Skip to main content

Business Decisions of Liquidating Debtors Should Receive More Scrutiny than Reorganizing Debtors According to Latest ABI Quick Poll

Submitted by webadmin on

Contact: John Hartgen

            

703-894-5935

            

jhartgen@abiworld.org



BUSINESS DECISIONS OF LIQUIDATING DEBTORS SHOULD RECEIVE MORE SCRUTINY
THAN REORGANIZING DEBTORS, ACCORDING TO LATEST ABI QUICK
POLL

December 14, 2009, Alexandria, Va.
size='3'>— A majority respondents (51 percent) in a recent ABI
Quick Poll agreed that the business decisions of a liquidating debtor
are not entitled to the same degree of deference as those of a
reorganizing debtor.
Thirty-one percent of
respondents “strongly agreed” and 20 percent “somewhat

agreed.”

Forty-one percent of respondents thought that a
liquidating debtor’s business decisions should be entitled to the
same amount of leeway as a reorganizing debtor. Twenty-seven percent
“disagreed strongly” and 14 percent “somewhat
disagreed” that the business decisions of a liquidating debtor are

not entitled to the same degree of deference as those of a reorganizing
debtor. Five percent of respondents did not know or had no opinion on
the issue.

ABI members and members of the public were welcome to
submit their response to the statement: “When a DIP is liquidating

the business, its business decisions are not entitled to the same degree

of deference as those of a reorganizing debtor.”

ABI’s Quick Poll is posted on ABI’s home
page,
www.abiworld.org. ABI members
and the public are invited to respond to a question on a timely
bankruptcy or insolvency issue. Visit

href='
http://www.abiworld.net/quickpoll/'>
color='#0000ff' size='3'>http://www.abiworld.net/quickpoll/

to access the results of previous ABI Quick
Polls.

###

ABI is the largest multi-disciplinary, nonpartisan
organization dedicated to research and education on matters related to
insolvency. ABI was founded in 1982 to provide Congress and the public
with unbiased analysis of bankruptcy issues. The ABI membership includes

nearly 12,400 attorneys, accountants, bankers, judges, professors,
lenders, turnaround specialists and other bankruptcy professionals,
providing a forum for the exchange of ideas and information. For
additional information on ABI, visit
href='
http://www.abiworld.org/'>
size='3'>www.abiworld.org
. For additional
conference information, visit

href='
http://www.abiworld.org/conferences.html'>
size='3'>http://www.abiworld.org/conferences.html

size='3'>.