Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Judge Gives CEOC More Time to Create Restructuring Plan
Author: Joel R. Glucksman
Date: May 20, 2015
Key Contacts
Back
A federal judge recently granted a request made by Caesars Entertainment Operating Co. to continue its “exclusivity” period – that is, the time when only the debtor may file a proposed restructuring plan.
At an April 29 hearing in Chicago, U.S. Bankruptcy Judge Benjamin Goldgar ruled in Caesar’s favor and extended exclusivity until May 27, Reuters reported.
Extension Request
CEOC, the operating unit of major casino company Caesars Entertainment Corporation, asked for the extension so that it could file its proposed plan following the completion of an inquiry launched by an independent examiner, according to Dow Jones Business News.
The independent examiner got involved in the case after creditors alleged that CEOC had illegally transferred its assets to its parent company in an attempt to move them outside the reach of creditors before filing for Chapter 11 bankruptcy protection, Reuters reported in a separate article.
Disputed Transactions
However, Caesars Entertainment Corporation took a different tack, asserting that it transferred the assets at a fair value, according to the news source. Nevertheless, according to Caesar’s, many of the parties-in-interest in the bankruptcy appear not to want to reach an opinion on a Caesar’s plan of reorganization until the court-appointed independent examiner’s report on the asset transfers is complete, Dow Jones Business News reported.
“These cases are in their early stages and numerous outstanding contingencies could have a significant impact on the terms of the plan or a new plan proposed by the debtors,” stated a mid-April filing, which requested that CEOC have the exclusive right until Nov. 15 to file its own plan of reorganization without having to worry about other plans, according to the news source. In addition, Caesar’s asked the court to give it until Jan. 15, 2016, to solicit votes on any plan it files.
Parties involved in bankruptcy cases frequently make these requests for more time, the media outlet reported. Debtors in complicated cases – for example the one involving CEOC – are even more likely to ask for such a concession.
- Practices: Bankruptcy & Creditors' Rights, Corporate Transactions & Business, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Understanding Portability for Estate and Gift Tax
Portability of estate and gift tax enables a surviving spouse to inherit any unused portion of their deceased spouse’s federal estate and gift tax exemption. So, if one spouse doesn’t utilize their full exemption, the surviving spouse can effectively double their exemption amount with regard to estate tax liability. For married couples, portability offers a […]
Author: Marc J. Comer
Pet Trusts in New Jersey and New York: A Practical Estate Planning Tool
For many of us, pets are more than companions—they are members of the family. Yet they are often overlooked or inadequately provided for when it comes to estate planning. A pet trust offers a legally enforceable way to ensure that your animal continues to receive proper care if you become incapacitated or pass away. As […]
Author: Marc J. Comer
How Can Trusts Be Used in Business Succession?
For many New Jersey business owners, a closely held company represents decades of work, financial investment, and personal sacrifice. Trusts in business succession planning are one of the most effective tools for protecting that value, allowing founders to control how and when the business passes to the next generation while reducing the risk of disputes, […]
Author: George McGowan
Read Before You Sign: IT Contract Pitfalls Every NJ Business Should Know
In today’s digital economy, New Jersey businesses of all sizes rely heavily on technology vendors, software providers, cloud platforms, and managed IT services. Whether your company is purchasing software, migrating data to the cloud, engaging a cybersecurity consultant, or entering into a long-term managed services agreement, a careful IT contract review can have significant operational, […]
Author: George McGowan
New York NDA Requirements for Businesses
Non-disclosure agreements (NDAs) remain a critical tool for protecting sensitive business information. However, New York NDA requirements have evolved, and businesses must ensure these agreements are carefully drafted to remain enforceable. In a competitive market like New York City, NDAs are commonly used to protect proprietary information, client relationships, and strategic plans. At the same […]
Author: Dan Brecher
New Jersey Will Contest Grounds Explained
How Courts Evaluate Testamentary Capacity and Undue Influence Will contests in New Jersey are difficult to win, given the strong presumption that a properly executed will reflects the testator’s intent. However, challenges based on lack of testamentary capacity and undue influence remain common, particularly where there are concerns about mental capacity or the involvement of […]
Author: Marc J. Comer
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.