorney who represents a group dealing with unsecured creditors, from grape growers to ups.
In such cases, employees with a WARN claim have priority over other unsecured creditors, but stand behind secured claims by bondholders and the like, says Roupinian.
This is commensurate with the purpose of the fraudulent transfer laws which is to preserve the assets of the debtor for the benefit of unsecured creditors.
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But as the unsecured creditors committee noted a few weeks ago, American Airlines can certainly exit restructuring without an agreement, although that is certainly not our preference.
As a result, the unsecured creditors of American Airlines instead of getting debt or a combination of debt and stock in the merged airlines, will receive preferred stock.
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In Tribune's case, for example, the names of insiders were ultimately disclosed in lawsuits filed by the official committee of unsecured creditors looking to claw back some of the money.
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Publishers, meanwhile, emerged as the largest unsecured creditors.
That's because its bankruptcy was orchestrated by a union-friendly administration that changed the normal rules of the game that would have required GM's unsecured creditors--such as the United Auto Workers--to forgo most of their claims.
The most important provision is the resolution authority under which federal regulators can seize any financial company whose failure threatens the financial system, and quickly pay off secured creditors while imposing losses on shareholders and unsecured creditors.
Another meeting will then be arranged within 14-28 days to approve the CVA. This will require the backing of 75% of the club's unsecured creditors (based on amounts owed), whereas a straight majority will be enough on Thursday.
This chapter, used primarily by businesses, is arguably more flexible than 13, but it's no refuge for the rich--a new provision requires individuals in Chapter 11 to put five years of disposable income into the pot for unsecured creditors.
As the trial has progressed, lawyers representing Lehman, liquidation trustee James W. Giddens and the official committee of unsecured creditors have probed various witnesses over a number of disputed assets that they contend should not have been part of the deal.
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