Stores liquidating trust latindating biz
A liquidating trust may be appropriate for a biotech or drug development company if: • Continuing research and development activities is not financeable or otherwise not in the stockholders’ best interests; • The company is solvent on both balance sheet and liquidity bases: with sufficient liquidity to settle contracts, real estate leases and severance; and • The Board and management begin the wind down process early enough to assure an orderly process and maximize the opportunity to realize value for stockholders.
• Lower burn rate versus costs of maintaining company infrastructure.
Alternatively, the liquidating trust can be a backstop for a complete and relatively quick transfer of liquidation responsibilities to a third party trustee when a management team finds itself unable or unwilling to complete the liquidation effectively.
For companies with certain types of illiquid but valuable intellectual property, the liquidating trust’s simplicity and lower cost can make it superior to other alternatives.
We will develop a plan and timeline to efficiently and effectively manage, or help you manage the liquidation of your company and, when necessary, transition your current company activities into a liquidating trust.
The case was originally filed April 15, 2016 and the Plan of Reorganization was confirmed on December 30 of 2016.
The court may dismiss the application if the petitioner unreasonably refrains from an alternative course of action.
The court may appoint an official receiver, and one or more liquidators, and has general powers to enable rights and liabilities of claimants and contributories to be settled.
Geoff Goodman of Foley & Lardner, along with Sam Ory of Frederic Dorwart, represented the Official Committee of Unsecured Creditors.
Gary Mc Donald of Mc Donald, Mc Cann, Metcalf & Carwile, LLP represented the debtor entity.
On December 30, 2016 the Bankruptcy Court for the Northern District of Oklahoma appointed Eisner Amper Bankruptcy practice director Joseph Myers as Trustee and partner, Edward Phillips as Financial Advisor to the Trust, in the Sheehan Pipe Line Bankruptcy, Case 16-10678.