Phoenix Bankruptcy Law News

February 2012 Archives

SunCor Bankruptcy Hits Market

SunCor Development Company, a subsidiary of Pinnacle West Capital Corp., is headed to bankruptcy court, reports The Arizona Republic.

The company, based in Tempe, which itself has countless subsidiaries in the real estate area, ran into serious trouble after 2008 when the residential and commercial real estate market went bust.

One of SunCor's big projects included Hayden's Ferry Lakeside properties in Tempe.

Sherwood Brands Liquidation Under Way

The mass-market confectioner, Sherwood Brands, is undergoing liquidation, reports Bradenton Herald.

The liquidation is being handled by Tiger Group's Remarketing Division, and real estate group Tranzon Fox taking care of the manufacturing plants and distribution centers.

By following the liquidation at www.soldtiger.com, readers can follow the way how a corporate liquidation takes place.

Ochocinco Fiance Lozada Connected To Antoine Walker Bankruptcy?

Evelyn Lozada, the fiance of New England Patriots wide-receiver, Ochocinco, is apparently coming under the spotlight in former basketball player Antoine Walker's bankruptcy case, reports TMZ.

The strange case hits the headlines because after Walker declared bankruptcy, the bankruptcy trustee allegedly felt that Walker had perhaps given Evelyn Lozada $560,000 in an attempt to hide money from his creditors. The trustee argued that the money had gone to Lozada's shoe store called Dulce. And thus Antoine Walker's bankruptcy ensnared the reality show star and socialite, reports TMZ.

Court Approves Washington Mutual Chapter 11 Bankruptcy Plan

After a long, more-than-three-year wait, mega-bank Washington Mutual Inc. made the "monumental achievement" of finally receiving approval of its Chapter 11 bankruptcy reorganization plan, reports Reuters.

The news probably has distressed-debt investors dancing. Washington Mutual's reorganization plan includes repay $7 billion to creditors, many of which include investors who specialize in buying securities of bankrupt companies.

DOJ, 49 States Announce $25 Billion Settlement Over Robosigning

The U.S. Department of Justice (DOJ) and the attorneys general of 49 states recently announced that they have settled a lawsuit against the nation’s five largest mortgage lenders for $25 billion, reports The Consumerist.

The DOJ and state governments accused the five lenders - Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally - of using untrained, unqualified “robosigners” to process foreclosure documents. In addition, the lenders also allegedly used deceptive practices in offering loan modifications, failed to offer non-foreclosure alternatives, and filed improper documentation in federal bankruptcy court.

Allowing Foreclosed Homeowners the Right to Rent a Good Idea?

In the face of crippling foreclosures in the Grand Canyon State, one state legislator wants to give home owners the option to rent their foreclosed homes for a year, repots KTAR.com. But is the alternative option to traditional foreclosure a good idea for the state?

Rep. Anna Tovar believes that the program would help stabilize neighborhoods and minimize the trauma for families.

“There is no silver bullet to stop the foreclosure crisis,” Tovar told KTAR.com. “But this will at least give people another option.”

'Luxury in the Tank' Again? Another Barney's Bankruptcy Rumored

Back in 2009 when luxury retailer Barneys New York contemplated a second trip to bankruptcy court, the chairman of retail-consulting and investment banking firm Davidowitz & Associates had this to say about the industry to DailyFinance: “The bottom line is, luxury is in the tank. Barneys is in a state of collapse, along with all the luxury retailers.”

More than two years later, it looks like Barneys is still sitting precariously on the brink of bankruptcy. The company recently announced they have hired restructuring advisers, and confirmed they are struggling with debt, prompting rumors of a possible bankruptcy filing, reports New York Magazine.

Bankrupt American Airlines Parent Wants to Cut Jobs, End Pensions

Although bankruptcy can sometimes help individuals struggling with significant debt or foreclosure, corporate bankruptcy can strike fear in the hearts of employees - and for good reason.

AMR Corp., the parent company of bankrupt American Airlines, wants to cut 13,000 jobs and terminate employee pension plans to save money in the wake of its recent Chapter 11 bankruptcy filing, reports Reuters.

Group Releases 'Dirty 30': Top Companies that Avoided Taxes?

With the recent protests against the one percent, corporate greed has been a hot topic in the media. The U.S. Public Interest Research Group and Citizens for Tax Justice’s recent study, “Representation without Taxation: Fortune 500 Companies that Spend Big on Lobbying and Avoid Taxes,” will be sure to fan the fire.

Identifying the companies paying the lowest taxes - and sometimes getting the biggest refunds - the so-called “Dirty Thirty” is comprised of 30 companies with strong ties to Arizona, reports the Phoenix Business Journal.

Life No Longer a Buffet? Hometown Buffet Parent Files Chapter 11

Whether life’s a banquet or a buffet, we agree with Auntie Mame that “most poor suckers are starving to death!

Hometown Buffet and Old Country Buffet parent company Buffets Inc. will be joining the ranks of businesses trying not to financially starve to death with its recent filing for Chapter 11 bankruptcy protection, reports the Phoenix Business Journal.